We were not able to post any topics as scheduled today due to some technical difficulties. We regret for any inconvenience caused.
We will be posting all posts as scheduled from tomorrow. We appreciate your co-operation.
Happy Evening!
Day Trading Analyst
We will not be posting Pre-Market Outlook & Trading Calls today; we will post the Post Market Outlook and Technical School in the evening. We regret for any inconvenience caused
Happy Trading!
Day Trading Analyst
Cutting short from the Three day losing spree, the Indian Benchmark Index ended with the mild gains. The Sensex ended with 15,074 points (about 0.5% gains) in green and Nifty also ended in green by gaining 33 points (about 0.7% gains) on upside.
Asian Markets also showed some mild recovery in the middle of China's announcement of Economic Stimulus measures, Nikkei ended by gaining 0.6%, Hang Seng closed in green with 0.7% gains, Chinese Benchmark Shanghai Index closed positive by gaining 0.5%.
US Markets on Tuesday started with heavy selling pressure, with Dow Jones Losing about 1% and Nasdaq Losing about 1.25%. NYSE Composite Index is trading at 1.32% below the previous day's close. Let's wait for the US Closing Bell, to decide upon Indian Market's Global Cue status.
We will not be posting our Technical School posts today. However, we will post the same from tomorrow.
Happy Evening & Good Night!
Day Trading Analyst
Trading calls for today in NSE are as below:
Symbol | S3 | S2 | S1 | Pivot | R1 | R2 | R3 | V % |
AARTIIND | 36.13 | 38.32 | 41.13 | 43.32 | 46.13 | 48.32 | 51.13 | 58.65% |
AXISBANK | 757.43 | 777.17 | 810.23 | 829.97 | 863.03 | 882.77 | 915.83 | 68.81% |
EIDPARRY | 259.07 | 279.03 | 305.97 | 325.93 | 352.87 | 372.83 | 399.77 | 844.88% |
EXCELINFO | 88.80 | 95.50 | 107.40 | 114.10 | 126.00 | 132.70 | 144.60 | NA |
GVKPIL | 41.17 | 42.08 | 42.87 | 43.78 | 44.57 | 45.48 | 46.27 | 64.55% |
HINDALCO | 92.25 | 95.95 | 98.90 | 102.60 | 105.55 | 109.25 | 112.20 | 81.74% |
IBSEC | 41.37 | 42.68 | 43.97 | 45.28 | 46.57 | 47.88 | 49.17 | 100.04% |
RENUKA | 161.57 | 168.83 | 174.47 | 181.73 | 187.37 | 194.63 | 200.27 | 75.94% |
SATYAMCOMP | 72.73 | 85.47 | 83.33 | 96.07 | 93.93 | 106.67 | 104.53 | 449.49% |
SUZLON | 68.83 | 74.77 | 77.98 | 83.92 | 87.13 | 93.07 | 96.28 | 96.31% |
Maintain Strict Stop Loss, End in Cash by EOD.
Always trade in Market's Direction.
Happy Trading!
Day Trading Analyst
US Markets have closed in Red on Monday session; however, we can term US Markets as ending flat. Asian Markets are giving mixed performance; Nikkei is trading around 20+ points and has remained green throughout the session till now. However, Hang Seng has lost over 90+ points today. Indian Markets might respond accordingly in today's trading session.
If NSE opens and stays above 4466 levels for the first one hour, than we have tough resistance at 4533, 4629 and 4696 levels. In case, NSE open below 4466 and stays below this level for first one hour, then NSE has a Strong Support at 4370, 4304 and 4208 levels. Markets have been highly volatile with heavy volumes being traded yesterday, which offset the Asian Market performance. Heavy selling was noticed yesterday.
For Day Trading, it is advisable to maintain strict Stop Loss and remain in cash by end of trading session today.
Happy Trading!
Day Trading Analyst
Today market is looking very positive, Monsoon is looking good as all the reservoirs in the country is full above last 10 years average. Markets are expecting Q2 results at a higher note Year on Year.
Day Traders are cautioned about their trades, keep strict stop loss and follow the stock trend and the market trend. Always be in sync with the Market.
We will join you back in the evening's Post Market Outlook
Happy Trading!
Day Trading Analyst
Today Asian Markets has been rallying heavily, Nikkei is trading above 10,500 levels (125+ gains) and Hangseng is trading above 20,750 levels (400+ gains). Indian Markets might also have a good rally today. Maintain strict stop losses for the day. End the day in Cash.
