As discussed yesterday, got an opening above our consolidated channel and got a clear trade till 24800.
Today's trading day was filled with heavy volatility. Saw a movement of 400+ points on both sides.
Clear no trade zones can be identified on the 5 min chart - (24800-24700) on the upside and (24350-24250) on the downside.
Scenario's for tomorrow -
As discussed yesterday, buying the dip was really fruitful.
Global Cues - The hopes of a stimulus are slowly fading away with about a fortnight left for the elections. Dow has retested it's 28000-28100 low and bounced back. Another strong decline can prove to be lethal with the volatility set to increase.
Clear consolidation in the second half without much...
As discussed yesterday, got a clear buy trade (buying the dip) after a huge gap up which by default cleared all our preplanned levels.
A close above 24200 is a strong sign that in the coming days we will reach for really high levels (25k and above)
Now for tomorrow -
Searching for buying the dip opportunities.
24100 and 24000 will be interesting levels to...
This week can be a really tricky one. We are edging closer towards the US election, new lockdowns in France and London and various other event will have a huge impact on the markets.
We clearly saw a double top formation on both the indexes.
Expecting some range bound market as the huge engulfing candle will lead to consolidation. Personally would trade with...
As discussed yesterday, the major channel played a key role and from that we took support for a fantastic 400+ points
Now for tomorrow -
The market is definitely positive. The loan moratorium went in favour of the banks and we can see the response.
SGX Nifty is trading above 12k
Dow Jones Futures are in a mix due to mixed banking results
A close look to...
As discussed yesterday, news was an important factor. Though the decision has been postponed for tomorrow, the markets got heavily volatile.
Price Action Lessons from Today -
The green pattern,
Making a lower end at S2 pivot level
An higher low near S1 pivot level
Clear breakout of morning high and trend till previous day's resistance
The red pattern, (M)...
As discussed yesterday, got a clear trade by following price action at the important resistance (24000-24100)
Got a triangular pattern (higher lows and lower highs) on the 5 min chart
We even got the trendline breakdown on the 15 min chart of the previous trend and now we have taken support on the major trendline being followed since 1st October, 2020.
Things didn't go as per plan and hence had a sober trading day.
The value of doing this analysis is to have a rational mind and clear plan.
Our psychology is the most important while trading and hence we should respect whenever the market goes against our plan.
Now for tomorrow -
Dow is showing no sign of weakness and respecting an upward trend line since...
As discussed yesterday, we took support on the major channel and had a good up move
On the daily chart a clear inverted hammer has been formed. Similar to that on 5th October, 2020.
But in the previous case we got a gap up opening and the follow through selling after the hammer wasn't there.
For Gap Up -
Would personally not take any trade as...
As discussed yesterday, for a flat to gap down opening, we were going to sell till 22600 and then expecting a bounce.
Our plan was almost perfect, the bounce was as expected.
Now for tomorrow :
On the 5 min chart, a clear inverted triangle is being formed.
The range is getting pretty narrow but expecting it to have a sober breakout or breakdown.
As discussed yesterday, got an early morning move at the resistance
Had previously stated on lowering the quantity of trades as it was expected to be range bound
During the end of the day, we got a clear breakout from our resistance of 22700-22750
And now for tomorrow -
The 1 hour time frame is at a really interesting point,
We have been forming supports...
As discussed in the earlier post,
Was planning to buy the dip but due to gap up opening, it never really touched our area.
Thus, didn't take any fresh trades today.
On the daily chart, we can see a clear profit booking move at the mentioned resistance of 22700
As mentioned earlier, we have spent a lot of time in this range. (8 days between 22700...
As discussed yesterday, we had a gap up opening and at the opening rate itself we broke the 15 min resistance. (View earlier post for reference)
A perfect wedge pattern was at play (discussed in earlier post)
Personally, got a clear trade after the 5 min breakout for about 200 points.
Now, for Monday i.e 5th October, 2020
A trend has been formed on the 15...
As planned yesterday, for a flat opening, it tested the support (21300) and we got a good trade of around 150 points
Later, it entered the range and stayed there till the end of the trading session
On the 5 min chart, a clear uptrend was formed since 10am. It got respected, till the end of the day
In the 15 min chart, we even got the break from the...
I personally refer to Dow Jones during live market hours for global cues and also take trades depending on how global markets are reacting.
Dow Jones is the most reliable index for such references.
Other indexes on my watchlist include - E100 and Hang Seng
Dow took support at the trend line and started it's rise to the resistance on the evening of 25th and our...
At crucial support (21350-21230)
Previous support acts as current resistance (22050-21980)
If flat opening - Support will be tested
If Gap up opening - In range
If gap down opening - Support might break
Trade based on 5 and 15 min time frames