Trading with Volume Spread Analysis (VSA)

[bunny]

Nimish, are you holding longs?

 

[nimish_rulz]

Nimish, are you holding longs?

Yeah actually today was a mixed result some went up and some down. For example had BHEL, Jindal which didnt disappoint. What do you recommend? The other reason is wanted to sell it but when I woke up market was 4960 levels so thought will put stops and market never reached there. How about you u still long. Europe has suddenly turned deep red.

 

[bunny]

Yes, i am holding my longs, and have bought more today (and y'day).

 

[nimish_rulz]

Yes, i am holding my longs, and have bought more today (and y'day).

Great atleast I found a brother who is sinking if I am sinking . But do you see lot of buys in the market today I would assume there were as stocks rebounded of their lows but not yet analysed the charts as in the office. I have to say one of the worst week for me sleeping 3-4 hours a day and managing everything is getting on my nerve thank God its weekend will give me enough time to think and make a decision. Glad that Sold Japan yesterday and it tanked today.

 

[chaitanyagoa]

I closed my all long position after reading
"Dealers are seeing major selling orders from FIIs and DIIs, reports CNBC Awaaz. There is weakness in banking, capital goods and consumer durables. Dealers feel if Nifty support of 5160 is broken then the market could weaken further. " LInes on rediff.com

I feel , expiry is quite near and USA market is down too today. So our market will be going down tomorrow as well. And if pressure is coming from FII so will fall will continue for few more days.

This is not supported with any technical analysis just analysis of Human behaviours and trading pattern.

Hey,

I am not sure from where u got the news, But yes u are partially correct the FII's have sold most of the positions yesterday But that is not true with DII'. The DII's have done most of the buying at the lower levels.

Source: NSEINDIA.COM

Thanks

 

[bunny]

Great atleast I found a brother who is sinking if I am sinking . But do you see lot of buys in the market today I would assume there were as stocks rebounded of their lows but not yet analysed the charts as in the office. I have to say one of the worst week for me sleeping 3-4 hours a day and managing everything is getting on my nerve thank God its weekend will give me enough time to think and make a decision. Glad that Sold Japan yesterday and it tanked today.

Hi Nimish, I am taking a contrary view. Most of the people around me are bearish. However, I feel we are at the bottom of the next bullish move(Which will take NIFTY above 5300). You might recollect that today's movement was similar to that when there was "bad news" about Dubai World's loan defaults. Both these day's were Friday's and we were on almost the top before starting these moves. On both days. the market opened with a gap-down.

As I have pointed out before, many stock have pushed through their trading ranges and there is little evidence of selling - this confirms that market players have taken a bullish view. They are now just trying to trap shorts, trigger stops, etc - in one word "Manipulation". If this was any serious correction, mid-caps and small caps would have crashed and had lower-circuits as if there will be no trading from tomorrow.

But the truth is that we make money based on price, and not on price-and-volume. If we take a short position in a genuine weak market, we can hope for profit. But if we take short position in a manipulated market, we never know when the market would go back to its real strength and lock us into a poor position. This has happened with me.

Check for yourself the volumes in other stocks. Many stocks have given nice low-volume tests or shake-outs. You will see high-volume in some charts, but you will notice that those stocks are near well-established supportive trend-lines, including the widely tracked NIFTY.

As I write this, the US market is still in red.

 

[Pchartis]

Hi Nimish, I am taking a contrary view. Most of the people around me are bearish. However, I feel we are at the bottom of the next bullish move(Which will take NIFTY above 5300). You might recollect that today's movement was similar to that when there was "bad news" about Dubai World's loan defaults. Both these day's were Friday's and we were on almost the top before starting these moves. On both days. the market opened with a gap-down.

As I have pointed out before, many stock have pushed through their trading ranges and there is little evidence of selling - this confirms that market players have taken a bullish view. They are now just trying to trap shorts, trigger stops, etc - in one word "Manipulation". If this was any serious correction, mid-caps and small caps would have crashed and had lower-circuits as if there will be no trading from tomorrow.

Check for yourself the volumes in other stocks. Many stocks have given nice low-volume tests or shake-outs. You will see high-volume in some charts, but you will notice that those stocks are near well-established supportive trend-lines, including the widely tracked NIFTY.

As I write this, the US market is still in red.

I second you bunny. Even in weekly charts most of the stocks are showing strength. Collective volume of last 4 days fall is low with wide spread suggesting buying at lower prices.

 

[tips.seeker]

Hi Nimish, I am taking a contrary view. .

u shd be doing vsa, why consider views :lol:

 

[bunny]

u shd be doing vsa, why consider views :lol:

Because sentiments of people around you will affect you more strongly than what the guys on TV or newspapers are shouting or writing. I have once lost my capital reading ET and BS

 

[geetakapour]

thanks a lot for this useful post bunny, waiting for more posts