There is a substantial risk of loss associated with trading Derivatives . Losses can and will occur. My methods will not ensure profits

Tuesday, October 14, 2014

14102014



Nifty gaped up above PDH and sold. Entered short on break of IR. Entry was too late. Covered when it bounced from RN. Another short on BOF BRN/TST of PDC. Did not move beyond IRL. Covered on BOF of IRL. BOF of PDC/PDH gave a short signal and this trade also did not run as expected. Covered at 20 point profit
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37 comments:

  1. Trader PaiOctober 14, 2014 at 4:01 PM

    Hi ST,
    Please comment on my trades and thoughts(if you have time )

    http://tradingdecisionpoints.blogspot.com/2014/10/14-10-2014-927-did-not-get-entry-for.html

    thanks n rgds
    Kishore

    ReplyDelete
    Replies
    1. SMART TraderOctober 14, 2014 at 4:17 PM

      Avoid BO kind of entries. The MSP short was a BOF of BRN/PDC and logical target is the range low
      Last trade was after a 90 point move and there were resistance zones above it. A low probability one

      ST

      Delete
    2. Trader PaiOctober 14, 2014 at 4:19 PM

      Thanks ST
      rgds
      Kishore

      Delete
    3. rrrajguruOctober 14, 2014 at 5:12 PM

      Dear ST

      Want to ask about the last trade of Kishore Bhai.

      Market has moved 90 points from low, there is RN above. So this is a low probability trade. Thats Ok. Now lets forget these two points. Now you tell whether this trade (BPB of PDH) is a valide or not? another thing, should we wait for the closing of the candle or not. Why i am asking is, we are putting BUY SL order. In this case price triggered, but came back from high. So what to do.

      Please guide

      Delete
  2. nifty for breadOctober 14, 2014 at 4:11 PM

    Sir,

    Today PDC resisted the up move thrice, before getting broken. So, I thought that when price tries to break it in the downward direction, it will act as flip zone. This was the reason, I avoided your last trade. What was your thought process when you took the last trade?

    Thanks
    S.Karthikeyan

    ReplyDelete
    Replies
    1. SMART TraderOctober 14, 2014 at 4:27 PM

      It was a BOF of PDH and there was a pattern failure
      BPB of PDH failed to move. One can short below PDH itself.
      It happened at the fag end and trapped longs. Critical mass was also long. they need to cover
      Tomorrow being holiday no body is going to take fresh long positions

      ST

      Delete
    2. nifty for breadOctober 14, 2014 at 5:48 PM

      Sir,

      Thanks for the detailed explanation.

      S.Karthikeyan

      Delete
    3. Trader PaiOctober 14, 2014 at 6:13 PM

      ST,
      Is it a holiday tomorrow ?
      Whats the occasion?

      thanks n rgds
      Kishore

      Delete
  3. UnknownOctober 14, 2014 at 4:16 PM

    HI ST

    Regarding your last trade.... Could it be taken on the formation of Pin bar itself??

    Thanks
    TBP

    ReplyDelete
  4. rockyOctober 14, 2014 at 4:22 PM

    http://i62.tinypic.com/23j4roi.png here is my trades i have a qqq

    why not you took positions at BRN . How you draw IRL at wicks or body i am confused see where i mark on charts

    ReplyDelete
    Replies
    1. SMART TraderOctober 14, 2014 at 4:41 PM

      Tails are always tricky. We will not know where exactly the orders are.Need to adjust it on the retest
      Morning I went short below the tail as IRL. Later price came back and got sold at 7880 area. This gave a clue that orders can be at this level. Later the level acted as a flip and again a BOF happened at the level proving orders exist there.
      I was looking for a range between PDC and IRL with BRN in between. So did not trade the signals at BRN

      ST

      Delete
    2. rrrajguruOctober 14, 2014 at 5:25 PM

      Rocky, are you pulling data out of Zerodha's NEST Trader? If yes, may i know, what software u r using to do that and if no, then who is your data provider?

      Thanks.

      Delete
    3. rockyOctober 14, 2014 at 5:28 PM

      hws my trades any comment didnt took short the last one which you took at BOF

      Delete
    4. rockyOctober 14, 2014 at 5:28 PM

      whether long was valid as CT trade?

      Delete
    5. SMART TraderOctober 14, 2014 at 7:58 PM

      Price was within previous day range.
      Then trade the range extremes

      ST

      Delete
    6. rockyOctober 14, 2014 at 9:07 PM

      Yes data from ztrader and using tracer bullet utility

      Delete
  5. TrekkieOctober 14, 2014 at 4:57 PM

    Hi ST,
    Was there a short at (A) as BOF of MSP of uptrend http://imagizer.imageshack.com/img913/9397/YOLDjO.png I didnt take it.

