Day Trading Stocks & Futures

[RAAMAKANT]

re: Day trading Nifty & Banknifty Futures

Hats off ST Da...
You are the Live University of Market.
How keen and specific observations you have ?
Today got another Thumb Rule for Nifty. Thank You Sir for sharing.

You are right...around 2:00 pm there was a deep dip which gave a doubt of a trend changing to down...many stops were hit there but market did not confirm the trend change and it resumed its uptrend. That is the time I posted that if the market now breaks the top of the day and goes up, many shorts will be trapped and they will run amuck towards the end of the session to cover and thereby adding fuel to the fire.

So nothing wrong in getting stopped out...but re-enter when the trend resumes is the way to go.

As a thumb rule, if nifty declines by more than 30 points from the top, there is a good chance of uptrend ending.....as intra-trend dips rarely go below 30 points.

Smart_trade

 

[Smart_trade]

re: Day trading Nifty & Banknifty Futures

Hats off ST Da...
You are the Live University of Market.
How keen and specific observations you have ?
Today got another Thumb Rule for Nifty. Thank You Sir for sharing.

Nothing like that Raamakant, just have been in the markets for little longer and I watch each tick and try to see what the market is saying....it has become a habit over the years...

Smart_trade

 

[Cubt]

re: Day trading Nifty & Banknifty Futures

Thanks for ur input, Smart.

How about choosing stop loss for day trading options? Is it better to follow nifty chart or option chart?

 

[Smart_trade]

re: Day trading Nifty & Banknifty Futures

Thanks for ur input, Smart.

How about choosing stop loss for day trading options? Is it better to follow nifty chart or option chart?

If you are trading options on options chart, put stoploss as per options chart. Both options chart and futures chart have their own drawbacks. Future chart stop might get wrongly hit when cash/future premium changes, options chart stops may get wrongly hit due to change in volatility. But when I trade options, I keep stops at options chart levels and they work pretty well.

ST

 

[Cubt]

re: Day trading Nifty & Banknifty Futures

Thanks Smart,got it. I always wonder why people like u who r more experienced in market always stick to Index futures?? Why not stock futures?? In stocks, we have many choices, always there will be some stocks which makes higher high or lower low n easy to trade. Whereas Nifty often stuck in some range and many gap up or gap down..



Could you please share ur inputs.

 

[Smart_trade]

re: Day trading Nifty & Banknifty Futures

Thanks Smart,got it. I always wonder why people like u who r more experienced in market always stick to Index futures?? Why not stock futures?? In stocks, we have many choices, always there will be some stocks which makes higher high or lower low n easy to trade. Whereas Nifty often stuck in some range and many gap up or gap down..



Could you please share ur inputs.

One can push large volumes in Index Futures without affecting the price too much.It has excellent liquidity and depth. Stocks can be manupulated over a short period of time but Index Futures it is difficult to manupulate.

We trade stocks futures too like RIL,SBI,ICICI bank,TCS etc..but strictly stick to large cap nifty stocks. They have less erratic moves than their midcap brothers.

Smart_trade

 

[Vertigo_1985]

re: Day trading Nifty & Banknifty Futures

One can push large volumes in Index Futures without affecting the price too much.It has excellent liquidity and depth. Stocks can be manupulated over a short period of time but Index Futures it is difficult to manupulate.

We trade stocks futures too like RIL,SBI,ICICI bank,TCS etc..but strictly stick to large cap nifty stocks. They have less erratic moves than their midcap brothers.

Smart_trade

Hi ST,
could you please explain more about manipulation ? like who are the people doing it ? timeframes they do it in ? skill level involved in these things ?

 

[manishchan]

re: Day trading Nifty & Banknifty Futures

Great point ST da. Thanks you ! But could you please share how to trade/avoid this. Example : Let's say I'm long and price starts to decline, is it wise to wait for >30 points of drawdown to see if trend has changed. We would be losing our profit in that. Another scenario : Let's say I entered short after a long trend reversal (after pin bar on HOD etc), how to know if the price is going to go below 30 points or not ? I mean should we wait for 30 points of dip to enter short ? That would be like losing most of the profits.

As a thumb rule, if nifty declines by more than 30 points from the top, there is a good chance of uptrend ending.....as intra-trend dips during the day rarely go below 30 points.
Smart_trade

 

[oilman5]

re: Day trading Nifty & Banknifty Futures

dec is really weird for me.Felt better today..........was really upset about my trading..........got hard kick from currency lost 1.5k yesterday.
how come suddenly rupee became stronger in comparison to usd even after tapering news........manipulation or adulteration.

Hoping now market to be bearish for monday.lets see still a long way to go for me................ today lost 41(brkg)

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Imp rule for trade"= dont trade in isolation, decide in isolation.
MEANS- all inherent facts of trade must be known to u. In stock -what is going on in a company- if u dont know u r in isolation from information.
UR sp case- us$ is weakening after tapering news, so rupee has to be stronger - so $/INR comes down is natural , and its inverse with Nifty - so nifty shoots up.
For ur decision making, it must not influenced by any media hype, avoid all media (pl close tv, it helps to decide.see PRICE). Use very strong filter on newspaper reading also, pl understand news r published with some interest.
This is a guide rule to earn consistently from market:clap:

 

[jagankris]

re: Day trading Nifty & Banknifty Futures

Hi ST,
could you please explain more about manipulation ? like who are the people doing it ? timeframes they do it in ? skill level involved in these things ?

1) What are the data that are available to these market makers (manipulators) which are not available to us ?
2) Is it true that they can see the no of stops placed at a particular price level ?
3) Is it true that they can see if the orders are from FII - DII - Fellow Market makers - Retail ?
4)How do the market makers decide the opening price on a particular day ?
5)When do suddenly pull out liquidity - keeping the markets in a range and when do they decide to trend a day ?

These things they decide alone or put a room in five star hotel and plan .