Nifty...Point to Ponder!!!

Subex Views!!!

Below is the chart of Subex, something a friend wanted me to see. He is impressed with fundas and wants to play it for like 6 months to begin with. A brief technical analysis of the weekly chart to your left…a kinda hope for the inverse CnH (just a hope, no confirmations yet)! Price just nearabout the weekly 20/50 periods moving averages, anything between them is a value buy technically.

Looking at the daily chart above to your right we see a triangle threatening to break down and perhaps head for the 200 periods below. If I were to play this purely on fundamentals then I would buy a few here (60/65 range) and add more on declines. For purely a technical trade, one needs to either wait for pattern confirmations (depending on whichever chart weekly or daily you are trading) or buy near the MA’s with a very tight stop and play for +5% gains. Its always prudent too wait for the right entry rather than being trigger happy!!!

DLF...An Example Of Hidden Negative Divergence!!!

This is purely an academic post of a setup that’s already been spent! I am a person who likes to trade divergences now and then; shuffling through my charts I came across DLF, which made a beautiful Hidden Negative Divergence. Look at the shaded area and you will see while the price made a lower high, all the three indicators made a higher high, the price also confirmed by failing to hold on the MA breakout and reversed.

Having discussed what’s already happened let’s see if we have any trade in DLF, if you compress your charts to show two years of data you will see that DLF is at important demand area which has held out quite a few number of times. Also with the MACD showing some positive divergence and the indicators making small double bottoms, a very low risk buying opportunity is to buy now (250/55) with a stop near 240/245 or a better trade is to play safe and buy if it breaks above 258/60 for a target of 290/300!!!

Nifty Future Views!!!

Financial Technologies Views!!!

I am writing after a long, long, and still long time…lil busy with LIFE!...actually some personal things needed immediate attention….and no I didn’t burnout myself trading!!!

Sorry for disappointing a lot of readers and thanks to all those folks who called and mailed inquiring about me…touched…never knew I would be missed…

Anyways back to what I like to do…Charting!!!

Below is the chart of Financial Technologies, a scrip, I like to get into now, and maybe build up a position further on the dips. Read about the company here and here!

Below are the weekly and the daily charts of FINTECH…The weekly chart to your left shows a bit of a stalling of the fall…a place where it would be called in technical parlance “old resi turns to supports”, need less to remind here that when it comes to the crazy market behavior all these supports and resi’s go for a toss! Well the chart is a bull’s nightmare…all the three key weekly moving averages are above the price…infact I feel there is a case for mean reversion here. The price needs t either jump up here…a kinda spike, or perhaps move sideways so that to enable the nearest MA to catch up with it.

Moving towards the daily chart to your right, we can see an inside day…a simple trade, for people who trade such set ups. The divergence (positive) is too obvious so one can’t miss it. Another important point to be noticed is that volumes have not really picked up during the fall so I guess all is well with the stock…no panic yet.

 I am going to buy this as positional and not for trading…

Enuff of writing for a single post…guess getting a lil rustic here…will pick up my tempo soon!!!