Up trending stock with a proper weekly inside bars. Volatility has reduced from 20% from the first weekly bar to 11% in the latest weekly bar along with a shakeout. Stock pattern became more interesting after the latest price pattern. Going long above the previous weeks high
VIP behaved well when the market was going through a correction. Stock held its uptrend and its territory around its 50 DMA when the general market was correcting. Having two positions stock blasted out today. There was an opportunity for a third position.
But I manage my portfolio through a risk management rule, where i take no position if my portfolio risk on my...
Cosmofilms on of the clean trending stock. Having 3 posistions in the stock. The first was a Weekly Inside Bar, then a nice consolidation around 50 DMA , then sold a part of it (marked with a pen indicator) when i had more than 1:2 to risk reward ratio from my first buy. Today(7-Oct-21) bought again. Nowhere my SL has exceeded 1% of my trading capital on the...
Weekly Inside Bars are just a another form of volatility contraction pattern. Contraction is always compared with the first base bar. Min contraction should be at least 50% from the first bar, more the contraction better the set up gets. I would always prefer the contraction to be within 5to7% before taking a position.
A Complete Trading Process on how I add my positions at various points and how I manage my positions.
Having 4 entries at present and 3 of them marked in the chart above.
Most Important Point - STOP LOSS never exceeds 1% on my entire capital . In this example I have assumed my total trading capital as 10,00,000.
All my entries and Stop loss has been explained...
Its a complete trading process on how I add to my positions at various points and how I manage my positions. Having four entries, but i have explained three entries only as one entry was a forced entry where i took additional risk has not been marked on the charts. Remaining three entries has been marked on my charts.
Most important point is my stop loss...
Cup is bit deep when compared to my previous CnH formations, whole structure looks good. Pivot entry is marked in handle, if it breaks out with volumes will have my first buy with half position remaining will go long above the handle
Another example of BoB. When do we see these BoB patterns:-
1. when stocks move from lower base of the pattern n breakout of d base with no pause, stocks usually come back to the top of the base consolidate there for some time
2. when the market takes a break we might see a stock pull back n form a BoB.