Thoughts on Day/Swing Trading

[timepass]

ST da,

Today at around 1430 to 1440 hrs VWAP was more than LTP by around 40 pts suggesting that longs are trapped. But seems that it has not worked as expected. Can u pl suggest whether today was the day to trade as per that or something also needs to be watched?

Maybe the shorts were getting out. Earlier in the morning, the shorts were trapped.

 

[Smart_trade]

ST da,

Today at around 1430 to 1440 hrs VWAP was more than LTP by around 40 pts suggesting that longs are trapped. But seems that it has not worked as expected. Can u pl suggest whether today was the day to trade as per that or something also needs to be watched?

I was also observing VWAP today.....at 2:35 bar closing the difference went above 40 and immediately next bar it dropped below 35 and then never was able to build the difference again to above 35. Today was a day when it did not work but this fact of unable to hold the difference and build on that indicated that bulls were trapped but bears failed to encash on this position and lost their grip on the market and that is why the market came up.....failure of bears to press the sales and trap the bulls till the end and forcing them liquidate their positions in desparation.If you see that the market holds the difference for 2-3 bars, it will avoid some false trades......and reduce the whipsaws to certain extent.

Smart_trade

 

[DanPickUp]

]I was also observing VWAP today..[/B]...at 2:35 bar closing the difference went above 40 and immediately next bar it dropped below 35 and then never was able to build the difference again to above 35. Today was a day when it did not work but this fact of unable to hold the difference and build on that indicated that bulls were trapped but bears failed to encash on this position and lost their grip on the market and that is why the market came up.....failure of bears to press the sales and trap the bulls till the end and forcing them liquidate their positions in desparation.If you see that the market holds the difference for 2-3 bars, it will avoid some false trades......and reduce the whipsaws to certain extent.

Smart_trade

Dear ST

What do you mean with observing? Just look at it or what is meant with that as my English is a bit hazy.

Why did you only observe it today and other times you did trade it and posted it was always good profit?

Good trading

DanPickUp

 

[Smart_trade]

Dear ST

What do you mean with observing? Just look at it or what is meant with that as my English is a bit hazy.

Why did you only observe it today and other times you did trade it and posted it was always good profit?

Good trading

DanPickUp

Dan,

I have an AFL which gives me the difference between the price and VWAP continuously. I look at this VWAP diffrerene every day towards the end of the day to decide whether I should keep my positions till the end or take profits before that....I am always holding positions taken earlier in a day.....

Now this method is well explained in this thread. So I dont post everytime it works and makes profits .....I was observing today as I do everyday...and in reply to the question I thought of sharing the finer points which help me to avoid some bad trades (like today ) and I have shared that point in the earlier post.....This method is not a 100 % success method ( nothing in the market is ) and it has its share of loosing days.....but always protect our profits by keeping a "take profit" level above an important swing high or pivot, if one is short,so that we protect the profit in a day like today .....

Off late the range was so small that we very rarely got the VWAP trade day....we had one yesterday which worked as well but it gave signal very late but the market was sinking so no great hurry to cover yesterday and we got the lowest price at the end.....

Smart_trade

 

[sanjn84]

dada we all r waiting for ur useful posts since long , from many days u r not giving us the dose that u make habitual to us .
so dada waiting for more roking ideas on trading from u .........
from ur free time.......

 

[DanPickUp]

Thanks ST to clear the question on such a professional level.

A pro is a pro and stays as a pro.

Good trading

DanPickUp

 

[murthyavr]

I was also observing VWAP today.....at 2:35 bar closing the difference went above 40 and immediately next bar it dropped below 35 and then never was able to build the difference again to above 35. Today was a day when it did not work but this fact of unable to hold the difference and build on that indicated that bulls were trapped but bears failed to encash on this position and lost their grip on the market and that is why the market came up.....failure of bears to press the sales and trap the bulls till the end and forcing them liquidate their positions in desparation.If you see that the market holds the difference for 2-3 bars, it will avoid some false trades......and reduce the whipsaws to certain extent.

Smart_trade

I don't feel that it was a failure. It has not given any trade entry in the first
place. The low of 2:35 bar was not taken out and there was no way one
could have entered into any shorts.

If the set-up leads us into a false break-out and then throws us out, then
we can call the setup a failure.

IMO, it was just a case of reversal, where no harm was done to anyone!

 

[DanPickUp]

I don't feel that it was a failure. It has not given any trade entry in the first
place. The low of 2:35 bar was not taken out and there was no way one
could have entered into any shorts.

If the set-up leads us into a false break-out and then throws us out, then
we can call the setup a failure.

IMO, it was just a case of reversal, where no harm was done to anyone!

Dear Murthyavr

Posting not working trades is never a failure the way dear ST did. Giving even answers to critical questions in such a situation like done from ST shows the quality of the thread holder.

Good trading

DanPickUp

 

[murthyavr]

Dear Murthyavr

Posting not working trades is never a failure the way dear ST did. Giving even answers to critical questions in such a situation like done from ST shows the quality of the thread holder.

Good trading

DanPickUp

Yes, Dan. I know ST for the past two years and he is still the same old
responsible ST, as ever!

 

[raghavmehra777]

Please can someone help me to recover my loss of 1.5 lacs..i dont know much about trading..just got trapped by a paid advisor..im just 21 years old so there is no source of income..anyone?