BRICK VALUE TWO

 

The ninth price (see Table 1.4) triggers a reversal from a bearish to a bullish
brick as the price moves back above 120. The next bullish brick level is 130,
and the subsequent bearish brick level is 100. The eleventh and twelfth prices
remain between the bands, so no bricks. The thirteenth price warrants plotting
a bullish brick as the price moved above 140. The fourteenth price doesn’t
allow plotting. Table 1.4 summarises the status of the plotting thus far, and
Figure 1.10 is the resultant Renko chart.
If you have followed the logic behind the plotting so far, the rest of the
sequence should be easy to comprehend. The remaining price action is
illustrated in the chart in Figure 1.11.



The chart shown in Figure 1.11 is actually based on real time daily closing
prices of Hindalco between 2013 and 2014. Figure 1.12 is the chart showing
the same.

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