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

Wednesday, February 12, 2014

12022014



Nifty opened above PDH. Attempted to fall back into the range. Got rejected. Tried a new entry technique called "Touch Trades".(Please read 11022014 comments). TP when price failed to go above NS BRN. Went short below MSP. TP at BRN. Long on the DB,LOL,BOF of BRN/PDH. There was only very little space. But I expected it to hit the Flip. Thought of doing another Touch Trade at the flip. But was not very confident watching the lower tails of candles. Did not attempt the next BOF.

19 comments:

  1. Sir, Why didn't you take the PDH/Range Low BOF failure trade at 2.12 PM. I took that trade and scratched.

    Was there anything that suggested that it will not go well? I remember having read in one of your earlier posts that more than 4 swing pivots are rare in a day. Was that also a reason?

    Thanks
    S.Karthikeyan

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  2. Sir,
    did you take your TT trade above BRN and what was your SL?
    Thanks.
    Dushmant

    ReplyDelete
  3. Dushmant

    It was a blind trade.Did not wait for any confirmation. Bought at PDH with stop loss below the first MC

    ST

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  4. SK

    Market has broken out of three day range and settled above this. I was not comfortable shorting here. so decided to wait for a pullback after a clean break.

    ST

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  5. Sir, I think I have not expressed myself correctly. I went for a Long after seeing the BOF of PDH and Range Low.(2.12PM candle.) How I could have avoided this trade?
    Thanks
    S.Karthikeyan

    ReplyDelete
  6. Hi ST,
    I also thought of taking the trade Karthikeyan mentioned.But did not take it because of the channel ..
    Was that the reason for not taking that trade

    thanks n rgds
    Kishore

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  7. SK
    My buy order was above the MC and MSP which did not trigger

    ST

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  8. Kishore

    You observed it.
    I too suspected a channel

    ST

    ReplyDelete

  9. Sir,
    Thanks for the guidance.
    S.Karthikeyan

    ReplyDelete
  10. good evening sir can you explain about TT............. ?

    ReplyDelete
  11. Dear ST,

    Does TT trade negates/overrules FTA concept?
    Or it is to be taken when FTA is at a favourable R:R ratio away from entry?
    Or for Sniper shot entries when FTA is around?

    I am going through charts to understand above mentioned points. Please suggest your take on the same.

    ReplyDelete
  12. Anon

    NO,No, No
    This is just an alternative entry tactics on BPB trades.
    I considered the morning trade as BPB of PDH.
    We usually enter on break of IRH. Here tried a lower risk alternative. Do not try this unless you are very confident about the level
    http://screencast.com/t/7Sa957NZY1W

    ST

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  13. Anoop

    It is just an alternative entry technique for BPB Trades

    http://screencast.com/t/7Sa957NZY1W

    ST

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  14. ST..., Please give more info on "Touch Trade".

    ReplyDelete
  15. Dear Mr. Rajesh

    I would appreciate further if you kindly update your trades and nifty analysis on real time basis , off course without taking a toll to your own trading.This will force more clarity in seeing charts and rectify ourselves on hand.

    Regards

    Sunando Ghosal

    ReplyDelete
  16. Sunando

    Real time analysis is harmful to both the teacher and learner
    People lose focus and for the learner it is better to avoid crutches.
    Further, I am very careful about this teaching side and I will not allow undue importance for this in my life.
    I know what happened to the good teachers like Saint, Karthik, Uasish,Raghav and many others

    ST



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  17. ST Sir,

    If I am not wrong, IRH has acted as a major price level for the day with price movement halting for a few minutes or reversing at this DP. You seem to have ignored the LOL formed by IRH in both your subsequent trades for the day. As you have mentioned, there was very little space.

    Did you approach these trades with an increased risk appetite having completed a succesful first trade ?

    Also, does BRN (being hardly 5 points away from IRH in this case) carry more weightage than IRH?

    Regards,
    KSG

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  18. KSG

    Yes. IRH was acting as major level.
    DP framework is just an approximation of market structure. Nothing will work 100% of the time.

    DPs work because people pay attention to these levels and a lot of people act there. Now show the chart to a trader and ask him to identify the prominent levels.All of them will notice HOD and LOD.followed by the MSP flip, a few will tell BRN. I doubt anybody will tell about IRH.
    Please do read

    http://niftynirvana.blogspot.in/2012/10/brackets-and-envelops.html

    http://niftynirvana.blogspot.in/2012/12/love-virgins.html

    ST

    ReplyDelete
  19. Thanks Much Sir,

    After re-reading the above posts, I got better clarity about the matter.

    Regards,
    KSG

    ReplyDelete

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