Friday, January 10, 2014

10012014



Nifty Opened near PDC and went down. PDL rejected strongly. Went long on BOF of PDL. TP at IRH as there was very strong resistance there. IRH,DO,PDC, PDH and BRN. Price refused to go down. Went long on the break of BRN. We rarely get such confluence of  levels to defend our trade. TP around 6230. I was looking to short as critical mass was already long. BOF of Range High/HOD gave a good opportunity to short. TP at DO. Again there was a shorting opportunity on BOF of BRN. Did not take it.

35 comments:

  1. Hi ST,
    Good to see u back.
    Traded BN today.
    It got sold off like the nifty in the morning.
    But at the end it formed a LOL fromation with PDH overhead.
    Can it also be taken as BOF IRH??
    Plz click here

    Thanks,
    TBP

    ReplyDelete
  2. Hi Sir,

    Please don't mind as i am asking this type of questions..

    Last few days i am just trying to locate the positions... and end of the day comparing with your chart...

    only 50% i am positioning correctly...

    I am using 3min chart in sharekhan...

    Could you pls tel me which software you are using for this??

    I tried one of the paid service..with out knowing the proper info and lost the money but did not get the 3min chart...



    Thanks,
    Mahesh

    ReplyDelete
  3. Sir, can you explain what you mean by you wanting to short as critical mass was long? Nifty had broken out of a major consolidation and so the bias was long. Thank You,

    Nikhil

    ReplyDelete
  4. Hi,

    Today was one of the easiest trading day, I felt. I took 2 trades - Long & Short.

    But before the BOF of day's high, mkt went too high (20 pts), Also the upmove momentum was also good. so, First I was hesitant as i generally expect BOF within 10~15 mins.. but finally took it..

    Thanks,
    Deven Malhotra

    ReplyDelete
  5. sir,
    when you enter the BOF of previous days low, what is the expectation for that trade? I mean the potential profit taking area. and please explain the with trend and counter trend trades in day trading.
    The BOF of PDL and BOF of HOD were all counter trend trades and it is advised not to trade against the trend. please explain sir.

    ReplyDelete
  6. Sir,
    I entered and exited the first trade, same like you. Didn't take the second trade, despite of the huge volume there, due to some confusion.

    In the Zerodha 3 minutes chart, second candle after the day high candle was also having a tail, though smaller in length. Sometimes, when we see 2 or 3 tails at a DP, that BOF fails.So, I did not take that trade.

    How do you deal, if you see more than one tail at a DP? Can we trust the BOF, if the length of second tail is less than 50% of the first tail?

    S.Karthikeyan

    ReplyDelete
  7. Hi ST,

    @13:30 when there was a pin bar with an indication of FTC, why didn't you short? Specially, when you were looking for an opportunity w.r.t. critical mass consideration?

    Regards,
    Rajib

    ReplyDelete
  8. Sir,
    Why are you using icharts and not Zerodha charts?
    S.Karthikeyan

    ReplyDelete
  9. TBP

    You can short below IRH.
    It is also a BOF of HOD if you ignore tails

    ST

    ReplyDelete
  10. Mahesh

    I am using Icharts web based charting

    ST

    ReplyDelete
  11. Nikhil

    I was looking for a short rather than a long at that time.
    http://niftynirvana.blogspot.in/2012/07/critical-mass.html

    ST

    ReplyDelete
  12. Deven

    Most of the short term players /swing traders were short.Being last day of the week they started exiting once price went above PDH. On the way creating new longs.
    The final BOF created the panic in their camps triggering a sell off.Think about the motive. Are traders creating new positions or exiting the current ones?

    ST

    ReplyDelete
  13. Anon
    I am afraid you are not familiar with the concepts of DP trading. BOF are a way to trade CT trades.

    Please do read all the posts given under Important posts and the comments MANY TIMES till you become familiar with the method. If you have any doubts feel free to ask

    ST

    ReplyDelete
  14. KS

    Leave alone heads and tails.
    The question is whether price is getting accepted at the new area or getting rejected.Every moment in the market is unique and price action will unfold in a million way.
    Don't waste the time measuring tails

    ST

    ReplyDelete
  15. Rajib

    We are trading the acceptance and rejection of Decision Points and not pin bars.
    Price did not get rejected there.Being a counter trend trade we need a strong BOF there. Here price not even closed below the pin bar low

    ST

    ReplyDelete
  16. KS

    I am using Ichart for the last 5 years and like it. Further I have accounts with TSO currently trading through TSO using NOW.

