Thursday, January 27, 2011

Nifty PreMarket View.

Slow macd, being a trend indicator,may lag a bit but to hold on to a position, it's success rate is good.

As long as it is above the trigger line, the trend continuing remains strong in uptrend. Once it has triggered, it becomes sell on rises. On many occasions, Nifty makes a new uptrend high despite triggering which is another bearish sign. The opposite is true in downtrend.

As long as macd is in the positive area, the downward momentum will be less and once it enters the negative zone, the momentum will gather. Opposite is applicable once a reversal takes place and uptrend commences. Remember, these are just guidelines and use these studies with other studies such as trendlines, open interest, etc for more effective application.

Divergences in Slow macd is more reliable.

39 comments:

Prabakar said...

Good Morning Sir and Friends.

DKG said...

Good Morning ilango sir & friends !!

San said...

Bank Nifty Chart: CLICK HERE

Rajagopal said...

Good Morning Sir and Friends.

Unknown said...

GM all

Prachi said...

GM Sir and friends

Rajagopal said...

Dear ka,

I salute your astute interpretation of the OI activity so early in the morning itself,warning a down trend late in the day on 25.01.. Please keep going.

gauresh59 said...

Good Morning ilango sir & friends,

Today's Quote received:

Don’t write your name on sand, waves will wash it away.
Don’t write your name in sky, wind blow it away.
Write your name in hearts of people you come in touch with. That’s where it will stay.

A beautiful relationship doesn’t depend on how well we understand someone…it depends upon how well we avoid the misunderstanding.

Good Morning...!!!

venkatapathy l said...

Good morning Ilango Sir and blogmates.

Prachi said...

@ka wht is greek value in OI and where do u watch in mkt
hrs pls guide

Unknown said...

good morning Illango sir and friends.

Unknown said...

spot day high exactly at day's pivot and seems 5735 is a tough resistance now..

Sujeet said...

Good Morning Sir & friends!

DAKSHIT said...

LLAGO SIR, as per VIX what is range calculated for nifty? good morning

venkatapathy l said...

Friends,
New posts do not appear in my screen. So frequently I am forced to reload the page. Then only the new posts appear in the screen. Is there any way I can avoid the frequent reloading.
Please advice me.
LV

Rajagopal said...

BN looks stable. Is it ok to cover SHORTS ? Any views please?

Rajagopal said...

LV : Same here. But the simplest way is just to refresh (F5).Some friends do have specific utilities downloads to address this issue. I just keep cursor on the window and press F5.

Unknown said...

@prachi....the source is confidential and am not liable to disclose that....

but, start studying greeks coupled with OI which gives proper signals of market movement. IV in combination with OI, theta, vega in comb with IV...gives good signals...

Thanks RG sir.

INDITRADER said...

Gm Illango sir & all.

As per Vix Expiry Range 5630-5720.

Unknown said...

market barometer tisco going gud..

Unknown said...

@musti
how do you calc range based on vix..

Prachi said...

thnx @ka can u suggest any book for this?

DAKSHIT said...

thank you MUSTI 1780

Rajagopal said...

Hi Vidya:
1. Find VIX value (NSE).
2. Multiply vix value against closing Nifty (%)
3. Add (2) to Close and Deduct also - you get upper and lower values.
That is the range.

Note : Use the Applicable VIX (there are couple of other values also).

INDITRADER said...

@ Vidya
I learn it from viren & Shai.
go to their blog U get it.

u.k.Raj said...

Good Morning ALL

manojag said...

For interperating and calculating volatility and oi:
http://www.derivativesindia.com/scripts/stepbystep/step6.asp

Prabakar said...

Thanks RG Sir.

manojag said...

more on option greeks:

http://www.derivativesindia.com/scripts/stepbystep/step15.asp

Unknown said...

rg sir, vix now stands at 21
and nifty closing is -1% eod of tuesday
so shal i multiply vix(21) with 1 and then the range of vix is either 23 or 19.. am i right?

Sujeet said...

Option expert please throw some light of today OI analysis?
thnx.

Anonymous said...

Good Morning Mr.ILango & everyone!

My observation was on tuesday morning that market may tank even after the .25% hike in Intt rate. Every rally will be an opportunity to sell upto when Nifty does not close above 5833 now, In downside 5500-5550 area will provide wonderful risk reward ratio in favour of Buyers..stop loss will be 5400 and target will be 5900-5950. Take care everybody & catch u all later whenever possible.

Rgrds,

Kumar

DAKSHIT said...

THNKS rajgopal sir

Sujeet said...

IDBI bank despite posting very good result, trading 3% down? is smart money going In for some big movement in coming days??

Prachi said...

thanx Manoj

Prashant said...

in 5600 call there is only 13 lac open interest (15% added today)
while there is 18 lac in 5800 put ( some reduction today)
with meagre open interest these two strikes don't tell u much except a negative bias.
Interestingly 5700 strike (both calls and puts) adding quite a lot of open interest today.
expiry may be in the vicinity of 5700 (5680-5715). A fall in the earlier half, a recovery in the afternoon.

Ilango said...

NEW POST DONE.

Unknown said...

@prachi...internet !...internet is my guru !

Thanks Manojag.

@sujeet,

venkatapathy l said...

@RG
Thanks a lot LV

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