Wednesday, September 28, 2011

Learning Ideas

Here is an excellent lesson on Creeper Intraday moves by Corey Rosenbloom. I urge you to read the full lesson. The summary is:
A Creeper intraday move is a one sided move in a security. The trend is completely in one side, without pullbacks.Prices creep in the trend direction. Since there is no pullback, there is no opportunity to enter the trend. There are no reversal signs so there is no question of fading the trend. When traders encounter a Creeper: how should they trade. The best way Corey says is to use a simple moving average as a stop. Enter the trade with a stop around a 20(for example) period MA. A similar stop can be obtained by drawing a trend line. Stay in the trade while the MA or the trendline is not broken.

You do not see me on TV since I am on a holday.

Gold Bees: Building a position in Gold through the Gold Bees is an excellent idea. The SIP route is the best way. Invest a fixed amount everymonth, on a fixed date.

Rocky has a number of queries which require a fair amount of time to respond.

Sasi has a question on ORB: For ex: "If ATR of Nifty is 100 and Nifty opens with a gap of 80 points and further moves 20points in 1st 15 mins(total of 100 pts up)and breaks above the high of 15 mins. Psychologically it difficult to go long at this point for Intraday trader. "

My Notes: First, the ATR is an average of the range. Some days will have low range and some will have more. If the ATR is 100, surely some days may have a range of even 150 or higher. If the gap is substantial, then (a) wait for a pullback / consolidation, (b) take the intiial trade only if the stoploss is within your limits.

4 comments:

Jitender Yadav said...

Respected Sudarshan Ji
Although its entirely your decision but I think CNBC is better to be associated with. They have got the best business news anchor of India,Udayan & Mitali. Any analyst on TV is only as good as the questions he is asked.
Your Fan
Jitender Yadav
New Delhi

Pranali Khanolkar said...

Sir,

Thank you so much for the reply.
I am a great fan of yours ,not only because you are a trading expert but also for your simplicity and generosity.I learn all this from you.

Thank you.

rocky said...

sir when can i expect for your response

Sasi Uppuluri said...

Thank you for your reply sir. That helps.