Charts for the Day

[anil_s_trivedi]

A discussion with a friend few days back, What Retail investors should do, when such a carnage takes place. Watch how no exit was seen and stock crashed to sub 20 levels from 150 odd levels. Mind you stock had decent volumes, almost 6 lacs few months back to almost 2 lacs before carnage.

I think only thing investors can do, follow some key price levels on higher timeframe charts through supports and resistances or switch to old but reliable 200 DMA.
Whats your take on this.?..Is it any better method to exit.

Many stock got such punishment in 2013, we witnessed almost stocks based activity in 2013 where some stocks making newer highs, some are biting dust. and Nifty still Range bound.

Hope sanity prevails and Regulator comes to rescue, else retail investors are already shy to come back...

 

[anil_s_trivedi]

Nifty update:

Spot level 6165 is a reference level for the series. So watch it out. Next formidable resistance only at 6200-05 level.

hi,

Nifty did crossed earlier 6165 and resisted and spent a day above 6200, at our resistance zone.

6165 is again a key level, sustaining below it will TGT 6140 below which 6110-15 waiting.

Ideally if its in uptrend, it should move on from 6110 levels. As expiry is due next week a tussle going on. Remind you previous week closing was not good one, so if week trend is asserting then it should break that 6110-05 levels fiercely and then it can test 6000 or lower. We will rest this case as of now.

First lets see 6165 / 6140 , any bounce should materialize here.
Above 6205 again change colours it may test 6300.

Closing on daily 6105 not good.

 

[anil_s_trivedi]

Our Levels since monday and how market is playing it out now.
Watch 6165 our main levels of reference, much of action around that point to close it on either side, while 6200-05 is the zone of resistance.

 

[niftytaurus]

Respected Trivedi ji!
I am regula follower of ur thread...thank u very much for this superb thread!
I have also gone through ur other thread 'reading price action "..i have also made notes from ur posts.u r not only one of best trader but also a great teacher .its been a great thread for learning purpose..it was so organized to read chart..if time permits, could u please continue ur thoughts on reading price action...
We have been observing ur analysis in this thread...it would be great of u ..if u just share the steps to read daily charts for novice ..as u mentoned in ur other threads ...
After reading books on chart reading..how some one will apply it practically...? If I open a day chart...I want to read it..so could u please tell it in step by step process...? It would be a great help
thanks

 

[anil_s_trivedi]

hi,

Nifty did crossed earlier 6165 and resisted and spent a day above 6200, at our resistance zone.

6165 is again a key level, sustaining below it will TGT 6140 below which 6110-15 waiting.

Ideally if its in uptrend, it should move on from 6110 levels. As expiry is due next week a tussle going on. Remind you previous week closing was not good one, so if week trend is asserting then it should break that 6110-05 levels fiercely and then it can test 6000 or lower. We will rest this case as of now.

First lets see 6165 / 6140 , any bounce should materialize here.
Above 6205 again change colours it may test 6300.

Closing on daily 6105 not good.

Nifty update:

Didnt expected our zone of 6105-10 will be breached by gap. Anyways yesterdays positional bulls got jolt morning when 6050 breached. But hold on, its not a complete bear time.
If market unable to sustain and capture morning high of 6096 then expect 6000-05 levels.

Yesterdays evening session selling was with volume, and it breached 6165 in a one stroke. So ideally i will not go long below 6165, unless a strong reason appears.

Now by seeing hourly chart, it seems unless 6090 is captured its a futile effort. ON daily market is at a crucial juncture, remember last time and previous to that i warned 50 DMA is a juncture for intermediate buyers-sellers to judge their holding positions. Study price action closely here, if buyers want to come in its here, else sellers will love to just to collapse it.

Any SAR positional shorts need to have stoploss at 6150.

