Model charts showcasing patterns

mohanlate · #1 8th December 2005, 01:02 PM

Hi All,

It is amazing how some charts form near perfect chart patterns. Check out GINNIFILA (Ginni Filament). Looks like it brokeout of a nice triangle. I Suggest a BUY above 35 with a SL of 34.30. Your suggestions, comments, analysis please.

Also, I wish to make this thread an educational one by collecting scrips where we see nice chart patterns forming. I am looking for a sample of good Elliot wave structure formation.

Thanks

mohanlate · #2 12th December 2005, 01:18 AM

Trend lines -

Check out the Suzlon daily charts. I have attached candlestick chart with 1 day moving average line which makes it a line chart. Watch the top line. Notice the precision with which stock makes higher highs and finds resistance at the intersection of the top line. And on 9th Dec, the intra-day high found the same resistance.

Generaly, the angle of the trend lines dictate the life of trends. Steep angled trend lines are short lived. A 45 degree angle can be taken as a more valid trend line.

Can we use these lines to find the target price for Suzlon?

Enjoy !

karthikmarar · #3 12th December 2005, 02:44 AM

Quote:

Originally Posted by mohanlate

Hi All,

It is amazing how some charts form near perfect chart patterns. Check out GINNIFILA (Ginni Filament). Looks like it brokeout of a nice triangle. I Suggest a BUY above 35 with a SL of 34.30. Your suggestions, comments, analysis please.

Also, I wish to make this thread an educational one by collecting scrips where we see nice chart patterns forming. I am looking for a sample of good Elliot wave structure formation.

Thanks

Mohan

Nice idea of collecting charts with good patterns. All the members can study and learn. Please do post the chart along with your comments. If you post the Ginni filamant charts then we can comment, analyze the same. There seems to be some confusion about this one.

Good effort. keep it up.

regards

Karthik

kannanrajendran · #4 12th December 2005, 06:22 AM

Hi
PLease look at the chart of essar oil? Whether it is going to break out?

mohanlate · #5 12th December 2005, 02:23 PM

Ascending triangles -

The ascending triangle is a bullish formation that usually forms during an uptrend as a continuation pattern. These triangles often suggest accumulation of stocks. As the pattern develops, volume usually contracts. When the upside breakout occurs, there should be an expansion of volume to confirm the breakout. While volume confirmation is preferred, it is not always necessary.

To find the target on these patterns, simple measure the widest distance between the support and previous pivot low starting the ascend and add it to the price at which the breakout happened. When this resitance line of the ascending triangle is broken, it will act as a support after the breakout. Resistance turning into support and vice versa is a basic tenet of T.A.

KPIT has been in an uptrend last couple of days. A previous support zone of 350-355 (not seen in the attachment) is acting as resistance in this triangle formation. Notice the Stochs. The accumulations on incresing volumes are pressing against the resistance for a plausible breakout.

KPIT looks like it is about to break out of this triangle. Todays range is 349-359. BUY above 360 to be on safer side. Measure the widest distance for target calculation -
Target = (355 - 320) + 355 = 35 + 355 = 390
SL is the resistance (top horiz. line of the triangle) of 355 ( or a more conservative SL of 340).

Thanks,

Mohan

mohanlate · #6 12th December 2005, 02:41 PM

Quote:

Originally Posted by kannanrajendran

Hi
PLease look at the chart of essar oil? Whether it is going to break out?

Hi kannanrajendran,

Essar oil has broken out of the down trend line yesterday when it closed above 35.8. Smart money has started to come in on these level levels and I suggest BUY at these levels as the stock has very little downside. Keep a stop loss of 33.5 The stock has not gained enough strength yet. You can enter with 1/3rd of your total bet size now, and go in adding later as it crosses the levels of 37 and 39.

Thanks,

Mohan

mohanlate · #7 13th December 2005, 04:04 PM

Quote:

Originally Posted by mohanlate

Hi All,

It is amazing how some charts form near perfect chart patterns. Check out GINNIFILA (Ginni Filament). Looks like it brokeout of a nice triangle. I Suggest a BUY above 35 with a SL of 34.30. Your suggestions, comments, analysis please.

Also, I wish to make this thread an educational one by collecting scrips where we see nice chart patterns forming. I am looking for a sample of good Elliot wave structure formation.

Thanks

Hi Guys,

Ginni Filament shot up to hit 10% circuit breaker today

Thanks,
Mohan

mohanlate · #8 13th December 2005, 04:39 PM

Let us calculate the breakout target -

Measure the widest distance of the symmetrical triangle. And add the break out price to it.

Target = (43.9 - 25.63) + 34.6 = 52.87. SL is 34.6

Thanks,

Mohan

mohanlate · #9 13th December 2005, 04:42 PM

Quote:

Originally Posted by mohanlate

Let us calculate the breakout target -

Measure the widest distance of the symmetrical triangle. And add the break out price to it.

Target = (43.9 - 25.63) + 34.6 = 52.87. SL is 34.6

Thanks,

Mohan

Here is a snap of the chart.

Saint · #10 13th December 2005, 05:31 PM

Quote:

Originally Posted by mohanlate

Let us calculate the breakout target -

Measure the widest distance of the symmetrical triangle. And add the break out price to it.

Target = (43.9 - 25.63) + 34.6 = 52.87. SL is 34.6

Thanks,

Mohan

Hi Mohan,

You're in this one,too.........am in it myself.Nice 10%move today.Great going!

Saint

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