A Thread on RETEST TRADING
Does Every Stock Retest ?
Type of Retests ?
Retweet and Share !
1/n
Does Every Stock Retest ?
Type of Retests ?
Retweet and Share !
1/n
What is RETEST ?
When a stock Breaks out of a range that is called a breakout point .
The resistance that it was facing should now act as support .
Retest means after the Resistance is broken the stock comes back to take support in that region
2/n
When a stock Breaks out of a range that is called a breakout point .
The resistance that it was facing should now act as support .
Retest means after the Resistance is broken the stock comes back to take support in that region
2/n
MAJORITY of time stock comes back to test the previous breakout region .
I have seen that 80- 85% of The breakouts gets tested again !
And most REWARDING EXPERIENCE is during Retests only as Stoploss gets reduced
3/n
I have seen that 80- 85% of The breakouts gets tested again !
And most REWARDING EXPERIENCE is during Retests only as Stoploss gets reduced
3/n
LETS ANALYSE #KPITTECH CHART
1. Stock has broken out of range and rallied quickly in momentum.
2. The best place to enter in breakout stocks is not at the top where most retailers get trapped but again at retest.
3. In this case the retest that happend was after 50 days
4/n
1. Stock has broken out of range and rallied quickly in momentum.
2. The best place to enter in breakout stocks is not at the top where most retailers get trapped but again at retest.
3. In this case the retest that happend was after 50 days
4/n
4.There is no fixed rule that stock will come to retest immediately after breakout .
5. It can be after days , months or even years before it retests the prev breakout region .
6. Here the #KPITTECH retested immediately in 4 to 5 days and next time in 1 month
5/n
5. It can be after days , months or even years before it retests the prev breakout region .
6. Here the #KPITTECH retested immediately in 4 to 5 days and next time in 1 month
5/n
7. If the stock has been respecting the breakout region and not breaking down explains the strength of buyers in that stock .
8. Retest Also Fail refer Pics :
6/n
8. Retest Also Fail refer Pics :
6/n
BREAKOUT NOT RETESTED
Sometimes the stock does not retest its breakout region but that happens very rarely
I have Seen only 5 Stocks doing this out of 100
#ECLERX #BALAJIAMINE
After everybreakout there was a retest .
This can be ignored and moved on
7/n
Sometimes the stock does not retest its breakout region but that happens very rarely
I have Seen only 5 Stocks doing this out of 100
#ECLERX #BALAJIAMINE
After everybreakout there was a retest .
This can be ignored and moved on
7/n
Hard Retest or Deep Pullbacks Below Breakout Regions.
Generally happens during Generaly Market Corrections .
in this case we Cant Predict wether it is fake Breakout or not as Whole Market is in Correction and not Stock Specific
8/n
Generally happens during Generaly Market Corrections .
in this case we Cant Predict wether it is fake Breakout or not as Whole Market is in Correction and not Stock Specific
8/n
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