SH's MArket Correction Prediction Strategy

Dear SH,

Based on the 100 EMA retesting strategy, I had good profit in Punj Lloyd few days back. I bought it at 55 and exited half at 64 and another half at 71 within 10 days.

Now, I've bought ADSL and Patel Engineering in hope that they should move up towards 100 EMA within couple of months. Please let me know if you think these two are wrong trades. Or can I just hold them to hit and try? :)
 
Dear SH,

Based on the 100 EMA retesting strategy, I had good profit in Punj Lloyd few days back. I bought it at 55 and exited half at 64 and another half at 71 within 10 days.

Now, I've bought ADSL and Patel Engineering in hope that they should move up towards 100 EMA within couple of months. Please let me know if you think these two are wrong trades. Or can I just hold them to hit and try? :)
Patel can definitely jump up, you can hold with SL below 130 .... not sure about ADSL.

Cheers
SH
 
Hi SH,

Just come across below attached scenario took place on 27-Jan-2010. The bar on 27-01-2010, closed firmly below 100 EMA. If we would applied our new rules, we might have bought puts than calls, but after that day market went up again to touch 100 EMA. And then again breakdown almost 200 points.:annoyed:

How could we handle such scenario then.

Regards,
Amol.
 
Last edited:
Hi SH,

Just come across below attached scenario took place on 27-Jan-2010. The bar on 27-01-2010, closed firmly below 100 EMA. If we would applied our new rules, we might have bought puts than calls, but after that day market went up again to touch 100 EMA. And then again breakdown almost 200 points.:annoyed:

How could we handle such scenario then.

Regards,
Amol.
Are you sure? I see a different chart. Maybe I am seeing nifty spot and you are seeing nifty futures. The re-crossover came on 2nd march.



A zig-zag on 100MA came sometime in early May (chart below), and despite the index going up over next few days, buying puts would have been right because Nifty was in a predominant downtrend at the time (according to 315). I suppose one doesn't have to take an action immediately on crossover, maybe it's about timing one's entry.



One would be in a quandary if 315 is whip-sawing at the time of 100MA crossover :D
 

abhi_neth

Well-Known Member
Dear Sh sir,

Now 100ema 5575 which is better option. Option are as follow:

1.) BUY NIFTY JULY 5500 CE & PE
2.) BUY NIFTY JULY 5700 CE & 5500 PE
3.) BUY NIFTY JULY 5800 CE & 5400 PE

please do needful,
 

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