TATA power H&S Bearish below 103 SL 108Target 24

[V.VEDANAYAGAM]

TATA POWER has formed HEAD and SHOULDER from MAY I4 TO JULY14 ofcourse nearly 2.75 months but the formation is so powerful so I recorded
AT the left shoulder there was huge volume and comparetively low volume at the right shoulder
TRADE PLAN TATA POWER Short ENTRY 103
Stop loss 108 (RISK 5)
target 79 (Reward 24 )
NOTE Target can be even 60 (Reward 43 ) as the scrip formed continuous lower bottoms from the entry level

[Naveen]

sir, the target must be RISK = REWARD if the risk is 5 then target should also be 5 .

[V.VEDANAYAGAM]

DEAR SIR /MADAM
Risk =Reward is the MINIMUM INDUCEMENT to enter into any trade
IF REWARD IS MORE THAN RISK then that is the trade We have to jump in.

[Naveen]

Respected sir

I do agree to your statement, but when we are entering itself we fix the target and stoploss. So, in the chart it can go up to 50, but in real time basis how do we know that?

[V.VEDANAYAGAM]

DEAR SIR /MADAM
IN real time also we can fix the target as RISK =REWARD
But if the scrip can move above the target as per the recent support/resistance as the case maybe put the target at that level and continue the trade .
IN short we can continue the trade so long as the stop loss is not triggered whether the target is reached or not reached
IN real time stop loss may trigger even before RISK = REWARD level because target is what we make but market never bother about any ones target

[Author]

Posts