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Confused about when to buy a stock? Here's what you need to know

One needs to first gauge the overall trend by correlating different indicators and chart patterns with price momentum

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A trendline breakout occurs when the price breaks out of the major resistance, indicating that the bulls are aggressively bidding for a price.

Avdhut Bagkar Mumbai
'Buy' signals are cues for a trader to enter/purchase a stock once the technical setup meets their condition to go long. In order to spot such opportunities, one needs to first gauge the overall trend by correlating different indicators and chart patterns with price momentum. Trend analysis is, thus, the core of identifying the momentum of a stock, and hence, any potential 'buy' or ‘sell’ opportunity. The analysis differs for intra-day, short-term, medium-term and long-term investments.

Here are some strategies for you to identify a 'buy' trade

Volumes

The basic idea is to determine the underneath strength by analysing the