These are my personal musings. These are not in any way meant to be trading advise. To view the full chart, right click and open in a new window.
The stop of yesterday’s low has been triggered, and we could be out of our long positions. Now the significant barrier would be the 3960 high recorded yesterday.
The market sentiment still positive, suggesting that the bulls are going out from the Index components into the second rung stocks. This still suggests that weak bulls are being forced out of their long positions.
The volatility will continue, it goes without saying. The market may have bottomed today. However, we would not be good traders if we jump into long positions immediately. Allow the Index to confirm the bottom and then only go long.
The Bank Nifty as well as the CNXIT showed weakness. But more significantly, we see that the volumes are increasing when the Index Futures are making new lows. Suggesting that there still is buying interest.
Therefore, as suggested earlier, we could see the trend for the Nifty could resume upwards from tomorrow. Allow the Nifty to confirm the bottom, and then think of long positions.
Trade happy.
The stop of yesterday’s low has been triggered, and we could be out of our long positions. Now the significant barrier would be the 3960 high recorded yesterday.
The market sentiment still positive, suggesting that the bulls are going out from the Index components into the second rung stocks. This still suggests that weak bulls are being forced out of their long positions.
The volatility will continue, it goes without saying. The market may have bottomed today. However, we would not be good traders if we jump into long positions immediately. Allow the Index to confirm the bottom and then only go long.
The Bank Nifty as well as the CNXIT showed weakness. But more significantly, we see that the volumes are increasing when the Index Futures are making new lows. Suggesting that there still is buying interest.
Therefore, as suggested earlier, we could see the trend for the Nifty could resume upwards from tomorrow. Allow the Nifty to confirm the bottom, and then think of long positions.
Trade happy.
1 comment:
Buy on dips ?? But problem is everytime it starts to rally, it falls again with gap down the next day (like today 10 jan and infosys tomorrow !)! Puts dont increase that much in premium and calls obviously lose premium.
So what to do in such a case ? Guruji, kindly advise !
reg
ketan
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