PIN Bar of NIFTY
- NIFTY Daily chart shows price testing the up trend line from 4770 levels.
- Second chart shows price below 50 Day SMA. Recent falls have managed to find support just below 50 Day SMA. If that scenario repeats then we will have new high's soon.
- Last chart show a Pin Bar candlestick which is a reversal candle. In this case confirmation can be a close back above 50 Day SMA to go long. Having said that price sustaining below 50 Day SMA and breaking the up trend line will add strength for the current sell signal in daily chart
- NIFTY 50 STOCKS FREE LIVE CHARTS
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What's your experience with multiple hits of rising trend lines? For example, based on past experience, the 3rd hit has a __% of reversing and continuing higher, the 4th __%, the 5th __%, etc.
ReplyDeleteI could also ask the same about the rising 50 dma. ;-)
Thanks in advance.
@HighRev
ReplyDeleteI don't have those exact values. But in my experience its safe to trade the 2nd and the 3rd hits at the trend line with good risk reward ratio.
It also varies with stocks and Indices For example a Stock like apple which kept going up has given good returns every time it hits the trend line or moving average But then those are rare occurrences.
Trend lines and moving averages are easy to trade because you know very well how much your risk and what is your reward So don't concentrate too much on past data.
@San
ReplyDelete"Trend lines and moving averages are easy to trade because you know very well how much your risk and what is your reward So don't concentrate too much on past data."
That's q good trading tip. Thanks.