Hi Karthikmarar,
first of all let me congratulate you on your sense of analysis and for the passion what you have on TA.you are very good at TA. And also as you said the example what you have taken is not that right on a broader sense.
Basically the breakout is said to be failed if the asset price enters back into the congestion zone by 50% of the congestion range.
But the so called sharks who know this, they hammer the stock and take it back. There yoiu will find bulltrap and beartrap as well. Right now I can't write more than this. But one example for this happened in ALPS INDS. You pl.check the charts from last november till date. I am attaching it here. Firstly there was an upward breakout. Then it went back into congestion. Then the fall with gap for exits. Then one more rally followed by a correction. But the operator took care in such a way that the stock didn't cut the pr. bottom.pl. observe volume behavior. It itself will be the clue.
In this stock, trade continuation can be discussed. The operator can fool the traders only once or twice. Then the move will be in its direction. But getting stopped in the stock should not put us to distress. We should continue the trades. REMEMBER the number of times the operator tries to get the traders out, the bigger will be the move. On every trap he will lose money. And on the real move he will collect back all his losses and make all big money.
The very idea of the operator to run stops is to get the people out of the game in his security to avoid the noise.If noise is not there, he can happyly run the circular trades in that and make the price moves in his direction.
I am unable to attach the file for its size, Karthikmarar you pl.take care of it.
AJAY
first of all let me congratulate you on your sense of analysis and for the passion what you have on TA.you are very good at TA. And also as you said the example what you have taken is not that right on a broader sense.
Basically the breakout is said to be failed if the asset price enters back into the congestion zone by 50% of the congestion range.
But the so called sharks who know this, they hammer the stock and take it back. There yoiu will find bulltrap and beartrap as well. Right now I can't write more than this. But one example for this happened in ALPS INDS. You pl.check the charts from last november till date. I am attaching it here. Firstly there was an upward breakout. Then it went back into congestion. Then the fall with gap for exits. Then one more rally followed by a correction. But the operator took care in such a way that the stock didn't cut the pr. bottom.pl. observe volume behavior. It itself will be the clue.
In this stock, trade continuation can be discussed. The operator can fool the traders only once or twice. Then the move will be in its direction. But getting stopped in the stock should not put us to distress. We should continue the trades. REMEMBER the number of times the operator tries to get the traders out, the bigger will be the move. On every trap he will lose money. And on the real move he will collect back all his losses and make all big money.
The very idea of the operator to run stops is to get the people out of the game in his security to avoid the noise.If noise is not there, he can happyly run the circular trades in that and make the price moves in his direction.
I am unable to attach the file for its size, Karthikmarar you pl.take care of it.
AJAY