Monday, February 2, 2015

NSE: RPOWER - Descending scallops.



Currently Rpower , daily chart is depicting downward price trend, leading to descending scallops.

First scallop:  Marked by Point A( Peak ) and Point B ( Rounded valley), downward breakout from point B was seen with high volume, this breadown also took the shape of another descending scallop.

Second Scallop : Marked by Point C ( Peak )& Point D( Rounded valley)
    To confirm this pattern as a valid one , these two probabilities are required to keep in mind:
  • A breakout from Point C (right peak) will lead to upward breakout.
  • A breakdown from Point D (lowest valley) will lead to downward breakdown.


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