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Is it In Negative trend?

Discussion in 'Technical Analysis' started by ggchavhan, Aug 26, 2014.

  1. ggchavhan

    ggchavhan New Member

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    Hi Shabbir

    I am thinking to buy JPASSO at this position. ( because Open Interest -VE, Price down)
    How would be the decision. Please what is your view?

    GAJANAN
     

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    ggchavhan, Aug 26, 2014
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  2. shabbir

    shabbir Administrator Staff Member

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    Yes very much a negative trend. Technically I don't see any trend reversal and fundamentally unless you have a view of 5 to 10 years, I would not be buying into it.
     
    shabbir, Aug 26, 2014
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  3. ggchavhan

    ggchavhan New Member

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    Then what is meant by Open Interest decreasing along with share prize?
     
    ggchavhan, Aug 27, 2014
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  4. shabbir

    shabbir Administrator Staff Member

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    I don't use the futures data to determine the trend reversal. Many other calculations help in trend reversal like what you have mentioned but then it does not work for me.
     
    shabbir, Aug 27, 2014
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  5. ravirajpr

    ravirajpr Responder

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    Just to add...this is a confirmed downtrend. Wait for the trend reversal confirmation before taking a long position as from the chart it looks like price may find support at prior support level @ 48 or may still continue downward...check the price action in a higher timeframe like weekly chart to confirm prior support level.
    Fibonacci levels can be used to confirm this as well.
     
    ravirajpr, Aug 27, 2014
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