I have short the SBI is it right time. Is there anyone who thinks its right time to sell.
Hi tt,
You have sold into strength. See the chart.
current upmove has strong momentum & already the supply area was once shot through. Once a resistance is broken, it looses its power.
Ideal trade would have been to wait for price to be rejected from that rectangle.
Now what can happen:
scenario 1: price is rejected from that area & you are in profit.
scenario 2: price breaks out & your bp increases
scenario 3: price starts moving sideways & you loose your sleep
scenario 4: breakout & then pullback. initially your tension increase, then you start thinking price is falling & start hoping you will be in profit but bang price starts moving northwards.
I think these type of trades fall into the category of either revenge trade or acting on someones tips.