FOLLOW UP EVENING DOJI STAR / NIFTY STUCK UP IN RANGE

On 10 Jan we posted that nifty was stuck up in range ( see link http://kolhapuritrader.blogspot.com/2012/01/nifty-stuck-up-in-range.html ).On same day it broke out above 4800 and  the target for this break out comes around 5000-5050.

Today morning we mentioned that there is evening doji star formation yesterday ( see link http://kolhapuritrader.blogspot.com/2012/01/evening-doji-star.html ), and there is possibility of reversal of short term uptrend. That means nifty will start downtrend. As expected today nifty opened lower.

These 2 are contradictory views but sometimes market don't give clear cut view, hence u should be prepared for both the directions.This is time when short term traders r not sure of the trend.

So as per view posted on 10 Jan there is possibility of up trend ( BULLISH VIEW ), and as per view posted today there is possibility of down trend ( BEARISH VIEW). Today as expected nifty opened lower but taken support near breakout level of 10 Jan ( 4800 ) and today also formed doji ( adjusted level will come around 4831 ). This also indicated that indecisiveness or inconclusiveness of short term traders.

So as of now unless yesterday's high ( 4877.20) is taken out there is no possibility of up trend, and unless 10 Jan low ( 4768.25) is taken out there is no possibility of down trend. Unless one of these two levels taken out nifty will once again stuck up in new range. Who will win BULL or BEAR ? The time will only tell us.

BUT OUR GUT FEELING SAYS THAT IT WILL BREAK YESTERDAY'S HIGH AND WILL MARCH TO  TARGET  5000-5050.

 DISCLAIMER: This Blog is meant for sharing my trading ideas only and no calls to be taken as trading recommendation. Visitors please do your own research or consult your advisers for safe trading.

EVENING DOJI STAR ?

This is daily chart of nifty. Yesterday it formed doji and looks like to be evening star doji which needs confirmation by today's price action. Also as shown it also got resisted at 50 sma that to with good volume. Is it indicating reversal of short term up trend we will keep our finger croosed.

Later on will wright in detail regarding evening doji star.

 DISCLAIMER: This Blog is meant for sharing my trading ideas only and no calls to be taken as trading recommendation. Visitors please do your own research or consult your advisers for safe trading.

जैसे थे ! (NIFTY STUCK UP IN RANGE)

As shown in above chart, nifty after giving big move on 3 Jan, stuck up in range 4720 on upside and 4780 on down side. Intraday it gave false break out once, and false break down twice. Looks like it is preparing for big move on which side it is big question mark. These are times when patience of short term traders get tested. You have to be disciplined to trade during such times otherwise it is better to stay out untill real breakout happens.

To be on safer side look for breakout above 4800 or break down below 4700. Since infosys the tech biggy is declaring its result 0n 12 Jan and also IIP data is also to be declared on 12 Jan expect range break out in near term.

DISCLAIMER: This Blog is meant for sharing my trading ideas only and no calls to be taken as trading recommendation. Visitors please do your own research or consult your advisers for safe trading.

TRADING WITH TREND LINES

NIFTY HOURLY CHART

If u learn technical analysis, sometimes u can use simple techniques to time entry and exits. If u observe the above chart of nifty when it taken out resistance line 1, it is entry point for target of resistance line 2, which all ready achieved. ( u have to book profit here according to this technique, and wait patiently for next set up to develop).

Now if resistance line 2 is taken out, then what will happen? For answer see next chart.

As shown in the chart it will target resistance line 3.
For all this trades u have to use proper stop losses. Will write regarding stop loss in future.

HAPPY NEW YEAR

HAPPY NEW YEAR TO ALL OUR BLOG READER'S.
Last 10-15 days quite busy so not possible to update, actually there were not much changes in technicals, except short term trend changed to up today morning. Intermediate and long term trend is still down.

We started this blog in April 2011, up till now there are 2273 page views, but we are really doubtful is it really helpful to anybody, because up till now only 3 persons commented on this blog. Actually we are spending lot of time to post, so if it is not helping to anybody, thinking of stopping to update new posts, so as a initiative THE LINK FOR PERFORMANCE SHEET ( on right hand side of blog) will be available for those who send us request. If u want to track performance sheet kindly send us request at kolhapuritrader@yahoo.in

In future, blog also may be accessible to those who send us request. Sorry but we want to know is it really helping anybody or we are unnecessarily spending time.