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Nifty's Trap

Discussion in 'Technical Analysis' started by rajesh_gaikwad, Sep 13, 2016.

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  1. yankeedin

    yankeedin Responder

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    We are now at major support level. Looks like Nifty may bounce from here. There are multiple supports near 8540 clearly visible in hourly chart. Further down there is strong support near 8500 levels. I believe 8500 should hold
     
    yankeedin, Oct 13, 2016
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  2. shabbir

    shabbir Administrator Staff Member

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    Same view here but I will like to wait for the leg up.
     
    shabbir, Oct 14, 2016
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  3. yankeedin

    yankeedin Responder

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    As we discussed earlier, 8500 been major support, that has been respected. I hope it's not a dead cat bounce as today market rose 1.85%
     
    yankeedin, Oct 18, 2016
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  4. shabbir

    shabbir Administrator Staff Member

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    Could be a trading bounce.
     
    shabbir, Oct 18, 2016
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  5. verenmitter2001

    verenmitter2001 Member

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    Occupation:
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    Dear Shabir and Yankeendin,
    which TIME FRAME is ideal for following charts levels? Hourly or daily?
    For trading style mentioned in your book and the one we have been following for past couple of years we take positional trade for breakout for one to fifteen trading session. what is the right time frame for this.type of trade?
    and is the same timeframe applicable on stocks and NIFTY?

    regards
    Veren
     
    verenmitter2001, Oct 18, 2016
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  6. yankeedin

    yankeedin Responder

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    Hi Veren,

    I prefer to look both daily and hourly chart.

    1. On looking daily chart we get to know overall trend and also main support and resistance level.
    2. I look into hourly(or 30 min) chart to get the best possible entry point by way of chart pattern. One such trade in this forum is explained at http://diytechnicalanalysis.com/community/threads/sbi-swing-opportunity.2333/ . Another trade is explained at http://diytechnicalanalysis.com/community/threads/adani-port.2399/

    By the way, this is only my view point. But I have got handsome short term profit using this strategy.

    Let's see what Shabbir has to say on this.
     
    yankeedin, Oct 18, 2016
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  7. shabbir

    shabbir Administrator Staff Member

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    Exactly. Look for both the charts and ideally the shorter your time span, the more trades you will execute and so if you don't want to be doing more trades, look for daily charts else hourly is good enough time.
     
    shabbir, Oct 18, 2016
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  8. verenmitter2001

    verenmitter2001 Member

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    verenmitter2001, Oct 27, 2016
    Share #28
  9. shabbir

    shabbir Administrator Staff Member

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    Looking at the chart the downtrend is clearly eminent but I also see an inverted head and shoulder around the horizontal blue line.

    Nifty.png
    So if 8500 is not broken and if Nifty can break the trend line, I will assume it can go higher else it can have tough times ahead.

    So it will be interesting to see how Nifty pans out in the next week or so.
     
    shabbir, Oct 28, 2016
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  10. shabbir

    shabbir Administrator Staff Member

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    BTW my view is more on the upside than on the downside because pin bar is formed yesterday which means 8550 has been rejected on the downside.
     
    shabbir, Oct 28, 2016
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  11. nirajshah

    nirajshah Champion

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    Awesome. Thx for sharing.

    Sent from my 504Q+ using DIY Technical Analysis mobile app
     
    nirajshah, Oct 28, 2016
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  12. yankeedin

    yankeedin Responder

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    Agree with inverted head and shoulder pattern. I also see something else. I see bullish flag been formed. If it breakout from the downward channel in next few days, we are up for a mega rally and I see 10k on cards in coming 6-9 months. Nifty Daily.PNG
     
    yankeedin, Oct 28, 2016
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  13. yankeedin

    yankeedin Responder

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    Short only if it breaks 8500 decisively.
    Or
    play accordingly as per the downward channel that I drew in Nifty chart. I mean short if it touches upper trend line of the channel. Buy if it touched lower trend line of the channel. Stop loss would be break out or break down. Hope I am clear
     
    yankeedin, Oct 28, 2016
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  14. shabbir

    shabbir Administrator Staff Member

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    Completely agree with you on this and that is why I wrote this.
    Downside looks very capped but 8550 may be crucial.
     
    shabbir, Oct 29, 2016
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  15. yankeedin

    yankeedin Responder

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    what a melt down... As per chart nifty at minor support. I see nifty gradually moving down. target of 10k looks bleak now.. New target seems to be 8000 rather than 10k.

    I am now exiting from long term investment stock, as per me market will eventually break 8k and move to 7k. Let's c what in store.

    Others, what are your views now on nifty
     
    yankeedin, Nov 11, 2016
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  16. shabbir

    shabbir Administrator Staff Member

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    Yes I see meltdown coming and it is because of real economy almost a standstill but I am not selling any position but I am trying to find funds to add lot more position in this meltdown because it will be this money that will ultimately help make a fortune.
     
    shabbir, Nov 11, 2016
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  17. rajesh_gaikwad

    rajesh_gaikwad Member

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    I think we should not make haste for investment ( though I made few :( earlier). Not sure how much it will go down. 8000-8100 could be the level.
    Also not sure if there will be a quick recovery. Hope there shouldn't be any unpleasant news in coming couple of months.
     
    rajesh_gaikwad, Nov 11, 2016
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  18. nirajshah

    nirajshah Champion

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    nirajshah, Nov 11, 2016
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  19. shabbir

    shabbir Administrator Staff Member

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    Bad news comes in together and so is the good news and it has always been the case but let's hope we have more news that can help us invest heavily in the coming months. The money invested in these times will be the best investment that you may do in the next decade or so.
     
    shabbir, Nov 12, 2016
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