Double bottom is Bullish reversal pattern. This has been witnessed in Hindustan Unilever during May 2019. The double bottom is qualified based on analysis as mentioned below.
The conditions and qualifications:
1) Two equivalent bottoms – Identified between during Apr-May 2019 around Rs.1659.
2) Volume at point B or C should be higher – High volumes noticed in point C.
3) Duration between point A & B should be min 1 month – Qualified.
The trading plan: Long
Entry price : Rs.1758
Stoploss: Rs.1659
Target: Rs.1857 (considering 1:1 risk to reward)
Trade result: Target achieved in 14 days
