Only intraday:
CIPLA, LUPIN, ULTRACEM, SUNTV - All shorts
CIPLA, LUPIN, ULTRACEM, SUNTV - All shorts
Thursday, December 5, 2013
Monday, November 25, 2013
NIFTY Resistance at 6120 to 6140 range, BANKNIFTY seem to be more useful.
Expiry is near.
NIFTY seem to have resistance at 6120 to 6140. Any closing today above 6130 can lead to 6200. It also means NIFTY is short below these levels.
BANKNIFTY:
BANKNIFTY seems to be more bullish than NIFTY. Also looks like poised for long. Go Long with SL: 10900.
NIFTY seem to have resistance at 6120 to 6140. Any closing today above 6130 can lead to 6200. It also means NIFTY is short below these levels.
BANKNIFTY:
BANKNIFTY seems to be more bullish than NIFTY. Also looks like poised for long. Go Long with SL: 10900.
Thursday, November 21, 2013
Today don't enter fresh NIFTY shorts, Keep Trailing SL: 6050 - Ichimoku 1 hr NIFTY
Don't enter to NIFTY shorts today as long as it is above 5975.. It achived it's objective.
You can take short below 5975 only. Long is not advised, till it closes above 6150. Wait and watch.
You can take short below 5975 only. Long is not advised, till it closes above 6150. Wait and watch.
Wednesday, November 20, 2013
NIFTY -50 Ichimoku 1-ht chart - Shorting opportunity?
NIFTY 1 hour chart. To me it looks like a shorting opportunity.
UPDATE: NIFTY went below 6025, still a shorting candidate, but with strict SL: 6025.
Not a time to go long/short for traders.
Updates on Trading Methodologies
Risk management plays vital role in futures trading.
What can be reasonable targets for single stock futures ? What can be the risk management method for single stock futures?
These two are the questions still rolling in my mind.
1. I feel one should keep stop loss on both time as well as money factors.
a) A good stop loss method is to have weekly stop loss. This can be reviewed based on various factors.
b) Strict rules should be followed to buy a stock.
What can be reasonable targets for single stock futures ? What can be the risk management method for single stock futures?
These two are the questions still rolling in my mind.
1. I feel one should keep stop loss on both time as well as money factors.
a) A good stop loss method is to have weekly stop loss. This can be reviewed based on various factors.
b) Strict rules should be followed to buy a stock.
Fed is talking about reducing easy money - but says keep interest rates at zero
In a banking system keeping interest rates at zero means only one thing - the banks wont be able to make profits.
In this case, in US all banks charge some interest rate, except FED :-)
Anyway, there is a certain percept of growth when interest rates are > 2% and at the time total bonds sold by US is around 6 trillion, but now with 17 trillion bond holding, the interest rates at 0.. Is America really growing?
http://online.wsj.com/news/articles/SB10001424052702303653004579210143376261748
In this case, in US all banks charge some interest rate, except FED :-)
Anyway, there is a certain percept of growth when interest rates are > 2% and at the time total bonds sold by US is around 6 trillion, but now with 17 trillion bond holding, the interest rates at 0.. Is America really growing?
http://online.wsj.com/news/articles/SB10001424052702303653004579210143376261748
Trade Ideas Next 3 days
These trade ideas are generated based on Ichimoku charts, using 1 hr period. All trades are given for 2 to 3 days.
1. AXISBANK - Short around current price/1130 - for a target of 1062. SL: 1140. Tomorrow if it opens above 1140, the trade is invalid.
2. SBIN - Short if goes below 1770, - for target 1700. Long if closes above - 1815 SL: 1793.
3. CANBK - Short between 250 to 255, SL: 260.
4. IOC - Looks like a good short below 202, with trailing SL - 3 rupees from shorting position.
I think the positions may be closed.
1. AXISBANK - Short around current price/1130 - for a target of 1062. SL: 1140. Tomorrow if it opens above 1140, the trade is invalid.
2. SBIN - Short if goes below 1770, - for target 1700. Long if closes above - 1815 SL: 1793.
3. CANBK - Short between 250 to 255, SL: 260.
4. IOC - Looks like a good short below 202, with trailing SL - 3 rupees from shorting position.
I think the positions may be closed.
Tuesday, November 19, 2013
Difference between trading and investing?
Many of my friends used to ask about the difference between investing and trading in stocks. My friends also used to ask about the differences between short term investment, long term investment.
I would like to try put together all those points here, which I am sure should give a fair idea about these topics.
To understand investment, first one should understand what is trading with respect to stocks. Particularly in the context of Indian stock markets such as NSE, BSE and MCX.
So, lets define trading.
Trading can be defined as the process of buying at one place and selling at another place, mostly for a profit. Well, the selling can be after few days also. Luckily stocks are not perishable goods (well, some stocks are...) like vegetables.
