Nifty opened near PDC. Skipped the BOF of PDC/PDH as IRL and MSP were below it. Attempted two trades. BOF of IRL and BOF of HOD. Both the trades did not move as expected. Nifty traded in a 25 point range the whole day.A barbed wire around PDH/PDC
I took the RH and RL (range high and low) as an envelope. RH and RL engulfs IRH and IRL. Please comment if my understanding about the envelope is wrong.
You are right. Once an envelop forms, the old range become less significant. Some strong levels like PDL/PDH etc in between will still attract some order flow making the range a bracket. Logic is simple. Trade what "All" see on the chart.
Barbed wires can form around any DP. Today BW was around BRN. BRN of spot Nifty which is an option strike level. Monitor such levels of NS. Earlier it was only xx00, now also xx50
Hi ST
ReplyDeleteI took the RH and RL (range high and low) as an envelope. RH and RL engulfs IRH and IRL. Please comment if my understanding about the envelope is wrong.
http://www.mql5.com/en/charts/1058496/nse-nifty-m3-gci-financial-ltd
Thanks
Kavi
Kavi
ReplyDeleteYou are right.
Once an envelop forms, the old range become less significant. Some strong levels like PDL/PDH etc in between will still attract some order flow making the range a bracket.
Logic is simple. Trade what "All" see on the chart.
ST
Sir thnx very much for teaching the the simple method of trading, i have only one word to say God Bless You thnx
ReplyDeleteHi,
ReplyDeleteCouldn't Think today that a Barbered wire will form near to PDC. It usually happens near BRN. Gave my 2 SL over there.
will remember in future..
Thanks,
Deven Malhotra
Deven
ReplyDeleteBarbed wires can form around any DP.
Today BW was around BRN. BRN of spot Nifty which is an option strike level. Monitor such levels of NS. Earlier it was only xx00, now also xx50
ST