    ST

    ReplyDelete
  17. Sir,
    In your last Short trade ,you shorted after the candle closed below Range low .Then where was your SL?
    Thanks.
    Dushmant

    ReplyDelete
  18. sir,
    In a range we expect the BOF of range low to take us towards the range high.Likewise can we expect the BOF OF PDL to take us towards the PDH?

    ReplyDelete
  19. Dushmant

    I shorted at 6239. My SL was above the previous bar high.If BOF is working rarely it goes above HOD again.

    ST

    ReplyDelete
  20. Anon

    No. We cant expect price to go to PDH on BOF of PDL. We expect the price to move to the nearest DP.

    ST

    ReplyDelete
  21. Hi ST,

    I'm just trying to put a hypothetical scenario at that bar ...

    If there were no such prominent BOF and next bar price closed below the low of the pin bar, would you have called it FTC?

    While near the DP, price either gets immediately accepted / rejected or takes long time to decide (when we get whipsawed). So as per you, how many bars / points should be there to decide DP has finally taken the direction?
    Regards,
    Rajib

    ReplyDelete
  22. Hi ST,

    What's TSO?

    Broker?

    tRaDer_B

    ReplyDelete
  23. Rajib
    No it will not be a trade signal. There is no space for the trade to move. You are trading into an established range low. Need some strong order flow to break such a barrier.No body is getting trapped to create such a strong move against a strong trend
    Such rules cannot be made. It all depends upon the "feel" and "Read" of the market action in real time which takes a long time and experience to develop.Price action trading is not pattern trading and can never be automated.You take a decision considering the concepts like trend, space, order flow, critical mass,risk, earlier behavior at the area, etc. If the market proves you wrong exit the trade and look for the next opportunity.

    ST

    ReplyDelete
  24. Trader B

    http://www.tradesmartonline.in/

    ST

    ReplyDelete
  25. Thanks ST...


    How are they in terms of service and brokerage..Do you rate them above Zerodha? Just checking for some good broker options for Nifty futures..


    Thanks
    tRaDeR_B

    ReplyDelete
  26. tRaDeR_B

    Platform is NOW.I never had a problem so far. It is cheaper than Zerodha @ Rs 95/- for a round trip for one lot of NF

    ST

    ReplyDelete
  27. For the traders who are confused in deciding which charting platform to use. here are my opinion.
    1. icharts
    2. investbulls.com-(real time java charts). this is slightly cheaper service than icharts. but candles looks like the same.
    3. sharekhan's trade tiger.(basic version charts are same as icharts candles. advanced version candles are slightly different.)

    I am using sharekhan basic version. because i don't need to pay for charts. i am trading with sas. cheaper than zerodha.

    ReplyDelete
  28. sir did you seen http://www.sasonline.in/rs999unlimitedtradingplan.htm

    they are little more simpler than TSO I believe

    please share your feedback.

    thanks
    raghu

    ReplyDelete
  29. Raghu

    Are you using SAS?
    On an average I take 60 trades a month. This may give a saving of 1000 PM. With NOW there will not be any software issues as it connects directly to NSE servers

    ST

    ReplyDelete
  30. Sir,
    Thanks for the clarification.
    S.Karthikeyan

    ReplyDelete
  31. Sir, sorry I saw your question now.

    I am using SAS since last 22 days on an assumption that money at trading account with SAS is as safe as with ZERODHA and all that BIG (I used to take more number of trades) savings in a year will go some of the insurance as planned.

    Yes sir its NOW and there is no in between things.

    Thanks
    Raghu

    ReplyDelete
  32. Hello ST,
    Your Quote ' On an average I take 60 trades a month. This may give a saving of 1000 PM. With NOW there will not be any software issues as it connects directly to NSE servers"

    Hence would a monthly plan of Rs1899 be more suitable.
    Thanks for your inputs.
    Regards

    ReplyDelete
  33. Hi ST,
    My charts look very different. If the chart were like mine, where would you take the last short? Please check http://images.devs-on.net/Image/hxi6S2PoYMcHE8Cg-Region.png

    ReplyDelete
    Replies
    1. S Roy
      All these candle sticks and resultant patterns are only illusions
      Trade the levels. Here price tried to cross the then HOD and RN 6250 but failed. A BOF
      You can short anywhere once price reenter the old area "convincingly". You can short below your BO candle low.
      ST

      Delete
    2. ok, thank you so much ST. Sorry about the multiple questions. Thanks for your patience.

      Delete

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