Monday, November 17, 2008

The trend remains down

The primary trend of the stock market is down. This means we are in a bear market. The Intermediate trend is down, when we made lower highs and lower lows. Traders should follow the intermediate trend. The minor trend may change from up to down and down to up. Given the volatile conditions, the minor trend is not easily traded.

How do we then trade the intermediate trend ? The answer is: go short if the Nifty makes a high which is below the last high made at 3180. This will confirm a pattern of lower highs, lower lows. Another sell short opportunity comes in if the Nifty breaks down below 2700 support.

The intermediate trend will change to up when we have a pattern of higher highs, lower lows. This has not happened yet.

1 comment:

Rohit said...

Hats Off to U Sudarshan Ji ,
U really have a great Knowlwdge of Technical Analysis & Really Work Hard in this Field .
U R the only nalyst what i had seen who is dedicated & never says false on TV .
Public hamesha apko dua deti hai .
Aaap ko Tv par dekhte hi Volume full aur PIN Drop Silence ho jata hai .