Double top pattern conditions

Streak - backtesting
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I need guidance on BankNifty futures based on specific chart patterns.

If the BankNifty chart shows a double top pattern in a 5-minute timeframe, with the neckline being broken, I will enter a weekly At-The-Money (ATM) put option with 1 lot. The stop loss for this trade will be set at 60 points.

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My suggestion to you and all intraday trend traders is this:

Add one more condition to your current strategy which is “Yesterday’s market (high/low) is today’s sideways market”

It means check if your bullish signal is literally trying to make a bullish crossover on yesterday’s high and vice versa.

This must improve your profits significantly.

I am introducing a surgical precision price action here:

2 Likes
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@Market_Monarchs Check out the image below to learn how to create the conditions:

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image1461Ă—1448 149 KB

1 Like
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Thank you for the advice

1 Like
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Thank you for the conditions

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A double top is a bearish chart pattern where an asset hits a high price twice with a drop between the highs. It’s confirmed when the price falls below the low between the two highs.
I use a screener in TopStockResearch to identify such chart patterns. You should give it a try.

 

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Hi @Rachana_Reddy Your feedback has been noted.