Trading NR7 setup

[rohangawale]

AW10 Sir,
After yesterdays big black candle we got a complete opposite day today.
todays candle will completely occupying yesterdays open and close.
what type of signals we should consider of todays mkt movement??
bounce back was expected, but approx complete recovery of yesterdays fall.
in eod chart we will see same black and white candle side by side.

imp is tomo movement,
sir if mkt doenst able to hold the upper level and come down to we can consider it as false breakout and again bears can get in form and ride over bulls??

how exactly we will get the confirmation of what is happening, which way to trade, what breakout to look for??
May be same que will arise in mind of many traders, so asking.

 

[AW10]

Yesterday's H /L was 4729 - 4538 and today's H/L is 4717 - 4565. i.e. We have seen inside day today.. The 191 pts range of yesterday is covered completely (just short by 12 points from yesterday's high. As per price action concepts, you can call it failure of yesterdays down breakout. In candlestick language u can call it Twizzer Bottom. Twizzers are generally sign of reversal. It is sign of double bottom / higher bottom on short time frame hidden within daily candle. You can see similar pattern at today's 5 min chart at 12.30 pm. You can very well call it a game Smart Money to eat those stop orders and then create the new wave. At 5 min chart, they eat daytraders' stops. and on daily chart, they eat the stops of swing traders.

If tomorrow we get Higher high / higher low compared to today's H/L then that is confirmation of reversal. As market has closed in 90% of today's range (90-10 Pattern, another very powerful setup given by Toby Crabel), new high tomorrow is most likely. This also might trigger the close of shorts for swing traders trading daily chart..

Does it mean that we are back on bullish trend ? Not so soon. Cause Down trendline, Various MA, Various unfilled gaps on market's way down etc are going to act as resistence.
4800/4850 area going to be an interesting battle zone to watch for.

So trade what u see in your trading timeframe. Just look at the chart of your higher trading TF and main trading timeframe and trade accordingly.
Let analysts predict the 5300 or 4000 level.. As a trader, it shdn't matter to us as long as we are aligned with latest trend in our Higher TF. Our job of trading is bigger then just chart analysis.

Hope this helps

Happy Trading

 

[rohangawale]

NR7 Stock Triggered on 3rd Nov:

[B]STOCK		HIGH		LOW[/B]
MARUTI		1,436.85	1,396.00

NR7 Stock Close on 4th Nov:

		[B]3-Nov			4-Nov	
STOCK		HIGH	       LOW	Close	Trigger[/B]
MARUTI		1,436.85       1,396.00  1462.30  Up Break

 

[krishan prakash saxena]

I think one down and one up day is not producing any NR - 7 triggering.

 

[rohangawale]

NR7 Stock Triggered on 4th Nov:

[B]STOCK		HIGH		LOW[/B]
BPCL		507.50		500.00

 

[rohangawale]

I will not be availble for couple of days to post NR7 triggers and the breakout on next day as going out of town for couple of days.

 

[AW10]

I think one down and one up day is not producing any NR - 7 triggering.

It is not one down, one up day.. it is the wide range of Nifty.. When whole market moves so much, then it is obvious that most of the stocks will also make large moves.

Normal range of nifty has been about 80 pts till last week. It has increased to 100 pts now. Last 2 days had shown 150+ pts range. so in such days, it is rare to find the stocks showing Narrow moves.

Contrary to this, if you notice the days when Nifty gives us NR7, the scan list of Rohan is quite big as we see many stocks showing narrow range moves.

Hope this helps you in getting the feel of market movement.

Happy Trading.

 

[krishan prakash saxena]

Thank u very much to Mr. AW10 and Mr. Rohan for information. This type of mails are definately increasing my knowledge.

 

[VJAY]

NR7 Stock Triggered on 4th Nov:

[B]STOCK		HIGH		LOW[/B]
BPCL		507.50		500.00

BPCL CLOSED @505 SO NO BREAKOUT

NB:Absence of rohan trying to post.....

 

[VJAY]

NR7 Stock Triggered on 5th Nov

STOCK HIGH LOW
BANKINDIA 356 345.25
HDFC 2660 2575
IBREALEST 249.9 233.35
INDIANB 152.95 148.25
JETAIRWAYS 474 450
RANBAXY 401 390.55
SESAGOA * 300.8 287
STER 792 757.4
TATAMOTORS 578.80 556.40
(* INSIDE BAR)
NB:absence of rohan only tryed to post........