Wednesday, December 21, 2011

A rebound is likely

The Nifty closed at 28 month lows on Tuesday, December 20 (Yesterday). Today, thanks to a 3 percent rally in American markets, the SGX is suggesting a 2 percent higher open for the Nifty. It is quite likely that the market may be in the process of starting a rally.

 

The primary trend is down – we are making lower lows and lower highs. Yet, all primary moves will see secondary corrections against the trend. The market is likely to begin a minor uptrend today. Traders should look to participate in this up move, since bear market rallies can be quite sharp and swift. The easiest way to join the party is to use a trend indicator on your intraday charts. While the trend remains up – stay long.

4 comments:

Balu said...

Sir

Not very important doubt but want to tell you sir.

Yesterday afternoon while you were in conversation with Udayan on TV, you said, "Nifty futures has just touched 4700". I was infront of my office odin terminal and also online trading terminal but nifty fut high was only 4699. Only after 5 sec it crossed 4700 in my computer. It runs on internet connection.

What may be the reason Sir? What is your broadcasting system Sir? VSAT, Internet or any?

Regards
Balu

Technotrader said...

Sir, attaching herewith study on Godrej Industries for your reference.
Godrej Industries - What Lies Ahead???

I was watching the chart of Godrej Industries from last few days and came to very interesting conclusion. The view is since May 2009 Godrej Industries has been taking support of a line (trendline) & it took the support of this neckline for 9 times in two and half years so this trendline is of extreme importance. By taking support of this line Godrej Industries formed a very interesting Head & Shoulder pattern (this was also observed in VIP & APIL recently and stocks sold off to make new lows). The trendline value is 170 & a daily close below 170 with increased volume or a weekly close below 170 can take the stock to the levels of 70. Yes Rs 70 only, so those holding Godrej Industries be careful about 170.

srinivas said...

Sir, how to identify the trends in intraday charts and EOD charts? Are there any seperate tools for identifying the trend?
How to trade in gap-up or gap-down markets?

Anmol said...

sir you recomended tatamotors as strong buy candidate as you sais it is in a small range and ready to break out.is the sl for this trd is below the lower edge which is i guess is 170?