    I took 2 trades, one at B not sure if it was late entry, the second trade, I took below PDH (luckily), I kept SL above PDH, where should correct SL have been?.

    ReplyDelete
  6. SMART TraderOctober 14, 2014 at 5:11 PM

    SL Can be above PDH above the candle bodies
    BRN is always prominent than MSP. Trading into BRN on break of MSP is not advisable

    ST

    ReplyDelete
  7. UnknownOctober 14, 2014 at 5:13 PM

    2nd and 3rd trade are CT? i skiped them

    ReplyDelete
    Replies
    1. SMART TraderOctober 14, 2014 at 8:03 PM

      Need not skip them always
      You can always take good BOF trades
      Last BOF trapped a lot. Critical mass was long.
      Traders need to cover at the fag end and we can expect good order flow

      ST

      Delete
    2. UnknownOctober 15, 2014 at 2:57 PM

      oh got it , i have concentrated the order flow means SL's of critical mass at MSP, now i got it that along with SL's at MSP, need to know orderflow where traders start booking profits(ex:may be at fag end, or may be next day(s) holiday or may be when strong rejection of price at a DP(BOF)...

      Delete
    3. SMART TraderOctober 15, 2014 at 10:38 PM

      http://niftynirvana.blogspot.in/2013/08/order-flow-trading.html

      ST

      Delete
  8. veerOctober 14, 2014 at 5:23 PM

    Dear ST

    I shorted ( the first trade of yours ) at just below BRN 7900 - though it worked out profitably - is it correct to short at BPB line itself (or) should the short be after goes below the extension ( 7880) - please clarify ?

    Further - Can we draw the IR ( IRH and IRL) based on one minute time frame and trade on a 3 minute time frame ? why I am asking this - I draw out IR based on one minute time frame and this gave a BOF of IRL and BRN at 2.45 p.m.- is it correct to do so ?

    Regards,

    Veer

    ReplyDelete
    Replies
    1. SMART TraderOctober 14, 2014 at 8:09 PM

      Depend on the situation.On a BPB if the extension is far away better to enter early
      Then you can bailout even if the second push fails. It it is near better enter on its break
      I have not tried it on 1M chart. If you find it is working nothing wrong

      ST

      Delete
    2. TrekkieOctober 15, 2014 at 11:52 AM

      Hi ST,

      On a BPB if the extension is far away and we enter early, is the possibility of it turning out to be a failure higher?

      Failure of trade in 1M IR is far higher imho.

      Delete
    3. SMART TraderOctober 15, 2014 at 1:42 PM

      Earlier the entry , better the RR
      Last BOF , one can enter
      On break of PDH
      Break of PDC
      Break of BO candle low
      Break of BRN
      Early birds will catch the worm.But will take a lot of experience and conviction

      ST

      Delete
  9. Trader PaiOctober 14, 2014 at 6:21 PM

    k sorry ...got it ...due to Maharashtra elections ..
    thanks
    Kishore

    ReplyDelete
  10. veerOctober 14, 2014 at 8:13 PM

    Dear ST

    Thanks.

    Regards,
    Veer

    ReplyDelete
  11. UnknownOctober 15, 2014 at 12:55 PM

    ST Sir,

    Can we take the first short trade at the swing pivot touching BRN, (the one prior to where you have initiated your first trade) considering it as a complex pull back ?

    Regards,
    KSG

    ReplyDelete
    Replies
    1. SMART TraderOctober 15, 2014 at 1:26 PM

      You can very well short below 11th bar low because price made it clear that it is not interested to settle above BRN
      But inexperienced traders like us wait for more confirmation. Once we gain experience we will be able to do that

      ST

      Delete
  12. UnknownOctober 16, 2014 at 9:51 AM

    16/10/14

    Shorted on BOF of BRN & PDC .. Is it ok ST ? already 60 points up from low...
    what's yr view on this ST ?

    ReplyDelete
    Replies
    1. SMART TraderOctober 16, 2014 at 10:24 AM

      I too shorted and covered at LOD which is also NS RN

      ST

      Delete
    2. UnknownOctober 16, 2014 at 10:30 AM

      Now , as nf is not able to move past MC (10:06) , I will take a sharpshoot short below it with SL just abv it. To be covered at 7861.
      If MC broken before short initiate then order cancel.

      Delete
  13. TrekkieOctober 16, 2014 at 9:53 AM

    Hi ST,
    Could you please correct my range markings? Thanks. http://imagizer.imageshack.com/img911/258/2RBOPa.png

    ReplyDelete
    Replies
    1. SMART TraderOctober 16, 2014 at 10:26 AM

      Hope I need not answer now
      Use a combination of ranges and DPs to initiate trades

      ST

      Delete
    2. TrekkieOctober 16, 2014 at 10:48 AM

      Yes, thank you ST. EOD would be great, just want to know if I am marking ranges correctly.

      Delete

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