Monday, November 7, 2011

Gold at New Highs

After a brief correction, Gold is hitting new highs.  The message is: Strong trends persist for a long time. Sure, there will be corrections in between. Quite often, trends will surprise us. This seems to be working with Gold. For a few weeks, we had sharp dips, and sideways movement in the metal. That eventually gave way to a resumption of the uptrend.

Is the Nifty going the same way? This question cannot be answered easily. We have to answer a question: which trend are we talking about? The bear market or the recent up move. Answer to this question leads us to the concept of multiple time frames. The bear market covers a large time frame, while the recent up move refers to a lower time span. For swing traders, the time frame and the current trend will be different from the two time frames discussed above.


rohit said...

So you are saying that the bear market has not ended but currently we are in an uptrend. And traders should follow the trend or go with the trend rather than pre-empting the trend. Sir volatality has increased and the market is looking tired for the moment, is it giving indication that the upmove maybe ending?

daren248 said...

Sir, I would be very much interested in a product wherein you by SMS suggest us the trades to enter. I had called support and they told me that "Day vinayak/SMS" is not available.
Waiting for your guidance. Thanks.

Akash said...

Hi, Sir ,, My Query On Our Market Is Bottem Out At 4700 ? & bear market is over , bull market start ? last few day market move 30 to 40 point on nifty, what is this ?