Multi Year Breakout Stocks Price Action Analysis I Part 2 | CA Rachana Ranade

"on a monthly time frame this was this entire long-term you know resistance was broken now when did this start this was August 2015 Kaline so this is almost like a 9-year breakout that we have seen"

"now here in the daily time frame you can see something really interesting if you have done my course on technical analysis you will understand that there is something known as a gap Theory and here year you can see somewhere around 17th Jan after which the stock rose on 18th of Jan to the tune of 28% that was like the results impact but if you see here there is a big gap that was formed right here this is almost like what almost a 10% Gap and typically as per Gap Theory these gaps are filled"

"The original High the previous high that we had seen for this stock was around January 2015 and this high was was challenged in December 2023 but now we have to understand is this like a big multi-year breakout yes after 15 it is direct 2023 so almost more than 8 years breakout is what we have seen"

"this was the high that this stock had made in January 2008 okay even today it is way below that level but you can see I've just connected the highs this was the high around Jan 8 this was the high around Jan 10 after that I will look at this this is like August 21 May 21 sorry and this is the first time somewhere around Jan 24th that this was challenged and this is the candle for February that it has actually moved above this trend line This is a falling trend line but still at least this whole theme of lower highs seems to be challenged here for the very first time"

"now here I'll tell you one or two important points okay where even some candles analysis of only candles can also help us analyze the charts in a better way so here you can see this is like an open is equal to high candle now these are like powerful bearish candles where open and high are same and then ultimately it is closing downwards right now you can see immediately after this the green candle has almost given it a tough fight I will not say that it has engulfed it properly but it gave it a tough fight and ultimately the stock started moving up"

"then you could see not only three but five black crows or five black soldiers what we say and ideally it should have continued in the downward trajectory but after back to back almost five red candles we saw a bullish engulfing here and again the stock started moving in the upward trajectory"