This is a reversal pattern. There was a bullish trend starting from 16-12-15 ti 29-12-15. Then on 30-12-15 there is a Hanging Man pattern. The lower tail is very small. The upper tail is more than 2 times the body size. So I have taken a short position. The volume is good on the Hanging Man Pattern day. I have selected the entry date as 31-12-15. The rate on 31-12-15 is lower than the low of the previous day. The entry rate is the lowest of the Hanging Man pattern day which is Rs 261.80. The stop loss point is the highest point at RS 264.10. The risk is Rs 2.30 which is the difference between Rs 264.10 and Rs 261.80. Two times the risk deducted from my entry point is the Target at Rs 257.20.
ICICI BANK LTD – HANGING MAN PATTERN
