Stock Technical Analysis- The Central Pivot Range

Stock Technical Analysis  The Central Pivot Range

Chart-based trading [br] I find the candle pattern, CPR, and trade from chart to be especially beneficial, which is why I’m including this little message to catch you up. [br] Check to see if you’ve selected ChartIQ charts to view. To do so, go to Kite’s profile area and click on the profile tab. [br] Now, from your market watch, select any chart. Check to see if you’ve selected ChartIQ charts to view. To do so, go to Kite’s profile area and click on the profile tab. A Trade button has been added at the upper right. The rapid order window is opened by clicking the trade button. This is a floating order window that allows me to slide it to critical price points and execute orders directly from the chart.

When I look at this Ashok Leyland chart, for example, I can see that the stock has been drifting laterally over the past few trading sessions. If the equities break out of their trading range, I may contemplate a buy position. The break out point, according to the chart, is about 45 or so. All I have to do now is click, drag, and drop the order window where I think it belongs on the chart. After that, I’ll be able to place a purchase or sell order. For intraday, I can pick between a delivery/CNC and a MIS. In the case of Ashok Leyland, I’d like to be a buyer at approximately 45.40, a price that I believe is critical for momentum to start up.

As you can see, I’ve dragged the order window up to 45.40, and now I can place an order directly from the charts, rather than having to return to the marketwatch and be distracted by other quotes. The red background shows the current market price, which is 42.45. Please take use of this option; I believe it is an excellent method to remove yourself from the clutter of information and concentrate just on the price action. ?22.2? Pattern of Candlesticks The candlestick pattern is a new feature to the most recent update. The candlestick pattern study aids in the recognition of candlestick formations in charts. The identification of candlestick patterns is a wonderful approach to confirm the patterns.

P1 formed a long bearish candle
P2, after a gap down, forms a spinning top
P3, after a gap up, forms a long bullish candle
P1, P2, and P3 together appears to be forming a morning star

Based on the foregoing, a trader would most likely go long. But, before I place the order, I’d like to turn on the candlestick pattern in studies to confirm the pattern. As a result, I’m more confident in putting my buy trade here now that the pattern has been confirmed.  Range of the Central Pivot The Central Pivot Range (CPR) is a price indicator that can be used to identify critical price points for trading. For intraday trading, CPR is advantageous. Before you can understand CPR, you must first understand Support and Resistance; I recommend that you study this chapter to learn more about Support and Resistance before moving on.

Now looking at the M&M 15-minute chart. The CPR loads as three horizontal lines after it is loaded, as shown below. The varied width of the CPR stands out as one feature. To discuss this, I’ve highlighted three points on the graph. I want you to pay attention to the first arrow on the left, ignoring the CPR and focusing on the price action. Remember that this is a 15-minute chart, and you can see that the day began with a small green candle and ended with little movement. The open and close were very close in proximity. When there is a sideways movement, the CPR narrows the next day.

I was hoping, though, that you could utilize this with prudence. Select the same from studies to load a candlestick pattern. When you load studies, you’ll notice that the system recognizes the candlestick patterns automatically. On the chart, ChartIQ recognizes candlestick patterns. I’m looking at an EOD chart, but you can do the same thing with intraday charts. While this is an excellent method of validating the candlestick pattern, there is one flaw. The prior trend rule, which is crucial to candlestick patterns, is not taken into account throughout the identification procedure. The three engulfing patterns, for example, are correct, but one should not trade based on them because the prior trend is missing.