I have not taken any single trade since a week. Waiting patiently for the breakout from the triangle pattern in daily charts.
*Since triangle is not any continuation or reversal pattern, there are two possibilities after breakout and hence two target points.But rising channel after a severe fall can be a continuation pattern.
*These two target points match with two important support and resistance zones.
* If breakout happens upside, it meets the exact shoulder levels of H&S pattern in weekly charts. It also might face resistance at the upper line of the rising channel.
* If breakout happens below then its target meets the major support i.e., 10340 level.
My plan here is once the breakout happens i will start to take 0.5% risk per trade and pyramid it up in its direction . Depending on how market reacts at the target levels i will either put a trailing stop and make exit according to it or i will let the pyramided position move in its direction.
A caveat for myself - After breakout the targets may reach or may be not at all. And the path it chooses to reach the target might be smooth or very volatile. If it turns to be volatile then my pyramiding plan gets effected severely. Lets see !!
