Retracement strategy, a must for traders.
Trading strategy that works wonders besides the supports & Resistance is " Retracement strategy ": The strategy that has wor...
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I 'll always be there for you. To make you feel that you're secured. And even if the rain is pouring hard and the sky is almost dark... -
5010-5039 supply zone proved a ST resistance. 5002 proved a break down point. 4945 to 4982 proved a corrective rise, monitored with an ... -
Trading strategy that works wonders besides the supports & Resistance is " Retracement strategy ": The strategy that has wor...
57 comments:
hello ilango
any inflation data today coming?
syamala
Hi..Syamala,
I do not follow much news and TV is never around me. Someone else may answer you.
ilango sir and all,
Wish you a HAPPY NEW YEAR !!!
Hope this year we will have all the good things coming up :) with a pinch of bad (like the correction in market without which good dont shine)
- Prosenjit
welcome back prosenjit !!
Hi..Prosenjit,
Wish you a very happy New Year.
The very first month is going to be very challenging. We may have start the year on our toes, I guess.
Hence, all the inputs will be quite vital for a valid decision making.
Best regards.
ilango
Hi Prosenjit
Happy New year and welcome back..
Cheers
Akhil
hello illango sir
Wish u a very happy and wealty 2010.
Markets trading well abv pivot..
sir do u think market's getting weak??
do u find any chances for nifty to come down to 5160 in intraday??
Hi..Mano,
The trading has been quite shallow and we have a expanding top resistances around 5220-5240 and until market pushes higher soon, its own weight can bring it down once 5200 is broken towards 5160 & lower.
Today's close, if below Day High ema (which is 5198 as of now), part book on longs or exit or hedge by writing some calls or buying puts which ever suits your style.
gm sir, ew explanation ws amazing..but does this ew justify sharp corrections evn seen along with trend..could u gv a tool 2 c sharp corrections or dwn circuits coming..
Ilangi ji,
with indiabulls tick data still coming from 9:55 A.M. onwards, how do you plan to update your chart? I am also charting using indiabulls tick data, so could you share your plans on updating the chart?
GK
Hi..Nidhi,
I will update in the next Lesson EW's utilities in trading/ investing. It does give a road map of things to come with its "fives & threes" counting, suggesting to the follower a reversal at such junctures.
A reversal in a weekly may result in bigger correction and similarly in other time frames.
Hi..GK,
I have the first hour's high , low , close. The 1 & 5 minute chart will not be available till they modify their software.
The Hour data is good enough to follow the TA. NSE Home page has a graph from 9.00Am and so do Yahoo intra charts.
Hi, Nidhi,
There is no tool 2 c sharp corrections or dwn circuits coming..
That's why u see every day top prof TA's give us contradictory views about the market on well known TV chanels(and most of the analyst are fundamentalist, not TA). It is easy to be a fundamentalist rather than a TA.
But the greater return comes if u can predict the market in the shorter time frame again & again.
We use TA to predict the market more correctly and to minimise our risk but there is no such tool that guarantee sharp corrections or down circuits coming..
MARKET is not 2+2=4 (never).
Best Regards.
Hi GK and
Anybody using PIB please upgrade the software from upgrade link. Then delete the Data folder from C:\Program Files\Indiabulls Securities Limited\Power Indiabulls\xxxxxx. Relogin to the PIB software and then sync. Data will come from 9.00 AM. Mine is showing data from 9.00 AM. Hope it helps !
Ghosh
Dear GK,
Please update ur Indiabull Software to Version 5.0.0.2 to get data from 9AM onwards.
Thanks
Sanjay Kr Jaiswal
Hi All,
Happy new year to all and Pranams to Guru Illango sir...
EW explanation was very good. Helped a lot to understand. Thanks for the service :)
Mahes
thanks illango/indian,
but i hav really gone thrugh corrections in 04,06 and 08..evn if u hv sl placed they dont trigger..seems all operator driven in corrections..i generally try not 2 go long n futures but yes for options..preferably hedged
actually i m new 2 EW
regards
manu
will this link http://spreadsheets.google.com/ccc?key=0Ai1wzNA--HtydC1USHZrZlpIWk5rZ0VJRUZyWHZpbEE&hl=en) be of any use, if somebody updates at regular interval
rgds,
-Raj
thanks Ilango/ghosh/marketpulse
Sold NF @5238 with SL of 5255
Target 5165 and below(5105) this week.
