Babu Kannan of Wealth Bull plans to conduct a workshop on Fundamental Analysis and Value Investing in Delhi sometime soon. If Fundamental Analysis is your favorite poison other than Technical Analysis then you can drop him a line at info@wealthbull.com and express your intent on attending it!
And speaking of Technical Analysis Icharts also conduct short and sweet workshops on Technical Analysis. Now Icharts doesn’t need any introduction because it has already about 25000 registered members. Its one of the best real time chart provider, and helpful to those who don’t have a regular charting software with real-time feed. It’s a veritable source of knowledge in itself all you need to do is explore it yourself!
It’s all about learning how to manage your life and not let your life manage you—especially the trading life. To do this, I utilize the 4 F’s: Focus, Fuel, Facts and Fun read the complete article here and also enjoy the tube vid below, brilliant stuff!
Two days and almost a 200 point rally in Nifty! A bullback…oops I meant a pullback or is somebody’s goose is being cooked? We had an important announcement about the schedule of our general elections and the moral code of conduct comes into force on February 8th, this means that the incumbent government has just few days left to play SANTA (I know Christmas over but if the government wants to play SANTA, it can play anytime!). All the investor friendly (and some not so friendly) and populist schemes and bills have to passed pronto. Elections are big time money spinners a lot of money needed will be pulled out form safe havens (the stock market is one good parking place!). This might just end being a RELIEF rally…..RELIEF!!! Yeah RELIEF for the politicians!!!
Anyways we mustn’t bother with all these as traders and just trade what we see on the charts. Deepak Singh of State of the Market once commented to me that while trading it’s more that enough if you use your EyeQ rather than THE IQ! Amen! So lets se what we have on the daily charts today, well for starters we are back to the all important pivot we have often discussed 2870! Secondly the price has just stalled at the confluence of the 20 and 50 periods MA’s. As of now from the daily chart it looks like the next trouble spots are 2915/20, 2950 and 3030! Speaking of supports we have something strong (hopefully) for a change at 2780 and 2680.
The hourly chart below shows once again how the confluence works, the price stalled right at the 200 periods MA and the 38.2% retracement. Funnily the entire weeks OS position now seems to be OB in just two days! I just spoke about support at 2780(it becomes the logical stop for all things recently BULLISH!) earlier; well you can see that is exactly the area where the 20 and 50 periods MA’s are in tête`-à-tête with the 23.6% fib! 2906 and 2968 looks like show stoppers on the daily chart. Things can be a tad bit volatile tomorrow, needless to say that tomorrow being the derivatives expiry day.
"Procrastination is the thief of time." Edward Young
All that Glitters is GOLD!!! Well so it seems if you see the last week’s run in the GOLD. People have starting shouting go BULL in gold now. After all with the world is scared that the equity market is going to be a bit more painful, so no harm in taking solace into the security of the yellow metal.In my last post on gold I had written that a convincing close above $ 870 will lead to what we would assume to be a triangle breakout! Now once again this becomes important because gold on retracement should take support here and try and move up. Failing to hold on this we have now a support zone established at $830approximately, where the 200 and 50 periods (on the daily chart) are lined up almost horizontally! The upper leg should test $930/40 before assuming any significance. There is a bit of negative divergence developing on the daily chart and hinting at OB situation.Gold is interestingly poised on the weekly charts too! Now let’s wait and see how this breakout pans out next week.
"Imagination is more important than knowledge" Albert Einstein
Nifty has had an eventful weak (pun intended), with Nortel scare and Satyam news still in focus (bailout no bailout? etc etc), it’s managed to close above the half way mark of the weekly bar. With the US markets closed on Monday and OBAMA stepping into the hot seat maybe the DOW will give a short rally next week. Monday should be a flat opening and a very zzzz type day! Apparently the only support on weekly is the one we just held up all along this week, now below that 2580 is the only hope or rather the line of Life!
The daily chart below has had a weak reversal of sorts (weak because there was lackluster volume on the up tick), the 50 periods MA is right on top at 2880 to stare Nifty down. Above that we have the 20 periods MA and the trend line resistances sitting pretty tight at 2930/40 odd levels. In fact right from 2880 to 2950 is ONE strong resistance band!
The hourly chart below is a very good example in showing these resistances along with the fib ratios as well as the MA’s. As regards to supports, we’ve have had some nice respite at 2750/80 during the intraday gyrations, so logically the bulls and the bears should be actively watching this to either hold or crack! Nothing more than a few intraday plays in Nifty as of now, and like they say THE SHOW MUST GO ON!
"Effort only fully releases its reward after a person refuses to quit." Napolean Hill
Hi,
I am Manoj and I am trying to be an investor/trader with more emphasis now on investing side.This blog is an attempt to Discipline myself and also serve as my Diary, for recording what I call Ramblings Of An Insane Mind.Since learning is a never ending curve I intend to share my notes with friends who are interested and also would like to learn from others.The posts in this blog are nothing but notes I am making for myself.Nothing on this site should ever be interpreted as advice, research or an invitation to buy or sell any securities.
TRADE LESS TRADE SMART!!!
Hit me with brickbats at tryin2b@gmail.com
