Sharing my trades with proper trade setups

[STRATEGICINVESTMENTS]

Hello Friends,

Yesterdays close was 6178. Today market made a high of 6252 and closed at 6164 with a decrease of 1cr 20 lakhs in volume. It is clearly showing that market is not interested in going up. If market was interested in going up than there must be a demand as soon as market rallied above yesterdays high of 6217. But there was no participation by smart money even above the yesterday's high. Price remained above for few hours (more than minutes). Its a bearish characteristic.

Second bearish sign is that price closed today below yesterday's price.

Third bearish characteristic is that volume has decreased from yesterday by about 1.20 cr. Take it in a context that price broke yesterday's high and remained there for much time. Hence it shows a weakness of bulls.

Fourth bearish characteristic is showing in weakly charts. I don't use much weekly and monthly charts as they loose sensitivity. But there range is decreasing clearly and market has today poked above the high of 25th May 13 but closed below the low of last week's 6189. Weekly volume is also confirming that price is taking very less interest in going up.

1st I am still having bearish sentiments so no longs. Only looking for shorting opportunity to take part.

2nd I was stopped out today in the Nifty but took position again at the time of closing.

3rd Relaince has closed at 884. This stock is enough to take market down alone many times.

Hope many ghosts are following this thread :clapping:.

Regards

Strategic Investments

(Can anybody please tell me how to bring back my old charts which I posted on this site. I request moderators to restore them on the same postings where they were posted.)

 

[STRATEGICINVESTMENTS]

Good Observations
target for Nifty is minimum 5980 SL 6243
:thumb:

Hello Saravananks,

I am not used-to to keep stop losses of 60 points approx (yesterday's close was 6178 and your stop loss was 6242). I prefer SL of 5 to 25 points max. Even 25 is too much for me.

I am not saying that your style is wrong. Just want to bring in your kind notice that I am not comfortable with such stop losses. Generally I have to take twice or thrice a same position at same levels because of constantly hitting of stop losses.

Thanks for appreciating my observation. Even after correct observation the toughest part is to trade as per that observation. I am doing here just the easy part leaving the toughest part to you and to my Ghost Friends !!

Regards

Strategic Investments

 

[manojborle]

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[STRATEGICINVESTMENTS]

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Hello Manojborle,

First of all thanks for sharing your views also.

I don't use just lines or patterns for trading, infact I never try to see patterns in charts. You have not mentioned your entry and also the reason of entry. If possible please share.

Lets discuss about it in one possible example. You said if price breaks the demand line and will remain there(means close), then only you will consider it in downtrend. Suppose price opens today below the demand line and close's below 15 to 20 points then you will consider it in downtrend and hopefully will enter at that price. But then the closing price will be at approx at 862 (Open 882 less 20 points). So if one enters at 862 then where will be his stop loss ? At 915+3/5 or at the above of demand line 882+3/5? This is not a good way of trade as per risk reward ratio and it is one of the most imp aspect in my trading.

Drawing of supply line became possible only after the making of 915.50 high. So one can't anticipate in advance but I gave this level before making. So if one had traded it with entry between 913 and 915 with stop loss at 917 / 918 then the risk was just 3 to 4 point max and profit is much more. If this level didn't work then one will lose a very small amount and should wait till price reaches next level of 927 or can also enter in the middle as per daily analysis.

If I am missing something then kindly share with us.

Regards

Strategic Investments

 

[SaravananKS]

Hello Saravananks,

I am not used-to to keep stop losses of 60 points approx (yesterday's close was 6178 and your stop loss was 6242). I prefer SL of 5 to 25 points max. Even 25 is too much for me.

I am not saying that your style is wrong. Just want to bring in your kind notice that I am not comfortable with such stop losses. Generally I have to take twice or thrice a same position at same levels because of constantly hitting of stop losses.

Thanks for appreciating my observation. Even after correct observation the toughest part is to trade as per that observation. I am doing here just the easy part leaving the toughest part to you and to my Ghost Friends !!

Regards

Strategic Investments

Yes SI,

The Toughest part is Trade management than Trade Observation as well as Analysis
:thumb:

 

[manojborle]

Sir, I had not said that I will enter to short side.
I was saying that breakdown will most probably fail.
So what you said that reliance will bring down nifty should have less probability.

Also you said for drawing Supply Line We had to wait, it is not like that.
Previous Supply line was broken on 18th Oct which was a good bar, for which target comes around 1030+ which has not achieved yet.

Off course your way of trading will be better, anyways I am learning so It will be good if you share the method you follow so that everybody can learn.

Thanks

 

[manojborle]

Hello Manojborle,

First of all thanks for sharing your views also.

I don't use just lines or patterns for trading, infact I never try to see patterns in charts. You have not mentioned your entry and also the reason of entry. If possible please share.

Lets discuss about it in one possible example. You said if price breaks the demand line and will remain there(means close), then only you will consider it in downtrend. Suppose price opens today below the demand line and close's below 15 to 20 points then you will consider it in downtrend and hopefully will enter at that price. But then the closing price will be at approx at 862 (Open 882 less 20 points). So if one enters at 862 then where will be his stop loss ? At 915+3/5 or at the above of demand line 882+3/5? This is not a good way of trade as per risk reward ratio and it is one of the most imp aspect in my trading.

