Charting and Technical analysis Rules

[ Thursday, April 24 | 0 comments ]
Rule 1 - If you cannot see trends and patterns almost instantly when you look at a chart then they are not there. The longer you stare, the more your brain will try to apply order where there is none.
If you have to justify exceptions, stray data points and conflicting evidence then it is safe to say the market is not showing you what you think it is.
Rule 2 – You can torture a chart to say anything you want. Don’t do it.
This is very similar to Rule 2 but it there is an important point to drive home. You can cherry pick indicators to justify whatever biases you bring to the table and that attempts to impose your will on the market. You cannot tell the market what to do – ever.
Rule 3 – Be sure you check out one time frame larger than the one in which you are operating (a weekly chart for a swing trader, a monthly chart for a position trader).
It is very easy to get caught up
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Nifty April Expiry Prediction

[ Tuesday, April 22 | 0 comments ]
FII_1
  • FII's bought 26.8 K contract of Index Futures worth 923 cores (31.1 K longs were added  and 4.3 K shorts were added for  Index Future) with net OI increasing by 35.4   K contracts. So today's FII's continue adding longs and also added fresh shorts  Index Futures.
Nifty reacted from the EW target of 6838 and did a day of consolidation by making a low of 6805 and closed well above 6800. Now looking at FII buying in Index futures we can see an impulsive up move if 6800 is not broken, 2 Possibility have been discussed...
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Nifty @ fresh life high, FII FnO data analysis

[ Monday, April 21 | 0 comments ]
FII_1
  • FII's bought 11081  contract of Index Futures worth 378 cores (26.3 K longs were added  and 15.2 k shorts were added for  Index Future) with net OI increasing by41.5  K contracts. So today's FII's continue adding longs and also added fresh shorts  Index Futures.
Nifty is entering the demand zone, with hourly charts entering oversold so if 6650-6642 is held we can see a decent bounceback till 6710,6750. During an uptrend market might correct for 2-3 session giving a trend reversal signal but can bounceback equally sharply, This is what we discussed in last analysis and Nifty bounced back fiercely and made a new high today at 6825. Now moving onwards, Any close above
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Trading & Patience

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Do you see yourself in any of following mindsets?
Have you ever done or thought anything like this?
If you have not, then please stop reading since you have attained trading mastery and don’t need any words from me:
  • No time to wait for setups. It looks like it might work, so I am going to get in now.
  • No time to wait for this to play out, I have a small profit and it might turn around and go against me, so I am going to get out now.
  • My position went against me, and it looks bad so even though it did not break support and the downfall was on light volume, I better get out now.
The markets are running away without

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Weekly Report - Bank Nifty Technical Research

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Last Week we gave Chopad level of 12851 and Bank Nifty did 2 target on downside.Inflation and IIP data both were disappointing leading to fall in Bank Nifty, initial 2 days but a quick recovery in last trading session helped Bank Nifty to recoup losses, We have Expiry in coming week so Lets analyze how to trade bank nifty in next 3 trading sessions.

Bank Nifty Hourly Elliot Wave Analysis

BANKNIFTY - Primary Analysis - Apr-20 2337 PM (1 hour)
Bank Nifty hourly charts is shown with Short term Elliot wave analysis,Initial Target of this upmove comes around 13118.

Bank Nifty Daily

 

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