I have drawn Trend-line, According to price action it generates buy signal. but stock reversed.
Can anyone explain please ?
Different concepts of Price action gives different views in a different time frame!
You are using a 1-minute timeframe.
This tells Round Bottom Breakout. [Buy]
This catches the trend reversion. Inside Bar Theory [Sell]
Refer Inside Bar Strategy - Unofficed
==========
I will recommend not using a 1-minute timeframe as it is chaotic. You may like this detailed answer which tells about a reversal method along with its rationale and scanner https://www.quora.com/What-are-the-best-trading-strategies-for-the-stock-market-based-on-technical-analysis/answer/Amit-Ghosh-280
But, that uses an indicator for stock selection and price action for timing.
1 Like
The trend line worked perfectly but the profit had to be booked. If you see this way, it is following basic 101 of uptrend.
2 Likes
I have updated question with screen shot. please look into it. Actually i used buy signal which is last of the trend. & stock got reversed.
It is clean sell as per price action at that point based on basic concepts of trendline.
PS: You’re seeing supertrend I guess. As per supertrend, it “was” sell who got screwed.
buy near 200 ema and sell when your trend line breaks that will work 60 to 70 % of the time with risk reward.