Just Nifty: October 2011

Monday, October 31, 2011

A most likely close above MCEma @ 5247 today and a subsequent attempt @ MHEma+40-50points is likely in November as a minimum on the upside.Earlier resistances @ 5125-5165 would be the supports going into November. Hence, traders would find a 5125-5525-400points range which the option writers would love. This fits quite well with the EW possibility of a "B" wave unfolding once the current "A" is done..

Everytime you find a void, fill it.

The father of one of the students delivered a speech at a fundraising dinner for an American school that serves learning disabled children. After extolling the school and its dedicated staff, he offered a question:

"When not interfered with by outside influences, everything nature does is done with perfection. Yet my son, Shay, cannot learn things as other children do. He cannot understand things as other children do. Where is the natural order of things in my son?" The audience was stilled by the query.

The father continued. "I believe,that when a child like Shay, physically and mentally handicapped comes into the world, an opportunity to realize true human nature presents itself, and it comes, in the way other people treat that child."Then he told the following story:

Shay and his father had walked past a park where some boys Shay knew were playing baseball. Shay asked,"Do you think they'll let me play?" Shay's father knew that most of the boys would not want someone like Shay on their team, but the father also understood that if his son were allowed to play, it would give him a much-needed sense of belonging and some confidence to be accepted by others in spite of his handicaps.

Nifty PreMarket View

"5247" - Monthly Ema.
"5245" - 100DMA.
"5240" - R1.

If not part booked earlier, a good place to Part book.
JNSAR Traders, who believed in it as well as believed in Dinesh Rishi's option strategy, would have benefited immensely on Tuesday.
Till a firm close below Low ema does not happen, impulsive downmove would not unfold.
The first target 100sma is approaching. Based on the ensuing corrections holding above Low ema, 2nd target of 200sma is achievable.
Part booking is the one strategy which should be part of your trading plan.

HAPPY...DEEPAVALI..

Nifty Intraday Update-I

H A P P Y *** D I W A L I

Everytime you face fear, free yourself and soar beyond...

Once there was a king who received a gift of two magnificent falcons from Arabia. They were peregrine falcons, the most beautiful birds he had ever seen. He gave the precious birds to his head falconer to be trained.

Months passed and one day the head falconer informed the king that though one of the falcons was flying majestically, soaring high in the sky, the other bird had not moved from its branch since the day it had arrived.

Nifty completes a contracting triangle ahead of settlement week.

When you see your "Planned numbers", act. Other tools such as intraday charts, Hour TA parameters come as confirmatory tools. If you have an expectation, then you become prejudiced which does not mean you don't make any trading plans. You make it based on the available facts and follow it till the price unfolds within your workings.
Having an alternative plan works but give weightage to the one that has credible evidences. "Fire's" contracting triangle observation made it possible to plan and TT positioning also helped(Sell on rises above DHEma).

Nifty Intraday Update-II

Nifty PreMarket View

A day close below DHEma is a "Sell on rise 10-20 points above DHEma" which would be upto 5136.Break-out & return of momentum will be above this only.
A day close above DCEma is a "Hold Longs too".
It should be resolved with today's close.