After a fall, it's evident that the downtrend has reversed with a trendline breakout. Drawing Fibonacci retracement from the low point to the high point shows a 0.6 retest and an upward movement. Additionally, on January 17th, 2024, there was a significant gap observed. If the resistance level is break, we can expect to see a large candle towards the upside. Keep FINNifty CE on the watchlist and wait for the breakout. After the breakout, we can consider entry.
Remember: Any patterns, trendlines, or support and resistance levels that break with strong bullish or bearish candles are considered valid breakouts, indicating potential entry points. The breakout candle should ideally be a strong one, and the breakout line above the candle should be at least half the size of the strong candle.
Note: I will maintain charts in a simple way. Only those with basic knowledge of technical analysis will be able to understand what I am posting.
Remember: Any patterns, trendlines, or support and resistance levels that break with strong bullish or bearish candles are considered valid breakouts, indicating potential entry points. The breakout candle should ideally be a strong one, and the breakout line above the candle should be at least half the size of the strong candle.
Note: I will maintain charts in a simple way. Only those with basic knowledge of technical analysis will be able to understand what I am posting.