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

Monday, January 5, 2015

05012015


This is an illustrative example of the concepts being discussed.Markings are just visualizations on historical data in hindsight analysis  
Nifty opened within previous day closing range. Broke above PDH. Went long on BPB of PDH. Trade did not move. Scratched. Short on BOF of PDH. Moved well and hit range low. Covered above the pin bar. Long on BOF of Range low. Watching the momentum,thought it will touch PDH. Exited when it fell below RN.Could not capture the down move
Posted by at

18 comments:

  1. UnknownJanuary 5, 2015 at 3:49 PM

    Hi ST
    What would have been the entry point for the last down move? Would it have been a SAR type trade??

    Thanks
    TBP

    ReplyDelete
    Replies
    1. SMART TraderJanuary 5, 2015 at 3:55 PM

      It was a BOF of MSP. It is very difficult to capture this move under this method

      ST

      Delete
  2. RaviJanuary 5, 2015 at 4:08 PM

    Dear Sir,

    Please comment on my trades:- http://niftyrozana.blogspot.in/
    thanks

    ReplyDelete
    Replies
    1. SMART TraderJanuary 5, 2015 at 4:52 PM

      Last one was excellent
      Pay attention to Space, especially for CT trades

      ST

      Delete
  3. UnknownJanuary 5, 2015 at 4:13 PM

    Dear ST.
    Good evening
    Refer your second trade short at BOF below PDH.
    After travelling nearly 20 points above PDH and reversing, Can we consider as Break of failure.
    I was thinking a short there but i didnt consider because of the upmove above PDH from 10.14 to 10.29am.
    Need your advice
    Raju

    ReplyDelete
    Replies
    1. SMART TraderJanuary 5, 2015 at 5:22 PM

      You are looking at it the wrong way. Trade the core concept. Stop hunting for patterns
      The basic and core concept is acceptance and rejection of price at decision points. Buying range lows and selling range highs. Do not bother about the pattern names. These are just thumb rules. Trade the core concept
      http://screencast.com/t/XqcuJrG9F

      ST

      Delete
    2. UnknownJanuary 5, 2015 at 7:51 PM

      Thanks a lot ST, appreciate the chart explanation

      Raju

      Delete
  4. xrtrader1January 5, 2015 at 6:35 PM

    Thankyou ST..

    ReplyDelete
  5. L.V.GandhiJanuary 5, 2015 at 7:13 PM

    I have two questions.
    1) Can you share your thoughts for not going short in the caes of BOF of RL/RN aroubd 13:00
    2) Can we go short again for BOF of RL/RN below 14:09 candle?

    ReplyDelete
    Replies
    1. SMART TraderJanuary 5, 2015 at 8:13 PM

      Price was making HH and HL and there was no space to FTA
      You can short the second fail. But if you are holding long it is very difficult psychologically
      http://screencast.com/t/pEhTLGzt

      ST

      Delete
    2. L.V.GandhiJanuary 6, 2015 at 7:55 AM

      Thanks.

      Delete
  6. BhavirJanuary 6, 2015 at 1:24 AM

    Thank you ST. I had a short bias today. Observations at
    http://niftytradediary.wordpress.com/2015/01/06/5-jan-2014/

    I really appreciate how you can view the market objectively. I need to start viewing without any bias. Today helped but may not be the case everyday.

    ReplyDelete
  7. TrekkieJanuary 6, 2015 at 9:22 AM

    Good morning ST, how did this 400 point bar happen today? wow!

    ReplyDelete
    Replies
    1. SMART TraderJanuary 6, 2015 at 9:29 AM

      No 400 point bar in Icharts
      http://screencast.com/t/RPtc9v4x61GK

      ST

      Delete
    2. TrekkieJanuary 6, 2015 at 9:32 AM

      Hi ST,
      Thanks so much for the chart. 8000 shows as the low in the terminal, guess it was a freak trade cleaned out by icharts.

      Delete
    3. TrekkieJanuary 6, 2015 at 9:50 AM

      Hi ST,
      Just realised your chart has a gap too!! Please check this daily chart of mine http://imagizer.imageshack.com/img909/1153/N18prG.png

      Delete
  8. Lazy TraderJanuary 7, 2015 at 7:14 PM

    Dear ST,

    In the trade which was scratched, how did you decide the exit. I did not exit the trade and waited till the the breakout candle got breached (8470). This did not allow me to take the BOF trade HOPING for a bounce-back reversal

    Can you please detail the exit, or what could be done for better identification of the trade.

    ReplyDelete
    Replies
    1. SMART TraderJanuary 7, 2015 at 9:01 PM

      The move was over extended. Rallying for two days. 170 points up
      I was not confident to go long at all. But took the signal. The entry bar stalled at 8480
      The very next bar retraced the entire entry bar and closed below it. This was scary
      Price moved up again and came back. If the trend is strong the BO point 8480 should act as support or it will be back at PDH. So I exited on break of this FLIP. We are entering after a BO and PB. There is no need to allow another pull back

      ST

      Delete

Note: Only a member of this blog may post a comment.

Subscribe to: Post Comments (Atom)