Charts for the Day

@Dan,

do you have a soft copy of this book, "How young millainores trade commodities.". ?

Hi Anil

Thanks for your kind words. For the moment I subscribed to this thread and all the rest: Let's see how much time I can spend for it.

You wrote: and trading per se.... With other words: How I would trade any chart shown by you?

In my opinion: Make a comment how you would trade it and let the members give some comment on that. Why this way? It doe's not make any sense when I post strategies which some times are not understood, as they not even can be traded in your market.

If you post one, I can adjust my thoughts to that or to those strategies.

Dear Prst

I will check what I have and I will give you a PM, as forum rules do not allow to post such links here.

Good trading

DanPickUp

hi,

Regarding head&shoulder, i considered or love to trade H&S as reversal patterns rather than continuation paterns...as There is something to reverse for i mean prior trend in place is the requirement..here it is coming as continuation pattern that too closer to supports levels, so trading on it risk reward wise not favourable...Rest your idenatification of H&s is a valid one..so trade should be done with risk reward i mind...

I love to read Richard Schabacker on this...a great writer...

hindalco weekly looks quite bullish to me.
just formed a bullish doji for the week that went by. any white candle this week may further confirm the reversal.
also there "seems" to be a bullish WW on the weekly.

Is the story of cipla near to end, or will it break into newer horizon stock at crucial levels, and one may see the stock trading to closer to overhead resistance line at 415 zone, so trade cautiously near to it

The fact is cipla following a either 3/4 years cycle, so a stock near to resistance zone and 4 year cycle getting to be completed is a good sign of probable cautioning zone ahead

If one looks closely at the rise from 2008 lows, the rise getting too slower after 2010 highs and stock looking slowing in momentum, critics may argue that it is a tihght accumulation zone for next big breakout, but it doesnt seems to that way

so trade cautiously and if breakout happens at all we have option to get in, but right now risk reward not favourable for holding longs specially near to 400 levels

ITC coming in near to resistance zone, trading closer to uptrendline
Resistance levels near to 290 -95 levels
Stock in secular uptrend, and run up slowly loosing its steam as advancing phase is getting in narrowed price channel and at lesser speed

@Anil this is the best thread I hooked on to currently.

Your views on Bombay Dyeing..took support on the lower trendline, does it look good to go to 500 levels?

Also I have a general query, suppose a stock breaks out of a resistance or breaks down a support, then when shall we buy/sell immediately or close to EOD or the next day or wait for any pull back ?

Thanks for your appreciation...yes stock still good with intermediate trend shifted up, so a possible retracement may be towards 440 then resume upside to 470 and then 490 level... i am already in with trailing stoploss 423 on closing basis now...

suppose a stock breaks out of a resistance or breaks down a support, then when shall we buy/sell immediately or close to EOD or the next day or wait for any pull back ?

There are many methods of trading breakouts/ resistance levels, one may trade on closing basis or buy it immediately....personally if the support/Resistance breaching higher timeframe too then initiating on immediate basis is good option. Bcoz generally in those case stock opened gap up and already moved up by 3-4%...for ex if trendline got breached and support got broken on daily and if that support also mark on weekly charts as crucial pivot then that support is too important and position should be on immediate basis...
Other methods are candlestick patterns or nearby moving averages..or 1-2-3 on lower timeframe..like if breached on daily then initiate position based on hourly itself by 1-2-3 method..or last one a major reversal study..for ex. if stock to failed to move above resistance zone(bar 1), then observed for closing below low of that failed breakout bar(bar 2), and initiate position on anybar (bar 3) when low of bar 2 got breached..its a indication that reversal in place...

so there are many methods, it depends on your risk appetite at that time...

pls chek the videocon chart. is it a inverted h&s failure or may breakout

Sorry to jump the gun, before Anil bhai ...but as an enthusiastic, newbie TA here is my take

Looks like an inverted H&S but not a breakout as of now. Its a red candle and that too below neckline and engulfing pattern. But mind you market is in a strong uptrend so it might result in an breakout.

Correct me Anil Bhai if and wherever I am wrong...