Let's run the seven-step routine on a real stock, start to finish, using only what was knowable on the day.
KOHTM, 1 June 2026. Load it in SuperCharts and follow along.
1. Can I get out?
Volume is consistent and heavy, well above the 10,000-share floor. Pass.
2. Where is the 52-week high?
Price at Rs 68.16 is above the previous 20 sessions' high and pushing at the top of its yearly range. That is the 1.42× / 1.20× breakout row, moving toward the 1.91× / 1.29× row.
3. Is it moving?
- Outside the upper Bollinger band → 1.36× / 1.21×
- RSI 76 → the 1.52× / 1.23× band
- Well above its 20-day average
All three say moving. Pass.
4. Did volume confirm it?
3.51× the 60-day average. This is the 1.63× / 1.26× row, not the 1.13× one. Strong pass, and this is the reading that would have separated it from a drift-through.
5. Where has it already been?
This is the genuinely hard step, and honesty requires admitting it: at Rs 68.16, KOHTM had already risen substantially. Someone applying the 786 lesson strictly might have hesitated here.
The difference, visible on the day, is that 786's second entry had 1.11× volume while KOHTM had 3.51×. The move had support underneath it. That is the distinction step 4 exists to catch, and it is why step 4 comes before step 5.
6. What is the market doing?
June 2026 was a strong tape. Recall the honest complication: entries into a falling index touched +20% 52.4% of the time against 44.6% into a flat or rising one, but what you actually need is the market to rise after you buy, which you cannot know. Treat this as context, not a veto.
7. Where is my exit?
Entry Rs 68.16 → target Rs 81.79 (+20%), stop Rs 51.12 (−25%). Order placed.
What happened
| Reached Rs 81.79 | 2 sessions later |
| Peak in 30 sessions | Rs 210.00, +208.1% |
| Close after 30 sessions | +100.4% |
The resting sell filled on day two.
The two conclusions, both necessary
One: the routine worked here, and every input was visible before the outcome.
Two, and more important: a single case cannot validate a routine. This same routine, applied to the 226 failed breakouts of 2026, would have produced a stop-out on many of them. KOHP passed steps 1-4 as cleanly as KOHTM and closed −65.5%.
What the routine actually buys you is not certainty. It is a consistent place to stand, the same seven questions on every stock, so that when you are wrong you know which answer was wrong, and when you are right you know it was not luck. Over 67,098 observations that consistency is worth roughly 1.2× to 1.9× on the base rate. It is not worth more than that, and anyone quoting you a bigger number has not measured it.
Do this now, practical activity
- Repeat this exact run-through on KOHP (2026-01-16, Rs 68.84, RSI 92, volume 1.93×), which closed −65.5%.
- Write down at which step, if any, you could have known.
- Be honest if the answer is "none of them". That is the correct answer for many of the 226, and knowing it is what makes your position sizing right.
Measured: KOHTM on 2026-06-01 passed all seven steps, Rs 68.16, 3.51× volume, RSI 76, outside the upper band, reached +20% in 2 sessions and peaked at +208.1%. KOHP on 2026-01-16 passed steps 1-4 as cleanly and closed the 30-session window at −65.5%.