Wednesday, June 25, 2014

Nifty Pre-Market View.

In a trending market, especially for traders who look for immediate gratification, then prices move in the direction of the trend in a substantial manner satisfying the "trendy guy".
In a sideways/ corrective/ consolidating market, the price behaviour is unpredictable as it unfolds in small bouts of ups and downs, frustrating the trendy guy who fails to accept that the trend has paused or attempting a reversal. The TT shows the way; but ego fights it.
FII's are alternating buying with selling in small qty., typical of consolidation.
Prices, in the short term, have closed above two key ST averages.
"Consolidating 2nd wave" seems to be done at 7442, requiring "holding of key retrace points at 7500-18; The ST direction is "biased up" till prices continue to close above DEma & these two key averages (21 or 34 hr smas).
Aggressively Holding above 7553, Conservatively Holding above 7525, rally continues....
The strategy that has worked consistently well with low risk-high reward ratio is "Initiating a trade at 50%-61.8% retrace with 80% as SL". Adapt to it.
Note how prices are consolidating in a broader channel with many cluster points creating minor channels.

19 comments:

Guru Krishnan said...

Good Morning Master and Friends...Have a great day!!

J.R.Julius said...

Good Morning Sir & Blog-Mates,
Have a Happy & Prosperous Day. ♥
-
Cámáríllá Key Levels - Nifty Spot
H4@7623 ↑
H3@7602 ↓
L3@7559 ↑
L4@7537 ↓

venkatapathy l said...

Namaste Ilango Sir and blog friends

LV

deepak pinto said...

7610 to 16 imp nos
Dhema +30 7615
80 % retrace last fall 7616
Imp res supp 7610 last rally fall
Whema + 50 7612
If its a trading range it should resist
If it is a rally it should break out
decent RR

D.S.SASAN said...

Good Morning Dear Sir, Bros. & Sis's,

Have A Happy Day.

Suraj said...

Good Morning Ilango Sir and Friends

Prakash said...

gudmorning master and all frnds

Ganesh IC said...

Good Morning Sir & JN Family

sometimesbullsometimesbear said...

@Stop loss clearance sale will commence before the market moves up as has been the usual scene the last few days of consolidation.....

So pls be very particular about ur SL strategy....alternatively just go with the flow and reverse mechanically....:):)

shriram said...

GM Master & JN Family,

Res. above are 7585 & 7625-30 NS, clear blue sky above these levels , for the Hr +WW to attempt its tgts

Have a gr8 trading day !

vishnu said...

Respected Master
Namaskar and Very Good Morning

J.R.Julius said...

Cám Now - NS - H3@7602 ↓ & L3@7559 ↑
Apart from Cám Today - Y.DH@7593 & Y.DL@7515

@Sujatha,
Gm - Boss have a Nice day.
Chart oru maathiri papparapannu irukku
Y.DH udaikkathavara ethum nichayam illa.
So Closed all watching very TT numbers &
Keeping it So Simple. ;)

herry said...

DEAR SIR 7593 below b is done and c is unfolding..?

ankita said...

last time i saw in chart (after elect result day high), ''2'' as near 7000 ns for many days, but nifty fly to 7700. so what is in the chart above actually very confusing for me. i will watch and catch the direction first, then will trade.

Sonu said...

GM Master and all!

Bears more confident of keeping bulls below 7600 so far
http://www.niftytrader.in/nifty-live-change-in-oi/

Sunil Minz said...

good morning to respected Master and other blogmates

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