Trading Calls for today
Symbol | S3 | S2 | S1 | Pivot | R1 | R2 | R3 | V % | |
BPCL | 450.00 | 469.37 | 495.73 | 514.37 | 540.73 | 559.37 | 585.73 | 52.31% | |
FSL | 31.87 | 30.73 | 27.87 | 28.73 | 29.87 | 30.73 | 31.87 | 113.10% | |
HINOILEXP | 147.45 | 162.90 | 172.00 | 187.45 | 196.55 | 212.00 | 221.10 | 114.35% | |
LICHSGFIN | 578.70 | 592.70 | 608.50 | 622.50 | 638.30 | 652.30 | 668.10 | 1711.71% | |
Always Trade in the Market's Direction
See you again with Market Outlook
Happy Trading!
Day Trading Analyst
We are not posting any analysis today due to some technical difficulties. We regret for any inconvenience caused.
We will be posting our Weekly Round-up and Week Ahead analysis on Saturday and Sunday. From Monday onwards, we will post the daily analysis as usual.
Thank you for your interest in our blog.
Happy Trading!
Day Trading Analyst.
Trading in August month has started on a positive note; this is due to good earnings result in Q1. Average profits were up about 26% and sales were down about 4%. These higher profit earnings are due to heavy cost cutting measures by the companies. Profits by book are very easy, but very hard to sustain. Hence, high caution is recommended to all Long Trades by Day Traders. Adani Power is oversubscribed by 21 times, this means Rs. 60,000 crores is blocked from the Market. If NHPC issue oversubscribes by at least 10 times, then another Rs 60,000 crores will be blocked from the Market. Remember what happened in 2008, when Reliance Power IPO was released. Market crashed heavily due to lack of fund from many Hedge Funds and FIIs.
It is very much advised to be cautious in these market conditions. Maintain strict Stop Loss and remain in cash by End of Day.
Thank you for joining this discussion, see you in the evening with Post Market Outlook.
Happy Trading!
Day Trading Analyst
Here are today's trading calls, please maintain one level Strict Stop Loss and Trade in the Market's Direction only.
Symbol | S3 | S2 | S1 | Pivot | R1 | R2 | R3 | V % | RS | W%R | ||
IFCI | 49.07 | 50.18 | 51.07 | 52.18 | 53.07 | 54.18 | 55.07 | 100.73% | 4.18 | -15.58 | ||
JPASSOCIAT | 170.77 | 188.88 | 216.77 | 234.88 | 262.77 | 280.88 | 308.77 | 101.51% | 4.36 | -14.84 | ||
SATYAMCOMP | 97.73 | 100.67 | 103.83 | 106.77 | 109.93 | 112.87 | 116.03 | 448.59% | 4.49 | -8.44 | ||
SUZLON | 90.13 | 92.12 | 94.73 | 96.72 | 99.33 | 101.32 | 103.93 | 104.35% | 1.86 | -53.69 | ||
UNITECH | 88.40 | 90.60 | 92.45 | 94.65 | 96.50 | 98.70 | 100.55 | 104.25% | 4.35 | -14.80 | ||
Legend:
S 1, 2, 3: Support Levels
R 1, 2, 3: Resistance Levels
V%: Volatility Percentage (The Higher the percentage, higher the liquidity)
W%R: William's Percent R (0 to -20 is overbought levels, -80 to -100 is oversold levels)
Note: Trading in Market's Direction is Always Recommended.
We will post Our Trading Call's Performance in the Evening's Post Market Outlook.
Happy Trading!
Day Trading Analyst
The Indian Markets has witnessed a good amount of profit booking yesterday. This has pulled down the Sensex and Nifty to little lower levels. However, the US Markets has opened and performed on a positive note in Aug 4th Session, this makes us to breath little easy. Asian Markets also started up quite good this morning. Hence, we can expect a good positive trend in Indian Markets.
If Nifty opens above 4684 and stays above this level, it has some strong Resistance at 4727 and 4773 levels, if Nifty manages to break these levels, the next strong Resistance level is at 4815. In case, Nifty open below 4684 levels, then we can find support at 4638 and 4596 levels, if Nifty slides beyond this point, then the next strong support is at 4549 levels.
Since, global market cues are highly positive in nature due to extended earnings, we can expect a good positive movement in the Indian Markets.
Thank you for joining this discussion
Happy Trading!
Day Trading Analyst
This means, the stock can find the support level or resistance level, once the support or the resistance level is broken, then that level transforms into a new support or resistance level.Today the Indian Benchmark Index BSE, took a breather for a round of Profit Booking, there was some good amount of profit booking in markets today after a continuous 3 day gains. The Sensex fell 93 points from the previous close and closed at 15830 levels. Whereas, Nifty lost about 30 point and closed at 4680 levels.
In the global markets, European markets lost some early points, due to mixed earnings and profit booking from recent market highs. Even the Asian market's performance was a Mixed bag.