 

[anil_s_trivedi]

Respected Trivedi ji!
I am regula follower of ur thread...thank u very much for this superb thread!
I have also gone through ur other thread 'reading price action "..i have also made notes from ur posts.u r not only one of best trader but also a great teacher .its been a great thread for learning purpose..it was so organized to read chart..if time permits, could u please continue ur thoughts on reading price action...
We have been observing ur analysis in this thread...it would be great of u ..if u just share the steps to read daily charts for novice ..as u mentoned in ur other threads ...
After reading books on chart reading..how some one will apply it practically...? If I open a day chart...I want to read it..so could u please tell it in step by step process...? It would be a great help
thanks

Dear Niftytaurus,

Thanks for your kind words. Really it gives me pleasure if it help someone to focus on learning simple thing first.
First you need to decide what type of trader/investor you are, then only it will give direction to your study. I mean here you are asking how to daily chart, so i assume you are a investor kind.

I had covered a lot in this two threads, you can throw a specific questions and i will surely answer it with whatever little i know.
As i mentioned here many times my most of setups are momentum based, where one need to wait for a good setup to enter on, where risk reward favours on.

Last thing is understand mathematics, ultimately its your average winning per trade what it matters. Even though you have a strategy with 50% success ratio, you can still remain a good investor with good winning per trade.

Will try to post some basics of chart reading as time permits.
Thanks...

 

[niftytaurus]

Dear Niftytaurus,

Thanks for your kind words. Really it gives me pleasure if it help someone to focus on learning simple thing first.
First you need to decide what type of trader/investor you are, then only it will give direction to your study. I mean here you are asking how to daily chart, so i assume you are a investor kind.

I had covered a lot in this two threads, you can throw a specific questions and i will surely answer it with whatever little i know.
As i mentioned here many times my most of setups are momentum based, where one need to wait for a good setup to enter on, where risk reward favours on.

Last thing is understand mathematics, ultimately its your average winning per trade what it matters. Even though you have a strategy with 50% success ratio, you can still remain a good investor with good winning per trade.

Will try to post some basics of chart reading as time permits.
Thanks...

Respected Trivediji
thank u very much for ur kind reply..
Am I investor or trader? Its a tricky queston! but I am both...I am doing it full time & I left my job ....& I dont have any thought about going back to my previous job..I burnt all bridges which went back...so Now I Just have to move ahead...for me its a full time business..I want to earn my monthly income as well as my wealth from it only ..I dont have any family pressure or financial pressure to earn money early..
I want to do both ..as present I want to do swing trading & intraday trading...but after earning a sufficint amount of money...I will less my intraday trading & will concentrate on positional & swing more...As my aim is not just earning monthly income but I also want to acquire wealth out of it ...& I am not in hurry..I want to give enough time for learning...its my plan as if now...please u can suggest am I right on my approach? or should I need soem change?
I read all methods about trading .but price action & chart reading suits me best ...so I focus my learning on that only..I tried to do intraday for 3 monthes just by trend reading...but I Lost..so I stopped trading ...& again started learning...
For intraday,I am reading lance beggs...for postonal & swing ,I am reading martin pring, edward & magee....I will start Shanbasker also ..I tried to read albrooks also..but I skipped it for later stages of learning..any other books or learning material will u suggest?
I will read & try to learn ...& post my charts & queries as I observe them..
thank u very much for ur kind help
thanks

 

[anil_s_trivedi]

Nifty update:

A resistance zone on daily at 50 DMA near to 6045. A sell of on wednesday and unable to clear on thursday, a fight today to hold it on daily. Lets see, else more selling will be seen.

On intraday it now holds our key level of 6025. Unable to sustain above this is a sure sign of weakness. ON upside above 50 DMA, a fight today for weekly close above 6090-95 levels, if at all bull want to throw challenge to bears. Else it will be seen as a failed bull attempt.

 

[anil_s_trivedi]

After yesterdays selling its a attempt to fight down day, so overall upto yesterdays chart trend is still down only.
Lets see how much strength it shows.

 

[anil_s_trivedi]

Its a 1 min Nifty future chart, the action closer to highs near is on low volume while going up, but on falling a good volume.
Its either a trap or selling started, need to see basing near 6030-33 nifty future zone, if action gets sustained another upside, else sell.