Nifty Futures Trading

[kkseal]

Re: Time to Stick my Neck Out ,Nifty 7300

Perhaps the US bogey will couple to the engine of grwoth.
http://biz.**********/ap/080311/economic_forecast.html

Replace the asteriks with the current take over target of Micro Soft.

Did you mean
biz.Y_ahoo/ap/080311/economic_forecast.html ?

(without the underscore off course)

 

[kkseal]

Re: Time to Stick my Neck Out ,Nifty 7300

oh i get it Was missing the .com

 

[adilsaleem]

Re: Time to Stick my Neck Out ,Nifty 7300

Why no excitement on traderji ... DOW is up 340 points with the critical last one hour left. 4994 tom. ??

 

[Saint]

Re: Time to Stick my Neck Out ,Nifty 7300

Saint,

Can you please tell how one decides whether to carry a position overnight? I don't believe there is a good-till-cancel stop loss, and anyway a 100-150 point gap down will kill you anyway.

I asked a question on this forum last evening, but late, and decided to continue holding long position. That was partly based on global conditions at that time - which turned out to be miscues as of today AM. It would have been trouble for me if the market would have fallen as SGX Nifty indicated.

Thanks,

-- Milind

Hi Milind,

Basically I keep things simple........I am always trading the 60min chart,and I also have intraday positions on......The intraday I get out during the day,sometimes I hold back 1/4 or 1/5 overnight......The 60min I hold,take some off in the middle,and hold the rest till pivots crack.Which means taking overnight holds.....meaning gap risks!!

For example,60min charts yesterday gave me an indication to get long,we had a gap down,still formed a higher pivot low and went on to new highs.Or it could have hit the stop,well,then stopped.Or gapped way below the stop........well,part of trading.The 60min trade is fraught with great rewards and great risks......if you play it right,greater rewards than risks.If you don't do it right,huge amounts of pain!!

The Intradays are nicer to play.....but it's the hourly that beefs up my account......but keep away if not to your liking though.

And,no.....a gap down of 150 pts ain't gonna kill me,my friend!

Saint

 

[Saint]

Re: Time to Stick my Neck Out ,Nifty 7300

I would leave the answer to the question to Saint but would like to comment on this particular aspect.

First of all, even if there is a GTC order facility, it'll trigger only when the market opens next day. If there is a huge gap down and market reverses, this order may get triggered at the low of the day as wll.

About a 100-150 point gap down, it's only 2-3% move which can be fairly expected in any market. If such a move can kill a trader then he seriously needs to revise his position size and leverage.

Now let's brianstorm a few scenarios.:-

What if there is a 10% Gap Down? Market filters would be triggered, trading will stop for 1 hour and most probably there will be a bounce back from that level.

What if market gaps down by 5%? The simple funda is to wait for the formation of 5 minute bar. If high of the first five minute bar is cut on the upper side, most probably gap will be filled up and one can exit with minimum losses. However, if the low is of that 5 min bar is violated, exit long and go short. One may make good his losses in the downward fall.

Hence, I would advise you to position size in such a manner that even if there is a 10% gap down, it wont kill you and will leave enough money on the table to pick up some nice entries.

Regards,
--Ashish

Excellent Post,Ashish!

Gapping the wrong direction is part of trading..........I do the same as above.Have posted it many times before..........If Gap down,I sell off if the 5min bar gets violated to the down,and I short it.If Gap down,and then the 5min bar makes newer highs......then great!If Plan permits,and position size all looked into,then a great place to go long,as in add to longs....Which is what I did today.

And position sizing is key .....else great pain would be felt and that trade comes to naught.

Once again,a great post from Ashish..


Saint

 

[Saint]

Re: Time to Stick my Neck Out ,Nifty 7300

Yummy.....DOW up +350 points.Nice....

Saint

 

[rajaram.dilipkumar]

Re: Time to Stick my Neck Out ,Nifty 7300

Why no excitement on traderji ... DOW is up 340 points with the critical last one hour left. 4994 tom. ??

because we are busy placing after market buy orders

 

[uasish]

Re: Time to Stick my Neck Out ,Nifty 7300

Excellent Post,Ashish!

Gapping the wrong direction is part of trading..........I do the same as above.Have posted it many times before..........If Gap down,I sell off if the 5min bar gets violated to the down,and I short it.If Gap down,and then the 5min bar makes newer highs......then great!If Plan permits,and position size all looked into,then a great place to go long,as in add to longs....Which is what I did today.

And position sizing is key .....else great pain would be felt and that trade comes to naught.

Once again,a great post from Ashish..


Saint

Still remember vividly about your advise to tackle Gap.

 

[uasish]

Re: Time to Stick my Neck Out ,Nifty 7300

" What if market gaps down by 5%? The simple funda is to wait for the formation of 5 minute bar. If high of the first five minute bar is cut on the upper side, most probably gap will be filled up and one can exit with minimum losses. However, if the low is of that 5 min bar is violated, exit long and go short. One may make good his losses in the downward fall.

Hence, I would advise you to position size in such a manner that even if there is a 10% gap down, it wont kill you and will leave enough money on the table to pick up some nice entries.

Regards,
--Ashish "

Thks once again.

 

[uasish]

Re: Time to Stick my Neck Out ,Nifty 7300

Ashish,

Can you once again show us a " Cup & Handle " formation & how to Trade that.

Asish