Important Posts by Smart Trade_ Part1

[Gaur_Krishna]

I have observed that last 10 min or so always give a small dip of 8-10 NF points....squaring off effect I guess...

ST

 

[Gaur_Krishna]

Originally Posted by Gandhar. View Post
ok guys million $ Q
what can change the current trend?
surely global events are not having much of impact on nifty now

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The rally is fuelled by FII buying. So slowing of FII buying will change the current trend.

ST

 

[Gaur_Krishna]

Originally Posted by Gandhar. View Post
no waiting for shorting
missed the current rally

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Dont fight the momentum and trend. Most money is lost trying to figure out market tops and bottoms

Join the trend on a small dip and keep stoploss.....that is the only way to catch such galloping markets.

Smart_trade

 

[Gaur_Krishna]

Over the years I have learnt that charts and patterns dont move the markets. It is the money which moves the markets...charts are only pictorial representation.So as long as the money inflow continues, market trend will not change.

Smart_trade

 

[Gaur_Krishna]

Markets dont reverse suddenly.....before reversal we will have a dip, then market will try to go near the top but will lack strength and buying power....and then they reverse. So we are some days away from reversal....so dont keep waiting for reversal and shorting the markets.....It may be dangerous to our financial health...

ST

 

[Gaur_Krishna]

I expect Nifty to trend higher because of the following :

1) FIIs buying bigtime.They wont buy this much at the end of the move. So the momentum is likely to take the market up.

2) Politicians have started sensing the change of weather .Some Congress ministers are resigning and joining BJP . This is very important tell -a -tale sign as politicians are smart people .

3) Nifty coming out of a long multiyear consolidation ...it wont breakout and go just 100-200 nifty points up....some more upside likely.

4) Daily Nifty ( sopt) charts TDST is broken at 6331 indicating that Nifty is likely to go up . Looking at Sequential position, we have about 2 weeks uptrend still left. Of course it wont continuously keep going up for 2 weeks, it will have its corrections but the direction will be up.

Having said all the above, we trade as per the market trends and not get attached to our analysis and views.. So if market trend changes for whatever reason, we have to change as per the trend. The trend is definately up as of now.

Smart_trade

 

[Gaur_Krishna]

2 drops at the opening quickly got bought in Nifty Futures. The real test is in the afternoon if we continue the upward march .The trend is up .

Smart_trade

 

[Gaur_Krishna]

Some people have bullish bias and they think that the market will always go up. They fail to see that the uptrend is over and the downtrend has started and keep holding the long positions in loss and when the market comes up on the next uptrend, they feel " look , I told you that market will go up."

A good trader has to get rid of these biases. He must be long in uptrend and short in downtrend. It is easier said than done though and we all have our bias but we must try to reduce its impact on our trading.

Smart_trade

 

[Gaur_Krishna]

Originally Posted by Smart_trade View Post

Yes you are right...market accelerating on downmove...I thought longs are already out and no one left for panic liquidation but no they are now liquidating in panic.

ST

Another thing we have to see is that at 2:25 bar the VWAP difference was maximum and from that point it is continuously reducing in every bar meaning that bulls liquidation is over long back...now bears covering their profits...In bull liquidation this difference goes on increasing...

ST

 

[Gaur_Krishna]

Dan,

Rs 3,00,000 trading account is not a big account. In fact for trading 10 contracts one must have Rs 8,00,000 to Rs 10,00,000 in trading account though broker may require 300,000 to 4,00,000 as margin money,if we trade with proper MM....below that trading 10 contracts in daytrades is high leveraging.Thumb rule is 1 Nifty Futures ( 50 Nifty ) or 1 Bank Nifty Futures ( 25 Bank Nifty ) per Rs 1,00,000 capital.

ST