In this chart we can clearly see that this stock is moving in a channel and right now it is at the lowest level of the channel.
I have marked with Flags about the touches it already made.
Right now it is consolidating at lower levels and has stopped making new lows so expecting it to go back on the upside.
Best part of this chart is if we go for the long side we can expect target of 6350 with very minimal stop loss of 5150.
Lets calculate the risk to reward ratio:-
Risk-400
Reward-800
So potential of 1:2 ,sounds good to me.
Some people wanted an example of buying at support and what to look before entering into a trade so here it is.
Keep an eye folks and Happy Trading. Cheers.
I have marked with Flags about the touches it already made.
Right now it is consolidating at lower levels and has stopped making new lows so expecting it to go back on the upside.
Best part of this chart is if we go for the long side we can expect target of 6350 with very minimal stop loss of 5150.
Lets calculate the risk to reward ratio:-
Risk-400
Reward-800
So potential of 1:2 ,sounds good to me.
Some people wanted an example of buying at support and what to look before entering into a trade so here it is.
Keep an eye folks and Happy Trading. Cheers.
