Caplipoint Lab can be seen making Flag and Pole pattern in daily timeframe. Minor resistance around 615.
A Flag and pole pattern is formed when the stock consolidates in a narrow range after a sharp move. Safe trading strategy can be to enter into this stock when it gives breakout of the narrow range and target should be the length of the pole of flag.
Here, Length of the pole is from 490 to 600 i.e. 110 points.
Breakout of the Flag is at around 600 levels (which also happens to be a breakout level in weekly chart).
Above 600, this can continue its bull run to 700 ++
We can place stop loss at 475
Target Risk to Reward : 1:4
A Flag and pole pattern is formed when the stock consolidates in a narrow range after a sharp move. Safe trading strategy can be to enter into this stock when it gives breakout of the narrow range and target should be the length of the pole of flag.
Here, Length of the pole is from 490 to 600 i.e. 110 points.
Breakout of the Flag is at around 600 levels (which also happens to be a breakout level in weekly chart).
Above 600, this can continue its bull run to 700 ++
We can place stop loss at 475
Target Risk to Reward : 1:4