About this image :-
In this image you can see a box pattern form and than breakout with green candle and than second candle is also green and than you can see this image after than hit the target but in this post we learn how to book good profit. Welcome to this post now keep learning and careful learning.
What is Box pattern in trading?
The pattern which shape like a box that is called box pattern. In this post box pattern in important and in the box pattern price consolidate some time and than breakout is form this consolidations is called box pattern.
How to identify box pattern :-
If we need to identify box pattern than first to first open chart and than see chart properly and search where price consolidating and when you find this consolidation than mark a zone like you can see this image. This way you can identify box pattern.
What is price action for box pattern :-
There are lots of price action but you can focus on one price action that name is trap trading price action. In this price action the price make a trap and you need to find this trap and accordion to this price action you can take trade.
How to trade using box pattern :-
Here trading is very simple using box pattern but if your practice is good than it is simple otherwise it is very difficult. If you want to trade using box pattern and you need to focus on candle sticks pattern and price action when both are form in chart than you can trade using box pattern.
How to identify this breakout is true or false :-
If you want to identify this breakout is true or false than you must need to test breakout. If the candle strength is good than see second candle if both candle body is good than measure its stop loss if stop loss is the range than we can identify this breakout is true. If not follow this rule than we can say that it is false breakout.
When we can buy using this pattern :-
First to first you draw a zone and wait for any big movement and also remember ‘ don’t trade on the first breakout’. If breakout in upper side with strong green candle than wait for second candle and also second candle is green than we need to measure its stop loss if follow all the rules than we can buy using this pattern.
Learning of this post :-
There are lots of learning in this post like the first learning is you need to learn how to find box pattern in trading and than you must need to learn what is box pattern and than the second learning is what is price action in trading and also what is chart pattern in trading and than you can learn also some candle sticks for find candle strength. If you want to trade than you must need to trap trading and also you need to identify this breakout is true or false. These are some things for learning of this post.
