So how to initiate a trade:
Option 1:
If we go above 5432 first: In this scenario,with a Stop-loss at 5460 go short as close to 5450 as possible i.e. initiate first short around 5435 and keep increasing/accumulating shorts as we approach 5450.We may not see these levels again.
Option 2:
If we go below 5380 first(without going above 5423):
Start accumulating longs as we approach 5350,with Stop-loss at 5340 and target above 5423 upto 5455.
And on nearing 5450 go short again with Stop-loss at 5460.
Best of Luck for today's trade.
Raghu
Disclaimer: All these suggestions are for educational purpose.Trading in Markets is extremely risky.Do your own homework before stepping in.No responsibities if losses are incurred.
Thanks for giving the trade setup!!!!!
ReplyDeleteguruji,
ReplyDeleteapki analysis ki jitni tareef ki jaye kam hai.
last four posts were just amazing. they are maximum one can
extract out of waves as per my limited thinking.
mindblowing...
Thanks for encouraging words friends----I have been setting up my trades on the basis of waves for quite sometime now and found it to be the most rewarding technique--lekin maza to tab hai jab aap jaise bhai bhi seekh/samajh kar kamaai karein.
ReplyDeleteguruji,
ReplyDeleteapka ashirwad rahega to ek din kamaa leenge. right now i trade primarily using trend tools like moving averages. they are mechanical and very simple that a class 4 child can do. but it
is earning 4 rupees and giving away 3 back in whipsaw.
a small part i try to combine with indicators. this part is not completely mechanical and is somewhat subjective. this whud give more returns than moving averages theoritically. but i am not able
to extract the same till now. but performance has improved.
i tried trading with waves with small quantity. cudnt gain just lost money. not able to determine preferred and alternate count and extract trading opportunities . all the time 3 counts are there in my mind and get confused. bias and emotions are worst enemies. try to part book/hedge at levels u mention sometimes.right now applying only this much waves to my trading.
with all human intelligence why can a trader not outdo a simple moving average? to mind only one answer comes. with intelligence the human mind has bias and emotions. take any ur favourite dish halwa/ladoo/cake/etc etc . mix some cowdung in it. what does it become? cowdung . similarly we mix bias and emotions with intelligence and it becomes....
Well said Piyush.EW demands full time attention but on getting caught on the wrong foot 2-3 times,you will be able to follow the pattern step-by-step.One big mistake that most of EW learners do is to keep changing the stock/index.I also did that.Tried to follow Nifty,then LnT then Infy,then SBI and tried to synchronise their movements with Nifty and----
ReplyDeleteSo now I mostly do Nifty and that to see pattern on minute,Hourly & Daily Chart.You will miss a step or two but very soon catch up.
My todays(10.2.2012) post is devoted to you---I know you would love it