Friends talk on My daytrading

Dear Friends,

Due to your unconditional love and care :My daytrading thread has become one of the popular threads and now it needs little bit of extra space in terms of development and reach.

Hence , I am launching this thread to have a discussion on the thread, method, its credibility, application,success and so on.

I named it as "Friends talk on My daytrading" because I treat all of you as my friends.I am neither a teacher nor a pro.I am like any one of you. The difference is I have gone through more pains than any one of you would have experienced or expected.Thats what compelled me to learn and develop.In friendship there is freedom, care,love and development.

This thread will be for everyone.Here we can raise any kind of questions including the most basic. We can discuss, share humours ,you can criticise and complain about me too.... No hesitations, no hiccups, No ooh....Aaah....Ouch's..........

I will start officially answering on this thread from 17th of May which happens to be the birthday of mother thread "My daytrading".

Till then please share all your thoughts freely.

Meanwhile please also vote your opinion above in the polls.Please note that you can vote for multiple choices.

Hello Raghav,
After I gone through the My Daytrading thread, the one part which I am feeling bit difficultly is understanding Fib Retracement levels when you using. If you could able to explain bit about it, it will be much helpful for new learners like me.

Thanks a lot
Bala

Bala,

Let these 2 charts be here.I will start answering the questions from 17th of this month.

Till then try to google around and study the basics of fib as much as possible.

Hi. I am from gujarat. I want to learn and discuss with many friends about daily trading. I will also try to give my best if I can

Hello Raghav,
One more clarification. I happen to see following two charts on" thoughts on day / swing trading " post. In both charts you have mentioned that "Gap" by drawing two lines. I dont really understand how are you saying that Gap. Please help me on this.

http://imageshack.us/photo/my-images/571/oa9q83.jpg/
http://imageshack.us/photo/my-images/8/j6iw7b.jpg/
http://imageshack.us/photo/my-images/534/j9byms.jpg/

Thank you so much for your countless effort :clap:

Bala

Bala,

St Bro himself has answered the question. Still if you have not grasped it I will explain it visually.

http://www.traderji.com/day-trading/49521-thoughts-day-swing-trading-10.html

Hello Raghav,
Thanks much for your reply. But really I couldn't to grasp what is mean gap chart and how to make use the Gap in our trading. If you could able to explain with example and how to use them in trading it would be very grateful.

Extremely sorry if I am troubling you much

Thanks
Bala

Hello Bala,

As a beginner it needs bit of extra effort, extra concentration and extra homework to grasp things. Thats how all of us have developed. You need to follow the same path.

I would get in to everything slowly whenever I get time. Hence you have to wait with patience.Do not worry ,things will happen over time.

Sure Raghav. I will put all my complete effort on daily basis. Also thank you so much for your kind reply.

Believing that I have permission from ST Bro thought its appropriate to post this stuff here.Reproducing what I have posted on my other thread.




Its apparent that many beginners have difficulty in understanding the gap theory of ST Bro. I am trying my best her to clear the concept.
Though the question was asked on my other thread I thought it appropriate to post the answer in this thread.

We have 2 charts.Lets analyse.

1st Chart.We are in a downtrend and price makes lower highs and lower lows.

Point A is a lower low
Point B is a lower high.
Point C is a lower low
Point D is a lower high.
From Point onwards continuance of downtrend.

Now as per classical theory each time a price breaks a lower low in a downtrend it will retrace and comeback and retest the breakout of that lower low.

To keep it simple as per classical theory price once breaks lower low at point A say at Price of Rs. 5525 it falls further.In this case it reaches 5500 where it forms one more lower low.Then it retraces and comes back all the way to 5525 where it broke the lower low previously .Thats called retest as all of you know.Retest is a success and price now starts falling further.The same cycle repeats.

Summary is price breakouts some level then continues falling ,then comes back to that broken level and starts falling again.

In this case the price falls from 5525 to 5500 and then comes back to 5525 for retest and falls again.


Now lets come to second chart.Lets see what ST Bro’s Gap theory says:

Point A is a lower low
Point B is a lower high.
Point C is a lower low
Point D is a lower high.
From Point onwards continuance of downtrend.

Same chart .But see the difference. In the previous chart price has gone back to 5525 for retest of the break out point i.eoint A.Here price goes back only till 5515 (IT DOES NOT RETRACE/GO BACK TILL 5525.I.EOINT “A”)there by creates a gap of 15 points ( the space between Point A and point D).

ST bro says.This gap is a symbol of strong trend and should be utilized effectively for adding /opening positions.I had a result of cent percent.Awesome technique.

Hope I am able to make the points clear.