Pretty favorable P/L ratio for a risky volatility breakout swing trade.Long up R$14.17, Stop Loss at R$13.43.
Trends seem to all lead to going long schwabb until at least 30. let me know your thoughts!
We have to keep instruments like this under a close eye over the coming week. Although a lot of indicators and paterns pointing to a breakout, it is clear that Brexit worries are keeping it down for now. I expect it to be a flat week until Thursday evening/Friday Morning of the 24th. Neautral But I like the repeating Head & Shoulders bottoming patterns!
It's all about making an educated bet to try to get it right.
This is a revision of my prv BANKNIFTY chart "https://www.tradingview.com/chart/BANKNIFTY/Qr1NFlnT-Bank-Nifty-Oversold/". I explicitly stated "Oversold" as I viewed the retrace that I had called till 16k as just a retrace and not any strong sign of resurgence in the banking sector. The channel has proved to be strong. 1st Tp 13.2k 2nd Tp 12.3k.
It is moving within the trend line for a while and now it has touched the resistance trend line, which indicates a reversal. Situation two key points, 1. Overbought AO ( reversal indicator) 2. Bearish Cypher pattern completion at trend line
The retracement has been done below its intrinsic valuation due to weakness in overall bank sector. I believe this stock is a fast grower and at this valuation it is great buy.