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

Saturday, April 25, 2015

25042015

This is an illustrative example of the concepts being discussed.Markings are just visualizations on historical data in hindsight analysis  
Nifty opened near PDC and fell. Short on BPB test of PDL. Trade gave 20 point something. No other trades as I stayed away expecting some volatility due to infy results. On hind sight there were two good opportunities. A TST of PDL and a BOF of BRN at the fag end. It is difficult to take the last one
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8 comments:

  1. L.V.GandhiApril 25, 2015 at 3:15 PM

    After 9:36 bar, again, 9:57 bar showed RN was acting as support. Third time at 10:54 bar came as BOF. In spite of these, you held on to the trade. What was your thought process to hold on to the trade?

    ReplyDelete
    Replies
    1. SMART TraderApril 25, 2015 at 7:02 PM

      Initially price fell 50 points from open and remained below PDL. I expected a second leg down
      Thought of covering when second push failed but strongly felt a channel move down and waited.
      TST entries give a lot of freedom and peace of mind. Blindly fading the levels. If we get a small favorable bounce, bring SL to breakeven and sight tight

      ST

      Delete
    2. L.V.GandhiApril 26, 2015 at 7:30 AM

      Thanks.

      Delete
  2. SuMaApril 25, 2015 at 11:52 PM

    Thanks ST Sir.
    As of now, I don't have the experience to take touch trades. So, I guess I will stay with normal entries. :)
    TiZ

    ReplyDelete
  3. BharatApril 27, 2015 at 9:07 AM

    ST,

    What made u think that move will not go beyond pdl after falling 50 pts from opening. and take test trade without waiting for further price action ?
    Bharat

    ReplyDelete
    Replies
    1. SMART TraderApril 27, 2015 at 11:21 AM

      It is a BPB of PDL. trading the pull back after a BO
      Instead of entering on break of extreme, entered when it pulled back to the level after BO

      ST

      Delete
    2. BharatApril 27, 2015 at 2:52 PM

      ST ,

      Wont you consider yesterdays low range low after that strong up move. and expect failure of its extrme?

      Bharat

      Delete
    3. SMART TraderApril 27, 2015 at 5:31 PM

      Sorry. Did not follow your question

      ST

      Delete

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