Android
Zerodha Broker (Free Delivery)

India's No. 1 Broker with Best Software Trade @ Flat Rs 20

Open Instant Account
market update arrow Madras High Court stays certain sub-clauses of new IT Rules arrow Zee board backs former directors, condemns 'baseless' allegations arrow NARCL will have economies of scale with respect to bad asset aggregation arrow 20% of India's adult population fully vaccinated, 62% got one dose: Govt arrow Mittal vows to bring telecom industry together; talks to Voda's Nick Read arrow NARCL: Another brick in the wall; not too different from other ARCs arrow Virat Kohli to step down as India's T20I captain after ICC T20 World Cup arrow FM Nirmala Sitharaman announces over Rs 30,000 cr guarantee for bad bank arrow Poonawalla Fincorp MD Abhay Bhutada quits following Sebi action arrow Covid LIVE: Kerala sees 22,182 new cases, 178 deaths in last 24 hrs arrow Ahead of IPO, Oyo expands share capital through stock split, bonus issue arrow Will opt for moratorium to redirect cash flow to build network: Mittal arrow Byju's continues acquisition spree, buys US-based coding startup Tynker arrow DATA STORY: India adds 30,570 cases, Kerala's positivity rate at 18.21% arrow Snapdeal announces additional maternity benefits, two-week paternity leave arrow GST Council meet on Friday; rate review, concession to Covid drugs on cards arrow PSU Bank index up 4% ahead of FM press conference; SBI nears record high arrow T+1, peak margin norms in interest of investors, says Sebi chief Tyagi arrow This recently listed stock has zoomed 120% over its issue price arrow Indus Towers soars 15%, nears 52-week high on telecom relief package arrow India's record run in stock market raising risks for economy: Research arrow Ola Electric sells scooters worth Rs 600 cr in 24 hrs, 4 units every second arrow Alzheimer's disease: hyperbaric oxygen proposed as treatment in new study arrow APL, Apollo Tricoat trade ex-bonus; stocks record fresh life-time highs arrow Google Pixel 6 and Pixel 6 Pro specifications revealed ahead of launch

Trading and Investment Terminology

Broadening Top

A broadening top is a bullish reversal pattern. 

The pattern is formed by two divergent lines which are horizontally symmetric. 

It is therefore a reverse symmetrical triangle. 

 

The oscillations between the two triangle terminals are therefore becoming increasingly large. 

Each line must be touched at least twice to be validated.

 

The broadening top reflects the growing nervousness of investors and also their indecision. 

 

If the chart pattern is not spotted quickly, the movements may appear random and thus trap many investors.

 

Here are some statistics on the symmetrical broadening top:

  •  In 53% of cases, there is an upward exit.
  •  In 75% of cases, the target of this pattern is obtained by acquiring the maximum height of the triangle. With this downward exit, the percentage fell to 64%.
  •  More than 72% of cases, a downward breakout occurs when the price is into the highest third of its annual range. No bullish breakouts are identified into the lowest third of the annual range.

A broadening top is a rally to a new high, weakness to an intermediate support level, a second rally to a higher high on increased volume and decline through the intermediate support level, the third rally to a higher high on strong volume pursued by an ultimate fall down.

Latest News हिंदी समाचार
ad