Tuesday, June 30, 2009

Tuesday morning outlook

With the American markets closing in the green, Asia seeming upbeat, we should expect gains in our market. The theme is to look for a rally, since momentum in the Indian markets supports the world moves. A bullish head and shoulder pattern confirmed on Friday gives an upside target of 4500 - 4510. We should see the Nifty trying to touch this number, maybe today.

There is a direct relationship between capital employed and gains. The less risk you have, the stronger your chances of making money. if you trade 50 Nifty (1 contract) on an investment of Rs 2 lakhs, your chances of making money are almost certain (almost, because there is no certainty). Start your trades with 50, then see if you need to add a position, in that case add another 50. Stop right here. Your maximum exposure is not to exceed 100 (2 contracts).

Have Fun!


PDPDPDPD said...

"Start your trades with 50, then see if you need to add a position, in that case add another 50."


Anupam said...

Hi Mr Sukhani,

At least this time big players proved you wrong...a dragon pattern was on the make which failed today..
All these are preplanned to create enough space for the budget event..in these times big players play smart to create some kind of illusion if being decoupled from world/US market...Need to play safe these times obeying intraday trend..and wait for the event to pass thru..

Anupam Majumdar

TOOCOOL7610 said...

dear sudarshan sir

2 days back i asked you a question of how to book profits in carry forward position and how to trail stop losses if trades move in my favour,kindly reply i am a confused trader your help will be much appriciated


satya said...

PD that's a good joke.

Take it lite PD.

Sudarshan sir i respect you very much.Iam following you from long time.Dont take it otherwise.What i obsereved iam sharing that thing.

This is your second post after 9 AM,Usually u wont post any updates after 9,Evening or late night or early morning u update your thoughts.What i feel is in these two posts You are influenced by That CNBC creature Udayan.For example We wil have plan to trade for that day,after listening to his comments,we will change that thoughts and we will execute his plan.He always misguides retail investors.

I know u like udayan's commentary.Earlier u mentioned in ur post.These are my views.If u dont want u can delete my comment.Why iam saying this is u always have that feeling that "i have to guide retail investors and sharing thoughts to us".Some people dont have that.They are getting paid for that useless chat.Between 9-9:15 he talks about his views.

May be iam wrong also.The answer knows to u only.Dont take this comment in otherway.I must thank u for giving such a education about markets.
The first post is "Quick market review"dated 22nd June(this day nifty made a low of 4143)
The 2nd post is this"tuesday morning outlook"

sixface said...

hello sir ..i need u to giv few notes about stoploss ..which will be usefull 4 many learners lik me ..thank u sir ...

S.V. said...

dear Mr.Sudarshan,
past few days you have been referring to " bullish head and shoulder pattern". I fail to see the same. could you please let me know on which TF I can find that. also if your time permits, please add a chart.(sorry if I am asking too much)

and thanks for such an informative blog. I learn a lot from it.


mgv said...

Can you please give some details about your 23-30 ema system..

Pi said...


Dear Mr PD (wtever dt stands for), what he means is that suppose you have a short view on mkt. You take a short position. Two things can happen - you were right, you were wrong. If wrong you get stopped out. If right then you add to your short positions once you have more confidence in your directional view and you get a pullback.

Pi said...

so if on tuesday you went short, and saw mkt moving in your direction you would add to your position each time price came near to 20 ema on 5 minutes chart. Lo & behold - easy money for you !! If instead you had gone long, you should be out by 4380-60. Going short even after that would have netted you another 100 points.