Bank of India : ButterFly Patter on Daily - Short

The analysis is only for educational purpose.

Butterfly Rules

• AB can retrace up to 78.6% of the XA leg - Condition satisfied
  BC can retrace between 38.2% – 88.6% of AB Condition satisfied
  CD can be an extension of 1.618% – 2.618% of AB Condition satisfied
  CD can also be an extension of up to 1.272% – 1.618% of XA leg Condition satisfied
  The point D is known as the PRZ or Potential Reversal Zone
  
  

Targets are determined as 0.382 and 0.618 Fibonacci retracement levels of the CD leg
Ideally Stops losses are placed a below or above the high or low of point X.

Weekly Chart shows Bullish engulfing candlestick as well.

T1: ~ 97

Trade closed: target reached