The Index has formed a Pennant. Pennant is a continuous pattern

The pattern is trending upside and a retracement is seen on the downside forming a pennant. A breakout will be an opportunity to enter in the Index.

The Index closing below /above the trendline would be an opportunity to enter sell/buy in the Index

Breakout can be in any direction if it's upside it would be a continuous  pattern and if the breakout is on the downside it will be a reversal pattern.

RSI is following the price, during breakout RSI following the price and ADX trading above 20 would be an good setup to enter.

Opportunity Ahead

Feb 09 2023