Drawing of supply line became possible only after the making of 915.50 high. So one can't anticipate in advance but I gave this level before making. So if one had traded it with entry between 913 and 915 with stop loss at 917 / 918 then the risk was just 3 to 4 point max and profit is much more. If this level didn't work then one will lose a very small amount and should wait till price reaches next level of 927 or can also enter in the middle as per daily analysis.

If I am missing something then kindly share with us.

Regards

Strategic Investments

Sir, what happened in reliance today, this is what I was talking yesterday to you.
If you can check the chart see where was Demand Line and where was today's low, just a 1 point difference.
As expected it tried to breakdown the Demand line and failed which I said yesterday.
Yes on Monday now if it breaks Demand line then it should be a valid breakdown and breaking Demand line does not mean waiting for close here.
As it was an Up day today, Break of Demand Line intraday will also qualify for valid Breakdown.

Thanks

 

[mastermind007]

Hello Friends,

I am surprised that no one is taking interest in this thread.

Are traders or readers interested only in exact entry and exit points without so much details or rationale behind the trade ? If so then I will change my writing style.

I don't want to boast about myself but kindly check my previous entries.

I said only about below mentioned three trading opportunities till now.

DLF as predicted is up and didn't break the level of 120-124. But now it has started showing signs of trouble.

Currency is weak as predicted by me on last Sunday.

NIFTY is facing tough resistance in the RESISTANCE ZONE mentioned by me and it has come down from it.

I may be wrong in the future and then I will try to learn from them but I know one thing that edge is always with me so overall it will be a profitable situation. If I start loosing edge then only I will give it a serious thought.

Questions are welcome.

Strategic

Please continue with this style. I only saw this thread today hence this post. It was good to understand your thoughts. I do not have Intraday data for DLF, but I do have EOD, so I will be checking that. Also liked the questions (and charts) raised by Johnny and ryan4. It was good to see multiple thoughts...

 

[STRATEGICINVESTMENTS]

Sir, what happened in reliance today, this is what I was talking yesterday to you.
If you can check the chart see where was Demand Line and where was today's low, just a 1 point difference.
As expected it tried to breakdown the Demand line and failed which I said yesterday.
Yes on Monday now if it breaks Demand line then it should be a valid breakdown and breaking Demand line does not mean waiting for close here.
As it was an Up day today, Break of Demand Line intraday will also qualify for valid Breakdown.

Thanks

Hello Manojborle,

Kindly note that in your chart (post no 43) you said "IF IT OPENS BELOW DEMAND LINE AND STAYS BELOW IT THEN IT WILL BE A VALID BREAKDOWN". First of all there is no clear definition of STAYS BELOW IT as price can zig zag above and down the demand line (roughly 882 as per your chart) many times in a day. I understood it in this way that you would assume that reliance is in downtrend only if it closes below demand line. (I don't pay much attention to open prices as you can see that I don't use open prices in my charts) Hence I gave you one hypothetical example, not what I was expecting. I expected reliance to go down first at 895-900 second at 915 and third at 927. Kindly go through my post to understand it now. Hence once reliance is closed below 882 only then you will consider it in downtrend and next day or at the closing time of same day will take position in it. This is what I got / understood from your post.

BTW for more accurate demand line use the lows of 28th Aug 2013 and 1st Oct 2013 instead of lows used by you and also for supply line use 18th May 2009 and 21st Jan 2013.

Also you said for drawing Supply Line We had to wait, it is not like that.
Previous Supply line was broken on 18th Oct which was a good bar, for which target comes around 1030+ which has not achieved yet.

Dear friend, here you have drawn the supply line using the high's of 19th July 2013 and 21st Oct 2013. For drawing Supply Line you need at least two points and second point used by you is 21st of Oct. As I said earlier that you have to wait till 21st of Oct for drawing the supply line. It is clearly understood. No one can draw the supply line before this on your chart. Hope you are also talking of supply line in the same context as by me.

Also as stated by you that supply line was broken on 18th of oct, I was unable to understand that sentence. If you want to say about some supply line which was not on your chart then its very difficult for me to understand.

Hope I cleared my understanding now. I prefer to discuss such points on skype with teamviewer instead of in writing. Trading is my work as well as love and I do it with lots of passion.

Strategic

Please continue with this style. I only saw this thread today hence this post. It was good to understand your thoughts. I do not have Intraday data for DLF, but I do have EOD, so I will be checking that. Also liked the questions (and charts) raised by Johnny and ryan4. It was good to see multiple thoughts...

Thanks for your kind words. I am attaching the DLF Futures chart for your reference which was posted by me earlier but got deleted. If you or anybody needs any intraday or any chart of futures or options or index or point and graph or renko then feel free to ask me.

DLF is down and trading around 151.45 now.

I have squared off my Nifty futures position on Friday and no fresh position at present.

Chances of updating this thread in weekdays is very difficult but I will try my level best to reply all questions raised.

Regards

Strategic Investments

DLF Near Future Chart
[img=http://imageshack.us/scaled/thumb/9/ckeo.png]

 

[manojborle]

I am using Demark method to draw trendlines.(Though I am still learning, so by some practice I will be able to draw Supply/Demand Lines more correctly).

As per my understanding till now, We have to mark 2 most recent Supply/Demand Pivots and then draw Trendlines through them.

For validity of Breakout/Breakdown, He has some qualifiers which I am trying to use in my analysis and by using those only I have written about Reliance.

I am also trying to include Price Action method by Al Brooks to analyze Scrips.

It will be really helpful If you can correct mistakes of newcomers like me.

Thanks Sir,