Charts for the Day

Maruti suzuki a non stop run up and going sideways since past 3-months....If prices breached 5900-25 levels on downside, pack your bags...this can slide more...4800-5000 zone...

Anil sir, today maruti closed above 6400, do you think there is some upside left. I am holding some at average price of 6050. What's your opinion?

Vivek

Trail it...

Sir, I have always been a day trader until about 3months back, for the sake of my understanding can you please explain (taking the example of Maruti), how should I trail positional? Through ATR?

Vivek

What was ur sl when u bought it.i mean how many points.

Well, to be honest, I bought in a correction, for long term investment, then added to them in a dip. So, practically there was none in case of Maruti.

Vivek

Vivekji,

I dont know your entry point of maruti, so i am taking our example of GAIL here... I assume trader here is trying to enter on 52 Weeks high breakout...

Avoid sentiments based trading...Have your point where you feel if trade goes wrong you will wind up...its better to take 5% hit than 50% drawdown...

I know Maruti is a bluechip stock, but we as a trader/investor need to be ruthless..just trade what you see on screen...like you are concerned with price only...and in end price only matters in P&L...

Sir, I totally agree with what you said.
I exited today at open with decent profits, as I need to have clear cut exit, SL and TSL criteria beforehand in swing and positional also.
Now I will do that.
Regarding trailing by MA, do you use 20SMA to trail profits?, what in case of steep rally.
You also talked about PPB at so many times initial ATR (8 or 9?)
Also regarding ATR settings, should it be set at 14?
Thanks and regards.

Vivek

It depends on what timeframe i am extending my trade. For intermediate positions i follow 50 SMA...One can add filters too, if you think you are getting whipsawed...

In case of steep rally one can use 8EMA...It all depends on how much you let your stock keep running...

PPB..?? didnt get it...

ATR(14) setting i am using...

See, if there is a crucial S/R zone coming in at 380 and your stoploss from ATR is coming in at 381.5 something like this...then what you will use...offcourse it should be 380...This is little thing you need to consider...

Devise your rules you are comfortable with...you dont need to be answerable to anyone except you only...