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Today morning, Asia was down. the Nifty opened down with a gap. What was the possibility that the gap will be filled ? Not much since this decline came after a 600 point rally. After the first 15 minutes, it became clear that the Nifty did not have the energy to rally. The trades if any have to be on the short side. As it worked out, today's trades should have made money. But, that's not important. The approach should be to trade well. Leave the results to the markets.
After a rally from 2540 to 3130, a decline to 2985 is a correction. Or, was the entire rally a correction of the onging bear market ? This chicken and egg discussion can continue for long. So, traders should go with the short term trend which is down. Investor should wait patiently for a deeper correction. Even if this is a sideways market, a deep correction should provide profitable opportunities to buy.
Have Fun!
July 2 2010
4 weeks ago
Posts
4 comments:
thanks from
viral surat
What I like qbout SUDARSHAN BHAIYAA is that as disclosures he usually has some holdings in the market.
SUDARSHAN JI you have never replies to my queries. PLEASE PLEASE reply this time.
I normally follow EOD CHARTS as Im not a day trader.
Therefore logically my stops should be placed on a closing basis.
However this becomes too risky as nifty is a wild creature.
HENCE Im forced to place stops on an intra day basis.
Many a times these stops get hit on an intraday basis but the closing price turns out to be far away from the price.
This causes great frustration.
SIRJI please enlighten. PLEASE
thanks. You are always advising investors for a deeper correction. Can you suggest how deep a correction from current level you are talking about?
g s ahuja
delhi
Sir,
I have failed to get any reply from your side to my query up till now. I hope this time i will succeed in getting my query answered by you and so request you to express your views/opinion . Sirji basically i m a small investor with long term view and planning to rebuild my portfolio.To be frank I don't indulge in any kind of trading. As mentioned in this post you are suggesting for long term investors to enter at deeper correction. So can u please suggest at what levels on nifty/sensex around which can a long-term investor start buying in staggered fashion keeping in mind 2-3 years horizon with risk reward ratio being in favor of reward. I remember you mentioning in some of your previous post that banking & financial sectors usually bottom out first, so do u think that bottoming out process for banks/financials has begun?? I m planning to shift some of my spare money from FDs (which are going to mature soon) to equity market. Kindly guide me so that I can plan my investment accordingly.
Thanking you in advance...
Regards
Sandip Thakrar
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