Monday, September 26, 2011

Before the Open - Sept 26-11

Monday is the start of a new week, yet, the sharp down moves of the previous week are likely to cast a long shadow over this week's price movements.

The Nifty had a choppy day on Friday. A gap down, then a rally, then down, then up, then down - this is what I would describe as choppy. Today could be slightly different. It is possible that the market may remain choppy in the early hours then determine a trend which takes it to the close.

I am tracking Gold for a swing trade. The short term trend is down on my chart - 180 minutes. A change of trend or a breakdown after a consolidation will give trading opportunities. Silver is a classic story of how fast markets can move on any one side. The rally took 3 months to reach 65,500, then the decline to 52000 took just 2 days. The message is: Always have an exit plan.

6 comments:

NITIN DAMLE said...

Dear Sir,

Why r u not on E.T. Now these days. Miss u a lot.
Nitin Damle

rocky said...

respected sir, i have few query

•How to develop a view on markets each day before we actually start trading

how to identify choppy trend and when to use ORB TRADES ?

In 2 period RSI what should be upper limit and lower limit we should adjust??and the limit setting in ADX ??

in case possible please upload the presentation in newsletter too as we got the newsletter after market closing not before the market opening so it will be beneficial if you discuss the strategy regarding view on markets each day before we actually start trading

Test User said...

Hi Sudarshanji,

First of all a big Thank you for all the informative articles! I am sure there are many like me who start the day with your blog.

I have a couple of questions:

1) Which software do you use for charting?

2) For day/positional trading what do you recommend? Trading Futures or Trading options? And why?

pucchhu said...

dear sir,
i was looking at gold and silver on mcx, what is happening to both

pls comment

Jitender Yadav said...

Respected Sudarshan Ji (The Sensible Trader)
Thanks a lot for sharing your views. To share knowledge is the best way to gain it.Wishing you good health and all the success in every endeavor of life .
Your Fan
Jitender Yadav
New Delhi

amarjeet said...

Respected sir,
please advice on hindalco its break H&s pattren TGT 117.and if measure Ist
corrective wave its from 252 to 189.252-189=63.now if we measure 5 th w from 163-63=100.hindalco tgt 100.sir its right or wrong please explain.with example.