I can help you with stock chart reading

[vvonteru]

Until the market makes the move, lets not take short position. However, we can identify at what point the downward move will be confirmed. Notice the low volume the recent uptrend of Sensex and Nifty. Please confirm the validity of data.

We will use the following to identify the start of downtrend. Since, we are determining the turning point, our stop will be close to exit otherwise.

1. If Sensex goes below July 7th. This is the low of the recent base and also the high of previous pull back on June 26th.
2. If MACD crosses down. After June 19th crossing up, it never crossed down.
3. If 8 day EMA crosses down 50 day EMA.
4. Depending what signal we use, we will use the opposite to exit. In case of signal 1, we will use 11000 to exit.

Same can be pointed in case of Nifty.

Guys,

Market turned. Point 1 came true. This will be followed by Point 2 and Point 3. Major support is at June 14th. At that point, it will be double bottom. If that doesn't save, then the market is doomed. However, there are intermediate smaller supports. If the market stops at these levels, we may for trading range.

Can you short? Market is not yet oversold (RSI = 50). Lets see if we can find stocks that already made a move. Our stops will be far, since we missed the moved today. Or else, we can wait for next pull back. By that time, we will have a better picture. Consider the following for short:

1. SAIL
Entry at CMP 72.05 (If I had considered this for short 2 days back, the entry would be 74)
Exit: Above Double Top around 87. Also, if 8 day EMA crosses above 50 day EMA. If it does, we are in for choppy trade.
Profit: between 60 and 65



Ref: Bank of India
-- Hope you heeded my advise and did not buy.

 

[GKHERA99]

i intended to undertake short sell bank of india and gained by doing so thanx for ur prompt analysis

 

[LEYAKATH]

எனக்கு ஸ்டாக் சம்பந்தமாக அதிகம் தெரிந்து கொள்ள ஆசை யாரேனும் உதவுவீர்களா [email protected]

 

[tabularasa]

on mr. vvonteru's guidance i hv entered cement sector with GUJAMBCEM at 103.20
and ACC at 814.

lets see how it goes.
atleast yesterday cement was holding its own.

-
t.r

 

[vvonteru]

on mr. vvonteru's guidance i hv entered cement sector with GUJAMBCEM at 103.20
and ACC at 814.

lets see how it goes.
atleast yesterday cement was holding its own.

-
t.r

I suggest you have only 1 stock position in a sector. When market goes down south, nothing holds, except Health Care, Utilities and commodity related stocks (Oil & Metals). Cements are doing good. Can they resist the storm? Also, consider 8 day EMA crossing down 50 day EMA to get out.

Consider the following for short for tomorrow (including SAIL specified in previous reply):
1. Terasoft (BSECode: 590020) (Couldn't get sector info)
2. Sea Marine (NSECode: SEAMECLTD) - Sector: Shipping
3. Opto Circuit (OPTOCIRCUI) - Sector: Electronics/Engineering
4. Classic Diamonds (CLASSIC) - Sector: Gems

Guys, these are stocks from my scan. Do Ur analysis before you take a position. Let me know if you need more info.

 

[Traderji]

எனக்கு ஸ்டாக் சம்பந்தமாக அதிகம் தெரிந்து கொள்ள ஆசை யாரேனும் உதவுவீர்களா [email protected]

Hey, we are running a forum in English and would appreciate if you would stick to it!

 

[ramakrishnaiah]

SBI is trading at <700 levels.. Is it a good time to enter from 2-3 months term?

Also, Suzlon tanked yesterday and is trading weak today as well. Has it entered a bearish phase?

 

[harmads]

Hi vvonteru

Would appreciate your valuable comments on Ranbaxy & Cipla . Both these companies are going down steadily.. although I have been making a picking of these both but I would like to know if there is any inside story concerning the both.. their fundametals seem quite ok..

Thanks

 

[nilesh78]

Hi VV,
I would like to know your view on Drreddy & Punjlloyd.
Punj lloyd is moving downwards from last couple of weeks.
Regards,
Nilesh

 

[vvonteru]

SBI is trading at <700 levels.. Is it a good time to enter from 2-3 months term?

Also, Suzlon tanked yesterday and is trading weak today as well. Has it entered a bearish phase?

I wouldn't touch banks. I wouldn't go long until Sunsex takes out recent double top. We can consider going long if Sunsex finds support and goes for trading range. Lets wait for couple more weeks to get the picture. In any case, stay away from banks unless you want to short. They crossed down 1 month low support.

Suzlon
-- Hopefully, you did not buy into it directly. The buy point I suggested did not get triggered. You can use this way of buying to avoid some pitfalls. The stock slightly recovered today. 8 day EMA crossed down 50 day EMA. If it recovers further, I would go short on it (depending on general market). When it recovers, get out of the stock.

Ranbaxy
-- Major support at 350 is broken. You have more supports at 300, 250. After that, it is were the stock has started. Breaking 350 does not bode well to the stock. So, technically it is bearish. If the general market recovers, we can hope better. But, 350 support (now resistance) is the key.

Cipla
-- Cipla is doing better. MACD is positive. Again, depends on market direction. If market changes direction and goes up, this stock will be first to follow.

Drreddy
-- Watch out for 1140 month low resistance. If that breaks, then we are going for 1000. Consider getting out if the stock decisively (not daily noise) takes out 1140. For idea, look at Ranbaxy.

Punjlloyd
-- In a good market, the MACD of this stock would make a buy into this stock. Not now. The stock never recovered in the last month, like the major indexes. If indexes fall down, then what happens to this stock is anybody's guess. Look at MACD for clues. Right now MACD histogram is positive, showing the June-July's downtrend did not keep up with May's mayhem.