Simple Price Action - Swing Trading Strategy. π
No Indicator Used.
A THREAD 𧡠(1/13)
#StockMarketindia #trading #StockMarket
@kuttrapali26
No Indicator Used.
A THREAD 𧡠(1/13)
#StockMarketindia #trading #StockMarket
@kuttrapali26
Step 1:
Identify the stocks which are in short term downtrend phase.
Letβs understand it with the chart of Wipro.
Date: Feb 2021
Here we can see, stock is in short term Correction/ Downtrend. (2/13)
Identify the stocks which are in short term downtrend phase.
Letβs understand it with the chart of Wipro.
Date: Feb 2021
Here we can see, stock is in short term Correction/ Downtrend. (2/13)
Step 2:
Draw a trendline by connecting all swing highs & wait for the price to break the trendline.
The Trend Line Breakout technique helps you time your entry in a trending market. (3/13)
Draw a trendline by connecting all swing highs & wait for the price to break the trendline.
The Trend Line Breakout technique helps you time your entry in a trending market. (3/13)
Step 3
Once the price closes above the trendline, take entry after the confirmation.
For confirmation : Wait for second candle to close above the breakout candle.
Confirmation always protect from fake breakouts. (4/13)
Once the price closes above the trendline, take entry after the confirmation.
For confirmation : Wait for second candle to close above the breakout candle.
Confirmation always protect from fake breakouts. (4/13)
Step 4:
βRetest level: If you missed to add stock at breakout level, retest can be the best level where risk reward ratio is highly favourable.
If the retest holds the breakout level, the market is likely to reverse in the opposite direction & can change the trend. (5/13)
βRetest level: If you missed to add stock at breakout level, retest can be the best level where risk reward ratio is highly favourable.
If the retest holds the breakout level, the market is likely to reverse in the opposite direction & can change the trend. (5/13)
Step 5:
βStoploss: Once the price gives trend line breakout, place your stoploss below the breakout candle.
Now the price should not come below this trendline, else the breakout will fail. (6/13)
βStoploss: Once the price gives trend line breakout, place your stoploss below the breakout candle.
Now the price should not come below this trendline, else the breakout will fail. (6/13)
Step 6:
#Trendline breakout is powerful setup for swing trading, here we can see a clear up move in the stock after the trendline breakout.
The trend changed from downtrend to uptrend. (7/13)
#Trendline breakout is powerful setup for swing trading, here we can see a clear up move in the stock after the trendline breakout.
The trend changed from downtrend to uptrend. (7/13)
Step 7: Target/ Exit point β
βI always follow next resistance level as my target.
βAlways mark strong resistance areas in your chart and use them as a target for a perfect exit. (8/13)
βI always follow next resistance level as my target.
βAlways mark strong resistance areas in your chart and use them as a target for a perfect exit. (8/13)
Trendline breakout reverse the trend, You can always trail your stop loss to ride the massive trends. (9/13)
Current example to track for better understanding:
APTECH
Date : 06-Dec-2023
Stock given trendline #breakout with volume. (10/13)
APTECH
Date : 06-Dec-2023
Stock given trendline #breakout with volume. (10/13)
AWL
Date : 28-Nov-2023
Stock gave trendline breakout with volume. (11/13)
Date : 28-Nov-2023
Stock gave trendline breakout with volume. (11/13)
NAZARA
Date: 08-Dec-23
Stock is near trendline breakout level. (12/13)
Date: 08-Dec-23
Stock is near trendline breakout level. (12/13)
β₯If you found this thread useful, please RT the first tweet. π(13/13)
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