Learning to catch High Probability Breakouts

[nitingosavi]

looks like Dow Jones weekly/monthly chart has a support around 17100 +/-
if broken may be a scope of another 500-1000 points..(?)

 

[jain.er]

There is a serious bleeding of portfolios, very risk market. I am freezed and unable to take losses, planning to hold not sure what would happen. Although stocks in my portfolio are of good quality but still this time it feels risky, this fall don't look like it will end early. Portfolio has increased seriously in size now, hope things improve, mind says it wont but heart dont have the courage to take losses.

 

[Somatung]

There is a serious bleeding of portfolios, very risk market. I am freezed and unable to take losses, planning to hold not sure what would happen. Although stocks in my portfolio are of good quality but still this time it feels risky, this fall don't look like it will end early. Portfolio has increased seriously in size now, hope things improve, mind says it wont but heart dont have the courage to take losses.

If you feel market will further move down, buy some Nifty puts (may around 50 to 100 points over the levels you think it may could reach, so that you get finally itm options). Also consider the time frame you think this could happen. It is just an insurance as you have an insurance for your car.

Take care and good luck / Dan

 

[nitingosavi]

two more stocks which i think are on the verge of probable short term breakdown. It can be wrong while trying to find probability with possible reasons

Asian Paints daily
1.looks like a double top. and followed by a lower high.
2.last bar is a key reversal bar
3.any rise in crude oil prices which is extremely oversold rgt now can have some negative effect on this stocks price. i think it relates with something "raw material" but dont know surely.
4.it closed just on the recent support line.. a little push down can give us a good trade.

Icicibank daily. just a little push down needed.. may happen today(?)
1.fallen after making top and consolidating.
2.broken a long trend line on daily chart.
3.looks like a HnS to me but not sure.
4.EMA 34 below EMA 55.
5.Rupee weakning against USD

 

[amitrandive]

Hi amit, I had been following this post for quite some time. I saw something in DCB some days ago the same I saw now in this chart of vakrangee today closing at 20% down circuit. The common in them is that both kept support till 3pm and heavy selling came in last half an hour. Unfortunately I had both of them in my portfolio. The chart is of vakrangee daily and 5 minute charts. Can you help in some measures to avoid these losses?

Hi
If you are an investor you should not make decisions based on 5 minutes charts.

Nothing can save these kinds of losses except a hard physical stop loss put in the market on everyday basis.

Daily Chart of DCB

Daily Chart of Vakrangee

 

[amitrandive]

There is a serious bleeding of portfolios, very risk market. I am freezed and unable to take losses, planning to hold not sure what would happen. Although stocks in my portfolio are of good quality but still this time it feels risky, this fall don't look like it will end early. Portfolio has increased seriously in size now, hope things improve, mind says it wont but heart dont have the courage to take losses.

The art of cutting your losses

http://www.investopedia.com/articles/stocks/08/capital-losses.asp

 

[XRAY27]

The art of cutting your losses

http://www.investopedia.com/articles/stocks/08/capital-losses.asp

Excellent post Amit bhai !!!:clapping:

 

[amitrandive]

Daytrading is a fantastic profession if we are able to survive through the initial years. But let me caution you....the success rate is very small...less than 5 % so it obviously wont be easy.

Initially in daytrading we start with 1-2 Lacs capital but as we become successful, we have to increase our capital by adding back the profits. Problem is that traders after 5-10 years still keep trading 2-4 lots on small capital and compare their earnings with IT professional or corporate executives....for a full time trader one needs upwards of Rs 10-12 Lacs or more as trading capital....one can trade some swing trade positions also.

I have no doubt in my mind that trading is one of the best professions.If I have to start as a 20 years young man all over again, I will definately opt for trading again, no second thoughts.

Smart_trade

:clapping::clapping::clapping:

 

[amitrandive]

Justdial

Daily Chart of Justdial

Currently in a downtrend.Closing -6% down today.

 

[amitrandive]

Stocks hitting 52 Week high despite bearish Market.