JINDALSTEL trade ideas
How to identify a successful Breakout?Underlying logic:
1. The price gets rejected from a level repeatedly and forms a major resistance.
2. There is an initial test of supply which absorbs some pending orders
3. The price finds a bottom and some sort of accumulation happens.
4. After the accumulation, the price tries to move back up to retest the resistance level.
5. A bull trap is confirmed when the price pierces through the resistance level but there is no follow-up move.
6. But after every test of the supply, it becomes weaker and weaker due to absorption of pending orders(already discussed in older posts)
7. The price finds a bottom again and then another phase of accumulation starts
8. Finally, the price moves up and tries to breakout above the resistance. This time the price manages to break out since the residual supply gets absorbed and it gives a retest.
9. If the breakout is successful, it will be followed by a bullish move and the volume will expand.
10. The retailers buy after the breakout while the institutions buy during the accumulation phase.
Exhibit 1: Clear breakout and clear retest
Exhibit 2: Clear breakout with NO retest of a horizontal level
Exhibit 3: Breakout with consolidation at the resistance level
Sometimes, the price may start consolidating at the resistance level. This is a positive sign because the price is absorbing all the residual supply and is trying to find the equilibrium.
There can be many more different variations, but the underlying concepts remain the same. You can read and revise this post until you master the concepts.
I hope you find this post useful. Also, if anyone is interested in getting a consolidated PDF version of this thread, then you can message me, I'll provide it.
Disclaimer: This is NOT investment advice. This post is meant for learning purposes only. Invest your capital at your own risk.
Happy learning. Cheers!
@johntradingwick
Jindal Steel & Power Limited - Trendline bounceJindal Steel & Power Limited
StopLoss @ 380
Target 1 @ 429
Target 2 @ 478
Symmetrical Triangle on Jindal Steel Chart Analysis - In the daily time frame of Jindal steel we can see a symmetrical triangle which is a sign of bullish trend but as we know market is supreme so patterns can be failed, blue arrows on the support trendline shows the re tested levels so possibility of breakdown is more.
we can take a help of indicators like:-
On RSI which shows the negative divergence and at 48 levels.
On DMI indicator DI- line is above the DI+ line and ADX is low means slow momentum in the stock
On Bollinger bands which is stretched now and resisting the 20 EMA line which is again a bearish signal.
Entry point/ short :- 395 - 398
Target 1 :- 369
Target 2 :- 336
Stop loss :- 419
Disclaimer :- I am not a SEBI registered analyst,I can be 100% wrong please do your own research before investing .
big symmetrical triangle breakout hey there ! Its a swing trade . Here a daily price action of jindal steel & pwr . u can see here a big symmetrical triangle breakout and a descending triangle too so if give breakout enter near 399- 400 with checking volume and keep the target of 1:2 or 2
Jindal Steel - Falling wedge + Coming out of correction soon! Key Highlights:
1. Potential change in MS underway
2. Falling wedge pattern
3. Rejection from trendline atm
4. Approaching the demand zone
5. Ripe for the next impulsive move
6. Accumulate between 370-380
7. Target: 410, 445, 499
8. Stop loss: 364
You are always advised to use an appropriate Risk-Reward ratio as per your strategy.
P.S: This is NOT investment advice. This chart is meant for learning purposes only. Invest your capital at your own risk.
Jindal steel - buyBuy from cmp to 385
easy target 401
tg2 - 409/415
Disclaimer : This is my personal analysis for study purpose not intended for trading
JINDALSTEL: ALL TIME HIGH POSSIBLEJSPL(D): Trendline breakout, buy JSPL for quick 23% gain, horizon: 35 days, all oscillators are positive.
Trendline breakout and retest completed. Trendline breakout and retest completed. Wait for the price to come to the level to initiate the buy. (not a recommendation)
Buy 413
Target 495
Stop Loss 351
