Learning to catch High Probability Breakouts
- Thread starter amitrandive
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Trick used to find turnaround stock
I like to see stocks which are near their high /low range . And not only in terms of price , but also other F&O parameters, especially Open Interest (OI) and Delivery.
Why ? because OI itself is like a pressure cooker, there is a limit to how high can it go, and at the tipping point either the bulls or the bears will eventually give in, and the price would flow in the reverse direction. And if coupled with high delivery volumes, it is like a sure shot .
But how do identify if these parameters are near their high/low ranges from so many F&O stocks in a quick & easy way? For this we have to use the “Ranges” .
Disclaimer: Just for knowledge purpose ,not as an advertising.
I like to see stocks which are near their high /low range . And not only in terms of price , but also other F&O parameters, especially Open Interest (OI) and Delivery.
Why ? because OI itself is like a pressure cooker, there is a limit to how high can it go, and at the tipping point either the bulls or the bears will eventually give in, and the price would flow in the reverse direction. And if coupled with high delivery volumes, it is like a sure shot .
But how do identify if these parameters are near their high/low ranges from so many F&O stocks in a quick & easy way? For this we have to use the “Ranges” .
Disclaimer: Just for knowledge purpose ,not as an advertising.
Great discipline and trade management :thumb:
As I said in Tata Motors post, Brexit is a major event and might have a huge impact on other markets especially for the stocks with exports to EU/Britain. So it would be better to be careful about the stocks in portfolio as we might get the same stocks for much discount after a couple of days. It would help a lot in safe guarding portfolio value.
Having said that, I more or less feel Brexit is already discounted by the markets as the hype is really high from the last week. Nifty might see a good support from 7980-8040 levels. I won't be worried until that levels but once those levels are broke, it might be a real reason to worry. 100-150 points fall in Nifty is completely possible from the current levels. Brexit might be discounted but post the event, if Britain exits EU, it might have a good hit on Rupee and that might impact our markets more than Brexit itself.
If you are looking for medium to long term ( 6-12 months at least), better to pick some value stocks and then invest in them .
Better Investment method:
* allocate the amount you want to invest
* then divide it for each stock
* Then divide the amount available to be invested for each stock into 3-4 equal parts and buy the stock at every 100 points fall. It would make the average price of stock at a decent levels as we can't buy the stock at tops/bottoms of market.
Having said all that, this is entirely my point of view and as some great man said, "Market is ultimate and we all should follow what it shows to be profitable" . Any views are most welcome . Happy Trading and investing :thumb:
As I said in Tata Motors post, Brexit is a major event and might have a huge impact on other markets especially for the stocks with exports to EU/Britain. So it would be better to be careful about the stocks in portfolio as we might get the same stocks for much discount after a couple of days. It would help a lot in safe guarding portfolio value.
Having said that, I more or less feel Brexit is already discounted by the markets as the hype is really high from the last week. Nifty might see a good support from 7980-8040 levels. I won't be worried until that levels but once those levels are broke, it might be a real reason to worry. 100-150 points fall in Nifty is completely possible from the current levels. Brexit might be discounted but post the event, if Britain exits EU, it might have a good hit on Rupee and that might impact our markets more than Brexit itself.
If you are looking for medium to long term ( 6-12 months at least), better to pick some value stocks and then invest in them .
Better Investment method:
* allocate the amount you want to invest
* then divide it for each stock
* Then divide the amount available to be invested for each stock into 3-4 equal parts and buy the stock at every 100 points fall. It would make the average price of stock at a decent levels as we can't buy the stock at tops/bottoms of market.
Having said all that, this is entirely my point of view and as some great man said, "Market is ultimate and we all should follow what it shows to be profitable" . Any views are most welcome . Happy Trading and investing :thumb:
Last edited:
Gold rocks....
Things are moving according to calculations....
Indian rs can depreciate to 75 against USD in coming days...
Last few European sessions were 5-7% up... all that bulls will be traped with a big crash in market....
All stop loss will trigger today which can lead to market crash in Europe......
Things are moving according to calculations....
Indian rs can depreciate to 75 against USD in coming days...
Last few European sessions were 5-7% up... all that bulls will be traped with a big crash in market....
All stop loss will trigger today which can lead to market crash in Europe......
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