Hi..Sanjay Kr Jaiswal,
Thank you very much. I have updated to the new version of IB software and it does show data from 9.00AM.
Dear Ilango Sir,
We should be thankful to you for all that you have given us. We will be glad if we can be of some help.
Thanks
Sanjay Kr Jaiswal
Hi Prosenjit
Could you explain why you are selling ? Please provide some idea
Mr. Rajshekar the link you have sent is MR. Ilango's Tech table with updates from 22 dec!!
Yes, Mr Satheesh, It is the same Tech table. But here the advantage may be that if any one of us update the hourly figures properly, it will be available to all the people. Each one of us need not maintain individual techtable.
-Raj
Dear Ilango Sir,
Can we hold the nifty long for tomorrow or is it advisable to book profits now? What is the Stop and reverse for our conservative trade now?
"Sold NF @5238 with SL of 5255
Target 5165 and below(5105) this week"
"Prosenjit"
I am 5k short @ 5170 - did not beleive this rally. Your educated-short gives me some comfort. Let us see.
Regards,
S Rajagopal
As of now, the S&R may be revised to 5160 for Long Holdings.
Advancing stocks 1030+, declining stocks only 249
Dax up 1% , cac 1%, ftse 0.6%.
We r above major support 5180-5195.
Is there any reason for short in last 30 mins?
Mark and others,
My explanation was not taken well up here.So stopped.
PLEASE DONT FOLLOW ME, THAT IS WAT I AM NOT RECOMENDING.JUST DISCLOSING MY POSITION.
PROFIT OR LOSS IS NOT MY RISK.
@Indian,
apart from the overbought situation.We are entering a zone where tom dick and harry shooting high( your 1000:242).I can not determine the top but can say we are very near.
Will short rather going long. Please see my earlier post and dont take position on wat I say :D
I feel market will make a top around 5245-5250 and reverse from here. This will be begining of C wave. 5th of 5th wave may get completed.
Dear Elangoji,
Your veiws please
Hi Prosenjit,
Will you carry your shorts for the next day. If yes, is there a way stop loss can be applied to the next day as well? I am asking because because of gap-up gap-down openings it seems impossible.
Thanks in advance.
I have already mentioned in my "Pre Market View" that this is the last upmove. Markets stretches to test one's patience at the extreme ends.
Till market does not show its hand, go with the flow.
The safer and less risky strategy is to write calls of 5200 & 5300 with some SL as time will work in one's favour.
If you find it uncomfortable to go with this flow & trend, stay out till the sell signal emerges.
I can only say from TA:
1. weekly pivot @5195 is always major support.
2. another major support is previous strong resistance 5180.
and we still above dual major support.
I don't know about tom, dick & harry. :-)
Best Regards.
"If you find it uncomfortable to go with this flow & trend, stay out till the sell signal emerges." seems meant for me Ilango.
I go long on equity and try to build shorts in NIFTY as cover. No thought of fighting or going against the trend - other than trying to exploit the "retreat & cooling" from day highs.
Regards,
S Rajagopal
Dear Indian,
Imagine Ilango getting frustrated/annoyed and feels like rebuking every comment/trade that is against his liking/trade ? Request you to be considerate and civilised in your outbursts. After all this market is not meant for Indians and Americans alone...even Tom,Dick and Harry have a place in it.
Happy New Year to you.
Regards,
S Rajagopal
@authorharb
Follow ilango sir. As he said :
"The safer and less risky strategy is to write calls of 5200 & 5300 with some SL as time will work in one's favour."
I am more into option but considering today is the first day of the series, yet to open any position in option.
@Indian
TA should be followed with fundamentals too. Tom, dick and harry may also manipulate the TA.
But the truth is we all try to analyse the market, prediction is not confirmation :)
Prosenjit, thak you, I am already short. My only query was to ask if stop loss be carried to the next day in anyway. Anybody can answer it and I will be thankful.
Btw I am not considering nifty/sensex alone, its a position I have taken based on bullion and forex also.
Also remember last day US market close. I may be wrong.
I mean if stop loss CAN BE carried to the next day.
There are negative divergences in Week, Day and Hour. No sell signals as yet.
Hence, the strategy to write calls now when bullish sentiments offers big premiums.
Once sell signal is in place, Options may be "Bought" for maximum gains.
ilango sir,
I completely agree with you.
But dont you think we should go for option once the result start coming. I am completely away from option right now, will start SELL or BUY once the result start coming may be after 11th.