If you see any company involved in trading such as BigBazaar, SPAR and observe what they do - i.e buy at lower price and sell at higher price - you can identify one factor. That is nothing but hording.
So, these guys buy onion or tomato or sugar and store them in store rooms for a while, and when they see a profitable price to sell - they will sell it. But the underlying factor is attempting to buy low, hold it with themselves for a while and then sell. This will be standard pattern.
They don't really care about quality of the product, so cheaper quality means lesser price on both buying or selling side. That's all they care.
Now we apply the same logic to stock markets, you can see the direct co-relation. So in trading, the traders buy cheap, sell at profit after holding for sometime.
Taking losses is part of trading.
Sometimes the shops also sell less than their buying price to reduce their inventory. The same is applicable for stock traders.
One thing that I want to clarify is: Both so called short-term investment and long-term investment (as popularized by media) are nothing but trading. The TV guys even tell short-term investment means holding period of 3 months. Long term investment means holding period of 5 years.
Sometimes the short-term investment time will change to 1 year, and some times the same 1 year is applicable for long term investment.
So, moral is - there is no concept the short term investment or long term investment as such.
It is just a perspective from individual view point. It is just plain trading.
Then what is Investment?
To understand Investment in the context of India and Indian stocks in NSE, BSE - I would like you to ask one question to yourself.
The question is:
How much time you spend before buying a property like house or land? or even a LED TV?
Normally most of us spend anywhere between 3 to 6 months for deciding on a property. Then ask this question:
How much time you spend before buying a stock?
If the answer is less than 3 months - most probably you are not investing.
Then ask this question:
What all research you do before buying a property, and what all research you do before buying a stock?
If you can co-relate the questions, you will know what I mean by investing.
I would like to try put together all those points here, which I am sure should give a fair idea about these topics.
To understand investment, first one should understand what is trading with respect to stocks. Particularly in the context of Indian stock markets such as NSE, BSE and MCX.
So, lets define trading.
Trading can be defined as the process of buying at one place and selling at another place, mostly for a profit. Well, the selling can be after few days also. Luckily stocks are not perishable goods (well, some stocks are...) like vegetables.
If you see any company involved in trading such as BigBazaar, SPAR and observe what they do - i.e buy at lower price and sell at higher price - you can identify one factor. That is nothing but hording.
So, these guys buy onion or tomato or sugar and store them in store rooms for a while, and when they see a profitable price to sell - they will sell it. But the underlying factor is attempting to buy low, hold it with themselves for a while and then sell. This will be standard pattern.
They don't really care about quality of the product, so cheaper quality means lesser price on both buying or selling side. That's all they care.
Now we apply the same logic to stock markets, you can see the direct co-relation. So in trading, the traders buy cheap, sell at profit after holding for sometime.
Taking losses is part of trading.
Sometimes the shops also sell less than their buying price to reduce their inventory. The same is applicable for stock traders.
One thing that I want to clarify is: Both so called short-term investment and long-term investment (as popularized by media) are nothing but trading. The TV guys even tell short-term investment means holding period of 3 months. Long term investment means holding period of 5 years.
Sometimes the short-term investment time will change to 1 year, and some times the same 1 year is applicable for long term investment.
So, moral is - there is no concept the short term investment or long term investment as such.
It is just a perspective from individual view point. It is just plain trading.
Then what is Investment?
To understand Investment in the context of India and Indian stocks in NSE, BSE - I would like you to ask one question to yourself.
The question is:
How much time you spend before buying a property like house or land? or even a LED TV?
Normally most of us spend anywhere between 3 to 6 months for deciding on a property. Then ask this question:
How much time you spend before buying a stock?
If the answer is less than 3 months - most probably you are not investing.
Then ask this question:
What all research you do before buying a property, and what all research you do before buying a stock?
If you can co-relate the questions, you will know what I mean by investing.
Tuesday, November 5, 2013
Real time website for BANKNIFTY - NIFTYFUTUREKING.COM
This website streams BANKNIFTY in real-time with 5-min charts.
The signals seems to be good. Also there is a real time chatting plug-in where you can follow traders.
Once you are in the site you can find real time NIFTY chart also. All other sites use JAVA platform, where this site streams the screen of the charting application.
Useful for NIFTY, BANKNIFTY day traders.
Overall this site is useful.
http://www.niftyfutureking.com/bankniftylive.php
The signals seems to be good. Also there is a real time chatting plug-in where you can follow traders.
Once you are in the site you can find real time NIFTY chart also. All other sites use JAVA platform, where this site streams the screen of the charting application.
Useful for NIFTY, BANKNIFTY day traders.
Overall this site is useful.
http://www.niftyfutureking.com/bankniftylive.php
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