My daytrading

[Raghavacc]

Raghav,
On the attached Image there are two IB bars and how to take targets on this IB bars.
http://imgur.com/EirJn

Hi Krish,

Indeed an Excellent question means you are doing good homework.Don't stop it!!!
Lets play some mathematical games.

The area between 2 green lines is area "A".
The area between 2 pink lines is area "B".
The area between 2 blue lines is area "C".

Ref to chart, I would say usually its B=A and C=B.

But going one step ahead I would say C=A+B.Important is it worked However we need to make lot of experiments and exercises before we make a specific rule.

I can assure you Inside bar as a concept works and works wonderfully.

 

[Raghavacc]

Raghav:

I have inserted numbers 1 to 9 on the same chart you have posted.

Now:

1. The close of candle no. 1 has just touched the high of the day. The close has not crossed the high of the day. However, there were good volumes on this candle.

2. Candle nos. 2 to 6 could not close above the high of the day. Volumes were not much for these candles.

3. Candle no. 7 however closed above the high, but no much volumes here also. 8th candle was almost indecisive, red in colour, but had good volume.

4. Finally it was candle no. 9, which went well past the high, with good volume and closed far above the high.

Now, with the status of the candles as above, my questions are:

A. After which candle you have taken the decision to go long? You said you entered at 995, but where was it?

B. Or, did you place a limit order above 995, in anticipation of a break-out?

If you take a little time to explain in detail, it will help me a lot in taking proper trading decisions..

Thank you..

Hi Murthy,

Again detailed explanation????.....hmmmmm:

Above chart should clarify your doubt.

Now a days this thread has become a thread of inside "BAR" traders :lol::lol:

 

[murthyavr]

Above chart should clarify your doubt.

Now a days this thread has become a thread of inside "BAR" traders :lol::lol:

Thanks Raghav, now I got it. :clapping:

You posted a 5min TATAMOTORS chart at post #727, and I could not correlate it to the trading logic..

 

[murthyavr]

And, besides what you said, this looks like a Cup and Handle pattern?

Is it not?

 

[bikashkumar11]

“Factoring”means Market discounts all the news and events for a company well in advance and also of its effects on its valuation of shares .Putting it simply the price which we saw today of TATA MOTORS is not the price on 29-6-2011.It is a price of TATAMOTORS may be of 31-12-2011 or 31-3-2012.

Raghav Sir,
you have no idea how much i appreciate your effort. i am trying to demystify the above statement. i think if i understand this: it will help me to understand how the money moves from bond-stocks, commodities, currency,due to macro economic variables GDP,Inflation,interest rate...how sector rotates. I think your write-up will give much more Idea. I am going through lot of things i am reading wherever my hands lay upon...now i think time hascome to reduce that learning curve. Some times i am so near to solve but then something happens and throw me real far.
thanks.

P.s:You and Aditya saraf are in my hall of fame.

 

[adityasaraf007]

“Factoring”means Market discounts all the news and events for a company well in advance and also of its effects on its valuation of shares .Putting it simply the price which we saw today of TATA MOTORS is not the price on 29-6-2011.It is a price of TATAMOTORS may be of 31-12-2011 or 31-3-2012.

Raghav Sir,
you have no idea how much i appreciate your effort. i am trying to demystify the above statement. i think if i understand this: it will help me to understand how the money moves from bond-stocks, commodities, currency,due to macro economic variables GDP,Inflation,interest rate...how sector rotates. I think your write-up will give much more Idea. I am going through lot of things i am reading wherever my hands lay upon...now i think time hascome to reduce that learning curve. Some times i am so near to solve but then something happens and throw me real far.
thanks.

P.s:You and Aditya saraf are in my hall of fame.

Excuse me...... I guess you are referring to me...... Thanks for your appreciation, but what made you write so.... I am absolutely curious ....

Aditya

 

[Raghavacc]

“Factoring”means Market discounts all the news and events for a company well in advance and also of its effects on its valuation of shares .Putting it simply the price which we saw today of TATA MOTORS is not the price on 29-6-2011.It is a price of TATAMOTORS may be of 31-12-2011 or 31-3-2012.

