iCharts Discussions

[Ravi_S]

Hi

It's time for Rising Wedge pattern now. Most of the charts are showing this pattern in hourly including NIFTY. This is a reversal pattern and stocks might fall.

I went short in Infosys at 2700, with a tight stop loss. Let's see what happens.

Regards
Ravi

[Ravi_S]

Additional Info on Rising Wedge (Investopedia)

During the formation, there are a few indicators that can be used to determine whether the pattern is a real pattern or a disguise. This formation typically moves toward to the right, and the volume should be decreasing, showing a divergence between price and volume. The second indication is to look for how far the retrace has advanced from the beginning of the downtrend. If the move has advanced well above the 50% Fibonacci level, this pattern might not be a valid pattern. If it's still under that level, the pattern is still valid.

JSW steel has been ruled out of this pattern as it does not meet both the criteria's. However Infy is still in the hunt, with 50% of the last swing at 2700.

[Ravi_S]

What a setup and what a crash... The target is the first pivot, which is already achieved... 75 points, I came out at 38.2% of the retracement at 2665... Alas could have waited for some more time...