@authorharb,
I will keep the SL same if market opens below 5250 tomorrow(which is likely), on a gap up(ummm ... ) situation will try to minimise loss.All quote are spot and not future(premium/discount kills).
Hi, prosenjit,
we r intraday trader with nifty future/ option, we don't need fundamentals as various ema crossover with stoch/macd/rsi always predict the trend change earlier.
For Rajagopal,
u r not following illango sir at all. He says at jan 1, breaking past 5225, the next part of the up move will.. 5260-90, see it. When market is breaking past illango sir's level u r supporting for short.
Is any short above 5225 giving us any profit for intraday? No, so u have to book loss or go for positional.
And remember for positional there is no stop loss, bcoz of gap down/ gap up.
Risk is urs.
Tom,Dick and Harry have a place in it, but most of cases they r in loosing side bcoz they try to predict the market rather than react with the market with TA.
Best Regards.
@Indian,
Intraday traders dont need fundamentals ? I am not from that school.I do read news, US/Europe/Asia market in the morning.Then try to follow ilango sir :D
One example of my Tom, dick and Harry is "Sanraa Media in BSE.
Circuit limit 10%. Better than buying Call option in this market. Price is at 0.96/-
Bought @0.80.Calculate the %
% Lesser than option but safer than option.
You may be intraday trader or swing trader or long term investor...... ultimately we are to earn money.
DONT BUY SANRAA LIKE THAT.
Hi,
Nifty currently Overbrought zone.. 5235-50 will be Max. up.. It will start down turn... So be safe and BUY some 5300 Put Qty..
Or.
As per Mr.Illango suggestion if you have margin money.. then Buy 5300 Put and Sale 5200 Put..
It is safe to go short then Long on Nifty at this stage..
Thanks, Anandan
Dear Prosnjit,
"Circuit limit 10%. Better than buying Call option in this market. Price is at 0.96/-
Bought @0.80.Calculate the %
% Lesser than option but safer than option."
Does this mean that Nifty has introduced buying 10% circuit at stated price? Please elobarate on this so that we can also take advange of this.
Regards
Rajvad
@Rajvada
That was for Sanraa...please read the full.
hi what is this Sanraa ?
Reply to authorharb,
‘I mean if stop loss CAN BE carried to the next day.’
26 th November nifty (dec 31) future closing price was 4980.55
27 th November nifty (dec 31) future opening price was 4918 (below major support 4935).
Similar happened during 2008 jan/ oct fall or may 18 2009 rise (after vote result).
So, no stop loss CAN BE carried to the next day. We must aware of the risk.
15 may(friday) 2009 nifty future (may 28 exp) closing price was 3684.35.
18 th may 2009 nifty future opening price was above 4052. Shorters (of 15 may) lost 400+ pt in overnight.
Best Regards.
Dear Prosenjit,
Thanks for you clarifcation.
Dear Felisha,
Sanraa Meadia is a script listed on BSE and quoting Rs.0.96 as on date.The same was above 100 in 2007 end. Intially I also thought some other Hedging animal in Nifty or BSE.
@Indian
Election was an major event. Those should be covered on both side(call and put).
I use to go for 10-20-30 point trade multiple time a day, but manual execution of such trade is difficult for me.May be automated trading system can do so. Thats pure mechanical trades mostly in future.
Dear Rajveda and Felisha,
Buddy its not alway things are complected or rocket science whenever you see some thing new.I am sorry I mentioned Sanraa Media media here but that was an example.
Hi, Prosenjit,
It'll be good if u can recommend like Sanraa when u Bought @0.80 (with stop loss and target price).
'Price is at 0.96/-
Bought @0.80.Calculate the %' no help to fellow traders here.
Hope u understand.
We r here to help each others.
Best Regards.
Dear Indian, thank you soo much, that answers my question. In fact I knew but wanted to reconfirm because of some misunderstanding.
Regards.
Dear, authorharb,
I know, 'U knew but wanted to reconfirm because of some misunderstanding.' from the caps 'CAN BE' (u used), actually the details is for other friends (beginners). I knew the gap up possibility thats why I used ur comments.
u r not a beginner, I knew that from ur qu. and I knew that u r old friends here (more than 3 months) bcoz this blog is my most fevourite blog. :-)
Best Regards.
A leasson is best for beginners when it is taught practically.
Thats why ilango sir used nifty charts for EW leasson.
Best Regards.
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