Trading NR7 setup

[rkkarnani]

BHEL,HDFC,HINDALCO,IDFC,INFY,JINDALSTEL,JPASSOCIAT,M&M,PNB,RELINFRA,SESAGOA,SIEMENS --- NR7 STOCKS.
BHEL AND PNB SHOULD MOVE IN UPWARD DIRECTION FROM CLOSE OF 2nd May atleast.
It is my personnel view. Please use above information as per your wisdom.

KPS, Have you ignored Saturday trading data to identify NR7 stocks? My chart does not show BHEL as NR7 yesterday!! Maybe I have some data error, hence reconfirmng!! Please reply per your convenience!!

 

[paulmathewmac]

I would have gone long after Nifty made an up move once it made the NR 12 of 26 April but for the fact that I already held a short position in Nifty. But now that Nifty's making a down move, I don't regret my decision. So the Yes/ No question, at least for me, is still an Yes/No question. How one can make use of the NR7 bar, is still a mystery to me.

 

[paulmathewmac]

KPS, Have you ignored Saturday trading data to identify NR7 stocks? My chart does not show BHEL as NR7 yesterday!! Maybe I have some data error, hence reconfirmng!! Please reply per your convenience!!

I still believe, one shouldn't consider the 30 minutes trade-period of Saturday for any serious analysis of EOD patterns. These short period trial runs of the exchange shouldn't be taken as a normal trading day and hence should be excluded. But of course, I'm a novice and you have every right to your opinion.

Best regards,

Paul.

 

[rh6996]

I still believe, one shouldn't consider the 30 minutes trade-period of Saturday for any serious analysis of EOD patterns. These short period trial runs of the exchange shouldn't be taken as a normal trading day and hence should be excluded. But of course, I'm a novice and you have every right to your opinion.

Best regards,

Paul.

The trading on Saturday was for 2 Hours I think and not just 30 minutes!! It is as debatable as your query for Yes/No... whether to take the data for Shorter trading session to calculate NR7 or not.... my opinion for what it is worth, it should be taken into account!!

 

[paulmathewmac]

Yes, and coming back to the Yes / No question on the NR 7 (or in this particular case the NR 12) set up (or trading strategy) in Nifty that was noticed on 26 April, it is now almost confirmed that anyone who took a long position based on the fact that there was a white candle closing above the high of the NR 7 candle of 26th, would surely be quite upset by now.

So how do we use a setup or a strategy which gives you no idea as to whether you are entering a good trade or a bad trade? (I haven't followed the other stocks in which, you had noticed NR 7 set ups to see what the outcome was.)

Anyway, I'm sure discussions of this sort will help to make us more alert and aware of the possibilities as well as the pitfalls in trading.

Best regards,

Paul.

 

[mitzy]

It is an NR7 day today @ Nifty Spot(hopefully, I am getting it right).
High => 4882
Low => 4837.
However its not an inside bar today.

 

[AW10]

Yes, and coming back to the Yes / No question on the NR 7 (or in this particular case the NR 12) set up (or trading strategy) in Nifty that was noticed on 26 April, it is now almost confirmed that anyone who took a long position based on the fact that there was a white candle closing above the high of the NR 7 candle of 26th, would surely be quite upset by now.

So how do we use a setup or a strategy which gives you no idea as to whether you are entering a good trade or a bad trade? (I haven't followed the other stocks in which, you had noticed NR 7 set ups to see what the outcome was.)

Anyway, I'm sure discussions of this sort will help to make us more alert and aware of the possibilities as well as the pitfalls in trading.

Best regards,

Paul.

As mentioned many time that NR7 is a setup. An indicator that the expansion is just around the corner. It can be traded in different ways. Most common approach is to trade the Breakout. IMO, if someone is or wants to be a Breakout trader, then they also need to become Breakout Failure trader.
Another reality of trading is to accept the fact that we will be caught on the wrong side in the market. Sooner we accept this fact and devise our approach to handle such wrong trades, better it is for our account. One way could be to accept the loss and get stopped out, or maybe capitalize it by taking entry in opposite direction.

So, if the long on nifty was in loss, then look at the profit that would have come from going short on that failed breakout.

Happy Trading.

 

[sunil.kumar.rajak]

well thanks for the info i will see how can i use it thank you.

 

[timepass]

Today is Inside Bar + NR4. Aditya, your comments please.

 

[adityasaraf007]

Today is Inside Bar + NR4. Aditya, your comments please.

Following is the Chart for the period between April-May 2011..... Very similar circumstances..... Have marked the area which is very similar to the one we had yesterday.... It also happened on the backdrop of more than 500 point Upmove....

Coming to present situation.... Expecting either an exact replica of the past (which gave a Downmove after triggering a Breakout Failure) or start of a Downmove from 5150-5160 (this was the zone which gave a Breakout last month)..... On the Daily, we have already got a retest of this zone.... Yesterday was an Outside Bar and today it gives us an Inside Bar..... This is a major S/R area.... So, it would pay to initiate a trade on either side, being open-minded and reversing if the trade seems to be proving wrong.....

Sudoku's target of 4777 looks like a reality.... Ab Dilli door nahi.....

If market wants to give an Upmove.... I would step back.... Otherwise, would like to buy some Puts....