First Look into this Self Explanatory Chart to create a #Mental_Model, how this pattern #Bull_Flag looks exactly.
So Lets Talk About Different Stages and What you need to keep in Mind while looking into this #Bull_Flag Setup.
#Stage_1 ( #Filter Zone : Filter Stocks those are up more than 20% in last 15 Days)
Bullish Candles should be more than 60% of total Candles in Stage 1, so like in this #TVSMOTOR chart, you can see that Among 11 Candle, Only 2 are Red. All Bullish Candle has Good Volume too.
You have filtered it and watched it for long, now its time to take action.
#When_To_Buy
A Candle with good volume breaks the consolidation zone will become your Buy Day.
Here in this trade Risk-Reward is almost 1:3, which is again amazing.
Let me know if you want more explanation about it and I will explain it in different thread.
I mostly use Low of the day as Stoploss (SL), so here on Buying day SL would be around 741.
This SL works most of the time, but if it breaks you should sell at least 50% and watch further action in case it was a shakeout. I prefer to sell Full.
#Target_Selection : The Beauty of #Bull_Flag Pattern is that it gives you very clear #Target, I have seen that 70% of the time its target get achieve.
I have shown in below Fig. how to calculate it, here the move in Stage_1 was120 point move which will become the target after BO
This is My Favorite setup as anyone can trade it, no matter how experienced or amateur U are.
Even the experts trade it with high conviction & big position size.
If you want to trade setups like this under my guidance, you can join my Chat Room. For more details DM me.
Here are 4 Detailed Charts That you can use for Study Purpose.
5 Year ago, I didn’t know what Nifty means.
Here I am sharing the minimal free content that you can follow to become the best trader in the world.
A Thread 🧵
The first source I started with was #Zerodha Varsity.
It has an amazing Whitepaper, a person who wants to get a good basic understanding about trading can start from there first.