Stocks To Keep A Close Eye On

[tvrssvk]

Hi All,

I am unable to get the technical stuffs going on in this forum. However, I am learning very hard, since I do not know the abc...of the market.

I would like to inform all that I paper traded for almost 3-4 weeks---the 5 scripts mentioned in Business Standard newspapers on Monday. The trade lasts from 2-5 days.

By following strict stop loss, I was able to make a decent profit overall. Your views on this appreciated.

 

[bhum_5]

HI SAVANT ,

PLEASE EXPLAIN HOE TO CALCULATE ( RS ) IN BELOW MENTIONED FORMULA . X is confusing me here


Relative Strength Index - RSI
What Does Relative Strength Index - RSI Mean?
A technical momentum indicator that compares the magnitude of recent gains to recent losses in an attempt to determine overbought and oversold conditions of an asset. It is calculated using the following formula: RSI = 100 - 100
______
1 + RS

RS = Average of x days' up closes / Average of x days' down closes

As you can see from the chart below, the RSI ranges from 0 to 100. An asset is deemed to be overbought once the RSI approaches the 70 level, meaning that it may be getting overvalued and is a good candidate for a pullback. Likewise, if the RSI approaches 30, it is an indication that the asset may be getting oversold and therefore likely to become undervalued.

 

[learn2trade_ar]

Hi L2T,
I am using historical price and volume data. See the below chart.

Hi Bunny,

Why did you not apply same logic on 31st July & 3rd Aug. Price falling and volume increasing. This should be even bigger supply zone than marked by you on 4th & 5th Aug. Please correct me if I've understood something wrongly.

Sorry, got it. you're pointing the first resistance zone.

 

[v4vijayan]

Savant,

Texmaco ltd.
Its bollinger band been narrowing down. Might pierce the upper line of the band and go upto 120 near term if the market supports it.

Whats your comment on this scrip?

-Vijayan

 

[bunny]

Hi Bunny,

Why did you not apply same logic on 31st July & 3rd Aug. Price falling and volume increasing. This should be even bigger supply zone than marked by you on 4th & 5th Aug. Please correct me if I've understood something wrongly.

Sorry, got it. you're pointing the first resistance zone.

Both should be down days for that purpose. The 31st July session is not a down day, see carefully - its just a red candle, but price has actually gained on closing.

BTW, I forgot to tell you about the volume that you had referred to. The volume spike on Thursday indicates that the professionals with big money were very involved on that day. Now, we need to find out whether they accumulated, or distributed on that day. So we need to wait for Friday. If price gains on Friday, then it means the professionals accumulated the stock on Thursday! This is called absorption volume! So in the background of a bear move, when you get a volume spike, observe what happens next day. If price gains, it is a reversal on stopping volume! So now we know that the price is headed upwards

And you will often find such volume spikes near strong historical resistance level.

 

[enygma]

Vijayan,

It needs to close above 110 to start that upmove that you are mentioning. It is still consolidating after the fall on 6th July. Do keep it on your watch list.

Regards,
Enygma.

Savant,

Texmaco ltd.
Its bollinger band been narrowing down. Might pierce the upper line of the band and go upto 120 near term if the market supports it.

Whats your comment on this scrip?

-Vijayan

 

[milind857]

Good Morning Savant Ji,

I m logging on to traderji after a gap of nearly 15-20 days. Infact I was out for work. Now I m back.
If you remember you had suggested me to remind you regarding my holdings (small) in mid august. They are as such:
JP Hydro - 200 - 91.0
IFCI - 100 - 44.5
Indowind - 100 - 38.5
Ispat - 500 - 20.4

I can hold on to them for as long as I have to but then please guide if any of the shares is to be sold n the money to be invested in some other share.

Kind Regards,

SUMEET

Hi Sumeet & Savant,

I think one must look at First source (FSL) as the volumes are largest ever &

looks quite bullish......Lot is size is also lucrative 9500..Savant Please post ur

view

Disclosure: i m holding FSL shares...:thumb:

 

[bunny]

I just went through FSL and it looks great! It has just broken its supply line with great (effort)volume on Thursay, and also tested the supply on Friday with low volume! BTW, I do not trade it

 

[learn2trade_ar]

Both should be down days for that purpose. The 31st July session is not a down day, see carefully - its just a red candle, but price has actually gained on closing.

BTW, I forgot to tell you about the volume that you had referred to. The volume spike on Thursday indicates that the professionals with big money were very involved on that day. Now, we need to find out whether they accumulated, or distributed on that day. So we need to wait for Friday. If price gains on Friday, then it means the professionals accumulated the stock on Thursday! This is called absorption volume! So in the background of a bear move, when you get a volume spike, observe what happens next day. If price gains, it is a reversal on stopping volume! So now we know that the price is headed upwards

And you will often find such volume spikes near strong historical resistance level.

Thanks Bunny....got it now.

Cheers

 

[biggles]

On charts,
REIAGRO could touch 60-61 in very near term(under 1 wk).

No views on SIMPLEXIN as it is a very thinly traded stock, but it seems there is a strong resistance at 394.

thanks bunny,:thumb:

thought both those scrips had something going for them, but will back reiagro now. Do us see VITLINFO falling any further? can one enter now or should one wait for it to go down further?

thanks

reg