Conducting study on how we would have done if we would have bought every valid #IPOBase breakout since 2017. This will help us in finding the success rate of IPO bases and also in identification of the characteristics of a high probability setup. While I wish to publish (1/n)

complete study & the results on completion, but as it includes too many stocks and multiple charts of each setup, it will become too much complicated to publish on twitter. Hence I will share some #CaseStudies here which I hope will be beneficial not only in understanding (2/n)

IPO bases but also trade management, scaling in & out, identification of warning signs and selling into weakness.

To achieve consistent success in trading, it is essential for us to reduce subjectivity in trading though we can't eliminate it completely. So, am following (3/n)

some basic rules throughout this study-

Setup Rules
1) Sign of demand for the IPO- should list at premium. Will prefer if we have few days of buying post listing.

2) Should form left side high of the base within first 5 weeks of trading.

3) Depth - preferably 20% to 30% (4/n)

4) Duration - 2 to 5 weeks (if we are seeing some supportive action within 5 weeks of basing we can make an exception)

5) Breakout on heavy volume.

Trade Management Rules-

1) Standard entry will be at the breakout of the left side high of the base into new high ground. (5/n)