I can help you with stock chart reading

[eskay_raut]

Dear Ragh_ash,

I am really pleased that you replied to my query. You are a senior member in this Forum and definitely experienced too. I being a junior member and also being relatively new to stock markets expect to learn from you people.

About seeing the blog, i really did check that in a free website named "smell the cheese". Then I referred to a few articles on Triangle formation one of them being
http://www.tradersnotebook.com/triangles.html
Well I cleanly see an ascending triangle formation (may be wrong due to inexperience).
Well I dont have access to any data feeds and in www.icharts.in the chart is not showing properly due to stock split I guess. So I came here just to confirm that my(or the blog's if you insist) reading is correct and let others know about it.

About being true to myself, so am I and you really dont have to be bothered about that. I believe in learning and if you can help I will really be grateful.
But your sarcastic comments may not be of much use to me.

Looking forward to your reply
Thanks,
Eskay

 

[ragh_ash]

dear friend eskay,
first of all i am sorry. don't know what got into me to write that. again apologies.
and as far as being senior is concerned just posting 100 odd post makes one senior. and that no ways means the person is mature or something.(myself case in point)
had abosolutely no intention of hurting ur feelings.
Friends??
and a digital handshake to seal it!

 

[vvonteru]

Consider the below setups for entries in NSE.

1. Suzlon has ATR around 70.

Setup: First Thrust Pattern
Entry: 1081
Stop: 914
Initial Profit: 1310

2. Colgate: ATR = 22
Setup: Change in Trend Signified by 8 day EMA crossing up 50 day EMA
Entry: 416
Stop: 351
Profit: 455 (52 week high)

3. Wipro: ATR=25 (Consider the risk of Infosys coming up with results)
Setup: Change in Trend
Entry: 510
Stop: 442
Profit: 570

Look at also,
1. Reliance Industries (choose either Suzlon or Reliance)

 

[vvonteru]

Hi vvonteru,

Saw a triangle formation on charts of siemens. May have a breakout probably. need a confirmation from your side.
Please advice.

Eskay

As you mentioned, charting websites did not update for the split.
Either way, I don't trade breakouts. It requires different method of trading. There tends to be lot of false breakouts. Requires trying multiple times with low stops. You may have lot of small losses (consider also commissions for buying and selling) and may do good once in a while. Don't get me wrong. Trading breakouts still can make you money. It just needs different approach.

Rather, what I look for is, after the breakout, the stock pulls back and does not go back in to the trading range or triange in this case.

 

[shethharsh]

Hey vvonteru ,

Can you please analyse the following scrips for me .

1) IVRCL
2) Reliance Capital
3) Bharti Airtel
4) Wipro
5) Century Textile
6) ACC
7) Bharat Forge
8) Crest Animation
9) Cipla
10) Dabur

 

[vvonteru]

1) IVRCL
Consider it after if decisively moves above 240. Wait for 8 EMA cross up 50 day EMA

2) Reliance Capital
Enter at 510. Stop at 400. Profit 600.

3) Bharti Airtel
What is the NSE/BSE code

4) Wipro
Check previous reply for setup. Already triggered. Today's close not so far from the entry I suggested.

5) Century Textile
Let it go this pull back. Wait for next leg up. I like the stock have its short term EMA (8) cross up Intermediate EMA (50) day EMA.

6) ACC
Stock is looking good. Didn't give chance for entry. We may have to wait.

7) Bharat Forge
Wait for 8 EMA cross up 50 day EMA

8) Crest Animation
Avoid this stock. It is not trading cleanly. It had false upsides.

9) Cipla
Wait for 8 EMA cross up 50 day EMA

10) Dabur
Entry at CMP (I would have liked at 144): 147
Stop: 127
Profit: 170

Couple of things:

1. I know some of the stocks have been mentioned by other members for buy. If you are comparing with my take on then, you will be confused. Each of us have different trading methodologies. Each will produce different results. For example, my way of trading may produce 3 winners out of 10. But, when they do, they may erase the money you lost. Other trading methodologies may produce 7 winners out of 10. But, they may result in less profits then mine. So, each of us have different way of looking at things.

2. Like stock selection, stock elimination is as important. We have so many stocks. How do you pick the right one. What constraints do you use for eliminating those stocks that have less probability of making you money. Following constraints help me focus on few:

a. One of the constraint I use for going long is short term EMA (8) cross up Intermediate EMA (50) day EMA. This condition will virtually eliminate lot of down stocks. It also makes you buy close to 50 day EMA (when the stock pullsback), which is a sweet spot for many traders.

b. Other condition you can use is to pick a stock in the strong sector. In effect, you are eliminating all the other sector stocks.

 

[vachhanipm]

hi vvonteru,

can u tell me, wht should be the stop loss for sterlite industries?

thanks & regards

Pankaj

 

[vvonteru]

hi vvonteru,

can u tell me, wht should be the stop loss for sterlite industries?

thanks & regards

Pankaj

It all depends on where you entered. If you just bought, use 350 (below previous base). ATR (Volatility of Sterlite) = 37. Consider trailing stop 3 * ATR. As you make profits, consider locking profits by trailing stop by varying (reducing) the multiple of ATR.

 

[eskay_raut]

Thanx VVonteru,

Eskay

 

[eskay_raut]

dear friend eskay,
first of all i am sorry. don't know what got into me to write that. again apologies.
and as far as being senior is concerned just posting 100 odd post makes one senior. and that no ways means the person is mature or something.(myself case in point)
had abosolutely no intention of hurting ur feelings.
Friends??
and a digital handshake to seal it!

friends ofcourse
Digital handshakes too..

Eskay