Raghav Sir,
you have no idea how much i appreciate your effort. i am trying to demystify the above statement. i think if i understand this: it will help me to understand how the money moves from bond-stocks, commodities, currency,due to macro economic variables GDP,Inflation,interest rate...how sector rotates. I think your write-up will give much more Idea. I am going through lot of things i am reading wherever my hands lay upon...now i think time hascome to reduce that learning curve. Some times i am so near to solve but then something happens and throw me real far.
thanks.

P.s:You and Aditya saraf are in my hall of fame.

Hi Bikash,

Thanks for your kind words.Let god bless all of your efforts.

Coming to that "factoring" subject let me make it simple for you.

Lets say that you want to construct a house and say it takes 1 year to complete.You will call a civil Engineer. What does he do?He first estimates the current cost of materials,labour and services.Then he estimates the time period needed to complete the project ,in this case its one year.Then he estimates inflation for next one year and its likely impact on the prices and adds that "EXTRA"charges to the current cost estimation and gives you the quotation .Am I right?

Here that Engineer has "factored" future events and its likely impact on the prices.Hence when the price rises he is not shaken much as its already included in the quote he has given...

Market works similar way .However few donkeys here and there on the floor and off the floor of the exchange in association with business channels,brokers and tip providers make sure that herds believe what they say and thereby make a day robbery.............

 

[bikashkumar11]

Excuse me...... I guess you are referring to me...... Thanks for your appreciation, but what made you write so.... I am absolutely curious ....

Good evening Aditya!

nothing to amuse actually fortnight ago when i took off to serious study of market, i was in the crossroad what to learn how to start then i come across raghv sir's thread...and it was cumbersome to be in the same page and read and the whole thread screen was not coming to the screen of my laptop and while doing so i miss either chart or write up which are explaining the chart. to overcome that problem i bought pc...but some the problem remain there like scrolling and in between comments which was trivial ( i am using this word because in the flow some of the comments were really not worth for)And i come across your word doc edited well groomed, managed, i went through entire thread in 48 hours in 3 days. your hard work has reflected in that work. and it does not end there. I love your other thread "Does Support and Resistance Work?"
this is one of the great work. I follow them silently and simply thanked them; As I find my knowledge little inadequate to jump in the middle. So once again thank you i genuinely feel that if you been helped by some one anywhere you must acknowledge it
Thank you once again.
bikash

 

[VJAY]

Hi Bikash,

Thanks for your kind words.Let god bless all of your efforts.

Coming to that "factoring" subject let me make it simple for you.

Lets say that you want to construct a house and say it takes 1 year to complete.You will call a civil Engineer. What does he do?He first estimates the current cost of materials,labour and services.Then he estimates the time period needed to complete the project ,in this case its one year.Then he estimates inflation for next one year and its likely impact on the prices and adds that "EXTRA"charges to the current cost estimation and gives you the quotation .Am I right?

Here that Engineer has "factored" future events and its likely impact on the prices.Hence when the price rises he is not shaken much as its already included in the quote he has given...

Market works similar way .However few donkeys here and there on the floor and off the floor of the exchange in association with business channels,brokers and tip providers make sure that herds believe what they say and thereby make a day robbery.............

:clap::rofl::rofl:

 

[bikashkumar11]

Hi Bikash,

Thanks for your kind words.Let god bless all of your efforts.

Coming to that "factoring" subject let me make it simple for you.

Lets say that you want to construct a house and say it takes 1 year to complete.You will call a civil Engineer. What does he do?He first estimates the current cost of materials,labour and services.Then he estimates the time period needed to complete the project ,in this case its one year.Then he estimates inflation for next one year and its likely impact on the prices and adds that "EXTRA"charges to the current cost estimation and gives you the quotation .Am I right?

Here that Engineer has "factored" future events and its likely impact on the prices.Hence when the price rises he is not shaken much as its already included in the quote he has given...

Market works similar way .However few donkeys here and there on the floor and off the floor of the exchange in association with business channels,brokers and tip providers make sure that herds believe what they say and thereby make a day robbery.............

WOW that"s something! I think i will have to dig more in this simple common sense. will certainly bother you for your insight.