Daily Tryst with Nifty

[praveen taneja]

Tomm result of RIL and it closes above its main res 2040 is that saying something
slightely better result can take makt past 4600 and short covering will do the rest going past 4646 lets see

 

[MurAtt]

Todays candlestick will be an inside bar and combined with a marubozu (or something like that) --- what implications?

Also inside bar after outside bar -- now that again would be interesting.

We are at an interesting junction again BUT THIS TIME RIGHT NEXT TO EXPIRY ...

 

[GAUTSHAR]

loggin out now for lunch & break
have to deal with crude oil post 5pm

Sunil u trades crude only or other counters in energy like NG and metal pack (Industrial as well as precious)

 

[Sunil]

my main worry is about sahil's safe return to home ..

i can handle 4515-20 but handling kids is different thing all together...

Good news & good relief, Vineet...
just received sms from school:
TOMORROW NO SCHOOL
NEARLY ALL SCHOOLS HAVE DECLARED HOLIDAY AS A PRECAUTIONARY MEASURE
UNEXPECTED EXTENDED WEEKEND FOR KIDS

 

[Sunil]

Sunil u trades crude only or other counters in energy like NG and metal pack (Industrial as well as precious)

as of now, only crude is within radar, as its price is nearly as same as Nifty...
My mind is more comfy now with 3xxx / 4xxx series - thanks to daily & sole trading of Nifty

 

[lazytrader]

loggin out now for lunch & break
have to deal with crude oil post 5pm

Which broker for crude oil?

 

[GAUTSHAR]

as of now, only crude is within radar, as its price is nearly as same as Nifty...
My mind is more comfy now with 3xxx / 4xxx series - thanks to daily & sole trading of Nifty

Great. If u have time try to make some strategy on Natural Gas to trade on thursday between 7.45 to 8.30 pm with a simple SL. I have been following it for an year now and see a consistent pattern being repeated 85 percent of the time.

 

[GAUTSHAR]

Which broker for crude oil?

LT u can use SK(tradetiger) or RK global(ODIN). i m using both of them. Sorry as it is the unintended response. But i couldnt stop myself.

 

[MurAtt]

SGX dekha kya --- Bid 4610, Ask 4617

Kal bam phatne wala hai lagta hai

 

[Sunil]

FAILED RECTANGLE BD SHUD IDEALLY TARGET 4430+70 = 4500!!!

Sunil, I did not understand this, could you please explain [at EOD].

Regards,
-Sri

Sri,
the scenario is as follows:
1. The charts show an apparent ranged trade (defined by HORIZONTAL lines) such as rectangles, H&S, Inv H&S
2. The theory says that break of one side will lead to move equal to the height of the pattern (difference between upper & lower levels of the band) and the movement will be towards the direction of the break. Let's call this difference as "T" and direction of initial break as "D-1"
3. If the price does not move "T" points towards the direction of the break, retraces back into the band/rectangle, and then breaks the opposite level of the band (D-2) then this is called breakout/breakdown failure (as case may be).
4. I have observed that in case of such failures, the resulting movement would ideally be equal to twice the "T" in direction "D-2".



If the apparent band is 4395-4430, we know that it is worth 35pts in direction of initial break.
If 4395 breaksdown with proper filters/room, ideally it should go down till 4395-35 = 4360.
If the price pulls back even before 4360, and later breaks 4430, it should target twice the initial 35pts ( ie 70pts)
Thus, we get 4430+70=4500 target for breakdown failure.


USUALLY, the entire process will seem like a divergence with RSI or other indicator.
In the above mentioned data, the whole thing resulted in a +ve divergence in RSI chart, and can be seen in the chart

(PS: This is my personal observation, and I may be wrong)