Here is what YOU should know about BREAKOUTS before you lose money on them !
A free FAILED BREAKOUT analysis for you - 🧵
Trading breakouts is an excellent trading strategy that involves buying or selling an asset after a long period of consolidation.
1. #INFIBEAM ⚡️
We saw a top out pattern, interesting part is the candle that gave a top was a heavy buying candle. No follow-up and stock is down nearly 30%.
This realty favourite stock 1st saw a DOJI that tried closing in but couldn't and the next day we say a green candle. Here the catch was to see that there was no follow up buying and stock ended up correcting nearly 30% and is still poised to crackdown more.
It made a triple attempt, or what we call a double top BO failure. Nothing much to explain, but it was a pure exit when the stock failed to break an 8 month breakout too. RED FLAG.
We don't know why retail bought this stock. But one thing to keep in mind is heavy selling + failed BO + such gullible names way below 200WMA. Don't buy. If you do. Make sure you know when to exit.
The 2018 darling stock. Another common sense exit when the stock is chased by multiple gurus and TV /TG channels.
Doji at resistance + small candles near BO. EXIT or take a 60% dent.
We personally traded this and booked 19% loss. Previous O=H candle with huge buying and no followup. We too didn't know why we held on to it.
⚡️WHEN DOES IT HAPPEN?
Ideally, a false breakout happens when there are not enough bulls or bears to continue supporting the asset.
Similarly, the upper false breakouts happened because there were not enough bulls to continue pushing the price higher.
1. ⚡️Bull trap –This happens when the price crosses a key resistance and then pulls back after a short while.
2. ⚡️Bear trap–This happens in a bearish trend when the price moves below a key support and then returns to the channel.
This Rule will help you identify false breakouts!
First, you need to wait for a few days to confirm whether what has happened is a real breakout.
To do this, traders use the 3% rule, which means that the price needs to rise above the resistance level by 3% to confirm a breakout.
1⃣If the breakout isn’t 3%+ and starts giving selling pressure signals. It’s time to exit or at least trim down the positions.
4⃣News based breakouts and then closing below BREAKOUT level.
We will leave you guys with a famous quote from our mentor @kach0289
"Breakouts break YOU out first, before Breakout". ⚡️
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Do Share the above tweet 👆
These are going to be very simple yet effective pure price action based scanners, no fancy indicators nothing - hope you liked it.
https://t.co/JU0MJIbpRV
52 Week High
One of the classic scanners very you will get strong stocks to Bet on.
https://t.co/V69th0jwBr
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Hinmafushi Council President Shan Ibrahim Stated To Sun That The Resort, Which Dug The Trench Creating A River On The Sandbank, Did Not Have Ownership Over The Sandbank.
Officials From The Island Of Hinmafushi Had Traveled To The Sandbank To Stop The Process Of Digging The Trench When They Became Aware Of It, Said Shan.
Officials Were Now Redepositing The Sand Removed From The Sandbank.
Controversy Has Been Caused By The Digging Of A Narrow Channel By A Resort On A Sandbank Near K. Hinmafushi.
Hinmafushi Council President Shan Ibrahim Stated To Sun That The Resort, Which Dug The Trench Creating A River On The Sandbank, Did Not Have Ownership Over The Sandbank.
Officials From The Island Of Hinmafushi Had Traveled To The Sandbank To Stop The Process Of Digging The Trench When They Became Aware Of It, Said Shan.
Officials Were Now Redepositing The Sand Removed From The Sandbank.
— Ahmed Aznil (@AhmedAznil) January 21, 2021
I'm going to do two history threads on Ethiopia, one on its ancient history, one on its modern story (1800 to today). 🇪🇹
I'll begin with the ancient history ... and it goes way back. Because modern humans - and before that, the ancestors of humans - almost certainly originated in Ethiopia. 🇪🇹 (sub-thread):
The first likely historical reference to Ethiopia is ancient Egyptian records of trade expeditions to the "Land of Punt" in search of gold, ebony, ivory, incense, and wild animals, starting in c 2500 BC 🇪🇹
Ethiopians themselves believe that the Queen of Sheba, who visited Israel's King Solomon in the Bible (c 950 BC), came from Ethiopia (not Yemen, as others believe). Here she is meeting Solomon in a stain-glassed window in Addis Ababa's Holy Trinity Church. 🇪🇹
References to the Queen of Sheba are everywhere in Ethiopia. The national airline's frequent flier miles are even called "ShebaMiles". 🇪🇹
I'll begin with the ancient history ... and it goes way back. Because modern humans - and before that, the ancestors of humans - almost certainly originated in Ethiopia. 🇪🇹 (sub-thread):
The famous \u201cLucy\u201d, an early ancestor of modern humans (Australopithecus) that lived 3.2 million years ago, and was discovered in 1974 in Ethiopia, displayed in the national museum in Addis Ababa \U0001f1ea\U0001f1f9 pic.twitter.com/N3oWqk1SW2
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The first likely historical reference to Ethiopia is ancient Egyptian records of trade expeditions to the "Land of Punt" in search of gold, ebony, ivory, incense, and wild animals, starting in c 2500 BC 🇪🇹
Ethiopians themselves believe that the Queen of Sheba, who visited Israel's King Solomon in the Bible (c 950 BC), came from Ethiopia (not Yemen, as others believe). Here she is meeting Solomon in a stain-glassed window in Addis Ababa's Holy Trinity Church. 🇪🇹
References to the Queen of Sheba are everywhere in Ethiopia. The national airline's frequent flier miles are even called "ShebaMiles". 🇪🇹
