SHREEPUSHK - Ready for Breakout
Here is my observation for this stock
Double Bottom Pattern:
The chart shows a double bottom formation, a bullish reversal pattern indicating a potential end to the downtrend. This pattern often signals a shift in momentum from sellers to buyers.
Minor Resistance and Major Resistance Areas:
The stock broke above a minor resistance level and is now consolidating near the major resistance area. This resistance area is acting as a supply zone where sellers are currently active, but it also indicates strong interest from buyers as the price consolidates here.
Consolidation Near Major Resistance:
The stock is consolidating just below the major resistance, which is often a bullish sign. This consolidation, shown in the highlighted region, indicates that the stock is absorbing selling pressure and gathering momentum for a potential breakout.
Volume Dry-Up During Consolidation:
There is a noticeable drop in volume during the consolidation phase near resistance, a phenomenon known as a "volume dry-up." This suggests that sellers are losing interest or running out of shares to sell, increasing the chance of a breakout when demand picks up.
Rising Moving Averages:
The shorter-term moving averages are rising, indicating positive momentum. The alignment of moving averages supports a continuation of the uptrend, especially if the stock breaks out above the major resistance.
Trade Setup with Key Levels
Breakout Entry: A conservative entry would be above the major resistance area around 270-275 to confirm the breakout.
Targets:
Target 1: 310 – A short-term target after the breakout, based on nearby resistance.
Target 2: 340 – A medium-term target if momentum continues and buyers remain strong.
Target 3: 380 – For a long-term position, depending on how the trend progresses.
Stop-Loss:
Place a stop-loss below the consolidation range or the minor resistance level, around 240, to protect against a false breakout.
Double Bottom Pattern:
The chart shows a double bottom formation, a bullish reversal pattern indicating a potential end to the downtrend. This pattern often signals a shift in momentum from sellers to buyers.
Minor Resistance and Major Resistance Areas:
The stock broke above a minor resistance level and is now consolidating near the major resistance area. This resistance area is acting as a supply zone where sellers are currently active, but it also indicates strong interest from buyers as the price consolidates here.
Consolidation Near Major Resistance:
The stock is consolidating just below the major resistance, which is often a bullish sign. This consolidation, shown in the highlighted region, indicates that the stock is absorbing selling pressure and gathering momentum for a potential breakout.
Volume Dry-Up During Consolidation:
There is a noticeable drop in volume during the consolidation phase near resistance, a phenomenon known as a "volume dry-up." This suggests that sellers are losing interest or running out of shares to sell, increasing the chance of a breakout when demand picks up.
Rising Moving Averages:
The shorter-term moving averages are rising, indicating positive momentum. The alignment of moving averages supports a continuation of the uptrend, especially if the stock breaks out above the major resistance.
Trade Setup with Key Levels
Breakout Entry: A conservative entry would be above the major resistance area around 270-275 to confirm the breakout.
Targets:
Target 1: 310 – A short-term target after the breakout, based on nearby resistance.
Target 2: 340 – A medium-term target if momentum continues and buyers remain strong.
Target 3: 380 – For a long-term position, depending on how the trend progresses.
Stop-Loss:
Place a stop-loss below the consolidation range or the minor resistance level, around 240, to protect against a false breakout.
Pernyataan Penyangkalan
Informasi dan publikasi tidak dimaksudkan untuk menjadi, dan bukan merupakan saran keuangan, investasi, perdagangan, atau rekomendasi lainnya yang diberikan atau didukung oleh TradingView. Baca selengkapnya di Persyaratan Penggunaan.