Analysis of charts - discussion share ur views

[saivenkat]

Hello to all senior chartists and Analysts in Traderji

Simply because of the tons and tons of encouragement, and educative stuff provided here by senior members here, like Vishalalluri, sunny1, prasadam, veluri, colombus, for past few months i have developed interest in charting and i am on the learning curve. I have been making some charts on my own, using chartnexus software, and was trying to interpret the same on my own, because of two things i did not post my charts here.
1) I didnot know how to post the chart. ( now i learnt from old thread)
2) What will the learned members here in this forum, think about me, if i gave a wrong interpretation of the charts? In short some kind of inferiority complex in me prevented from doing so.

Now today, i recognised that if at all i am to learn something, i must break the shackles in which i am bound with, and So i decided to post my first chart here. Friends please do excuse me if i have posted a completely wrong view here, and please do correct me.

Thanks and Regards
Saivenkat

 

[vivekreddy]

hi
i have one exelent stratagy for 15min 30 one hour
macd 8,21,8
rsi 21 with 50 line
ema 13,21,55
buy rsi above 50line and price candle above there emas and macd divergence start second line

 

[veluri1967]

Hello to all senior chartists and Analysts in Traderji

Simply because of the tons and tons of encouragement, and educative stuff provided here by senior members here, like Vishalalluri, sunny1, prasadam, veluri, colombus, for past few months i have developed interest in charting and i am on the learning curve. I have been making some charts on my own, using chartnexus software, and was trying to interpret the same on my own, because of two things i did not post my charts here.

hello... i am not a senior member here though i am aged a bit. I am just a beginner like u... learning step by step...

Secondly, coming to the chart i think its not a cup and handle formation if i am not wrong.

Let others also confirm it.

 

[saivenkat]

hello... i am not a senior member here though i am aged a bit. I am just a beginner like u... learning step by step...

No sir, i don't say based on when you joined this forum, but on the basis of the experience that you have in the area of charting, and interpreting various patterns.
Thanks a lot sir for responding.
Regards
Saivenkat

 

[vishalalluri]

Hello to all senior chartists and Analysts in Traderji



Thanks and Regards
Saivenkat

hi sai
good to hear u wana come out of boundaries thats the only way one can learn more

myself veluri sunny are no seniors(@veluri$sunny hope im rite guys) here we all are at phases of learning in the world of trading

prasad and columbus are very much senior in the field

looking forward to as many charts as possible from u as more we all see charts we understand if anything new can be intrepeted

i cant comment on the cup and handle pattern as i still have to study on it
but the trend line what u have drawn needs some correction the support line as drawn by u has not been joined by joining lower lows
i think u have just used the tool of parallel lines and just drawn it

support is where prices bounces back

trend lines have to be dram by joining the

2 higher highs &2 higher lows(uptrend) not necessarily 2 though
2 lower highs & 2 lower lows(downtrend)

i might not be very good but discussing things makes more ?'s to rise helping in making things easier

. keep posting ur charts

 

[vishalalluri]

hello... i am not a senior member here though i am aged a bit. I am just a beginner like u... learning step by step...

Secondly, coming to the chart i think its not a cup and handle formation if i am not wrong.

Let others also confirm it.

veluri

hows it going buddy seems to be busy a lot (office i guess)

 

[veluri1967]

veluri

hows it going buddy seems to be busy a lot (office i guess)

yes..vishal..

i have sent u a mail with attachment. just check it.

 

[saivenkat]

hi sai
good to hear u wana come out of boundaries thats the only way one can learn more

myself veluri sunny are no seniors(@veluri$sunny hope im rite guys) here we all are at phases of learning in the world of trading

prasad and columbus are very much senior in the field

looking forward to as many charts as possible from u as more we all see charts we understand if anything new can be intrepeted

i cant comment on the cup and handle pattern as i still have to study on it
but the trend line what u have drawn needs some correction the support line as drawn by u has not been joined by joining lower lows
i think u have just used the tool of parallel lines and just drawn it

support is where prices bounces back

trend lines have to be dram by joining the

2 higher highs &2 higher lows(uptrend) not necessarily 2 though
2 lower highs & 2 lower lows(downtrend)

i might not be very good but discussing things makes more ?'s to rise helping in making things easier

. keep posting ur charts

Thanks a lot, Vishal ji, for the input. Please post more charts and more charts and discuss here a lot. Thanks again
Take care
Saivenkat

 

[vishalalluri]

Thanks a lot, Vishal ji,
Take care
Saivenkat

hi sai

I dun understand why this ji is suffixed :annoyed:


please buddy call me vishal its such a nice name

GNITE

 

[Sunny1]

Dear saivenkat , Welcome to a great learning experience called Traderji.
Even I am new to market and taken first step to learning at Traderji.
Here is my knowledge about patterns.

A very common things about chart patterns

1) support/resistance/trend lines
2) volume shrinks during formation
3) Break out/down
4) volume shoots up during break out

Reasons, (I may be wrong or not accurate ) ( I am stating it roughly)

1) support/resistance/ trend lines
forms due to accumulation/distribution
that is, smart money buy slowly at low price and sell slowly at High price

2)Volume shrinks due to , informed investors/traders has played their chance
they are waiting outside for the move to happen and only uninformed investor/
general public is trading therefore volume is low.

3)Break out/down happens due to mark up / mark down
Now smart money wants higher prices so they shoot up price with
volume to get people interested in the stock or market so they sell at higher price, or they mark down
so they can get the same thing at low price again.

4) volume shoots up, due to smart money using their money to mark up prices.. volume shoot up during breakdown may not be necessary.

From above we can understand atleast something about how it works.
Now draw trend/support/resistance line and also see how is the price movements
looks like. Looks can be anything H&S , triangle, flags, pennant etc or whatever it look like. Basic things remains same for all. Method of trading is
also same.

1) wait for Breaking of trend/ support/ resistance/ line

2) keeping tight stop loss above/below these lines. tight SL becuase
most the pattern break out fails. but we can still profit from them by
using good money management. also if break out is not fail it can give good return.

3) Target is height of pattern formation. thereafter trailing stop loss
should be used.

Thats it pattern study over. above three points are sufficient to trade any pattern.and simple too. giving pattern a more importants than this is not worth

Note : pattern are best to be used on EOD not intraday. Above are
my personal views and knowledge anyone is free to comment/correct/critic.

Sunny1 ,
Keep Learning.