ved:vedanta

This has now gone through the trend line. This bounced of the trendline a few days ago on a first attempt basis but have since come back to test and break it . This is one of the reasons i say about trading this on a first attempt basis. When the price re-test a level so soon afterwards it normally will break it.


dl.dropboxusercontent.com/u/4899609/ved9thoct.png

Closed the rest @ 1320

Closed half @ 1205
For the rest its a free trade

Morning Star
Long @ 1141 on Friday
SL below 1051 which is also 61.8% fib level

Education purpose only

This is a classic example of a trend line breaking then going higher a few days apart.



When this happens you should redraw the trend line as it was a false breakout. Real Trend line breaks will move away fast from the break point. If it punches back through with force within a few days then likely A false breakout. SO best to redraw the line from the new low point.
This is mainly for short term trading so bear that in mind.

gclark25 wrote: I took the trade on @ 1034 with a 10 point stop and a 19 pip target.

Closed my short @ 18 pips profit - price has intersecting with both the 100 and the 49sma on the 4H chart.

Thats enough for me to take a quick scalp - and watch how this reacts around about this area.