In Indian Markets the Auto Sector extended their gains today, in the Metals sector HINDALCO was a Biggest Gainer for the day, by advancing about 4.4% and closed at 112 levels.
Today's Performance for our Trading calls are as below:
ALOKTEXT: High @ 21.45 and Low @ 20.70 (This hit our Resistance 1)
HDIL: High @ 290.00 and Low @ 273.60 (This hit our Resistance 1)
IFCI: High @ 53.30 and Low @ 51.30 (This hit beyond our Resistance 1)
JPASSOCIAT: High @ 253 and Low @ 207 (This hit beyond our Support 3 (Short Trades))
SATYAMCOMP: High @ 109.70 and Low @ 103.60 (This hit beyond our Resistance 3)
Our trading calls are purely technical in nature; this does not include any other information such as stock news, industry news, dividends etc.
Thank you for joining us in this Analysis
We will be back with Our Technical School shortly
Happy Evening!
Day Trading Analyst
Symbol | Sup 3 | Sup 2 | Sup 1 | Pivot | Res 1 | Res 2 | Res 3 | V % | RS | W%R | |||||
ALOKTEXT | 19.97 | 20.28 | 20.57 | 20.88 | 21.17 | 21.48 | 21.77 | 98.95% | 2.20 | -22.77 | |||||
HDIL | 261.07 | 266.18 | 275.22 | 280.33 | 289.37 | 294.48 | 303.52 | 99.95% | 4.09 | -11.21 | |||||
IFCI | 49.35 | 50.00 | 51.10 | 51.75 | 52.85 | 53.50 | 54.60 | 100.45% | 2.90 | -11.11 | |||||
JPASSOCIAT | 224.27 | 230.13 | 240.37 | 246.23 | 256.47 | 262.33 | 272.57 | 100.36% | 2.94 | -2.55 | |||||
SATYAMCOMP | 99.20 | 100.70 | 102.10 | 103.60 | 105.00 | 106.50 | 107.90 | 448.51% | 4.27 | -16.89 | |||||
Legends:
Sup 1, 2, 3: Support Levels
Res 1, 2, 3: Resistance Levels
V %: Volatility Percentage (Higher the percentage, higher the liquidity)
W %R: William's Percent R (0 to -20 overbought levels, -80 to -100 oversold levels)
Note: Always Trade in the Market's Direction
Thank you for joining us in this Analysis, We will post the Trading Call's Outcome in the evening.
Happy Trading!
Day Trading Analyst
Yesterday, we saw BSE rising to its 14 month high by closing at 15,924, which was also followed by Nifty, which closed at 4711. This was due to the strong global cues, as most of the global markets extended their July rally into the first trading session of August. Today we can expect the similar outcome, as US Markets, opened on a very High Note. Asian Markets also followed the US Markets. Indian Market also will respond to the global cues in the same way.
Nifty closed beyond 4700 levels yesterday, which means that we have support levels for Nifty at 4645 and 4578 levels. Likewise, Nifty has a strong resistance at 4750 and 4790 levels, if Nifty breaks these Resistance levels, it might reach up to 4855 levels also. If Nifty opens above 4684 level, we can another upward rally in Nifty.
Thank you for joining us in this discussion.
Happy Trading!
Day Trading Analyst
Due to some technical difficulties, we were not able to publish any posts today. We regret for any inconvenience caused.
Thank you for your continued interest
Happy Trading!
Day Trading Analyst
NSE has shown positive movements in past few weeks and the same trend might continue. As we all know that the Indian Market has been reacting to the global market more than 85%, this cannot be confirmed completely.
This week, NSE might move within the range of 4400 to 4700 levels. NSE has a Pivot Point at 4575 and might trade between the following Support and Resistance Levels.
Resistance 3 | 4979.48 |
Resistance 2 | 4824.62 |
Resistance 1 | 4730.53 |
Pivot Point | 4575.67 |
Support 1 | 4481.58 |
Support 2 | 4326.72 |
Support 3 | 4232.63 |
Keeping an eye on the global markets, we need to check these levels on a daily basis. With this we will say good night and see you tomorrow on Market Outlook.
This week was the Last week in the Result Season. BSE ended up with 1.9% gain touching to its highest level in the year 2009. NSE also followed the benchmark index, by gaining up to 1.5%. This gives a Strong Signal of possible trend reversal. Can we call this as a pre-bull market signal? We need to wait and see for any sort of confirmation for a long term trend.
Last week NSE opened at 4568.65 on Jul 27th with a very flat tone, this was followed by some negative movements in NSE for the next 2 days. Then, NSE recovered on the Futures Expiry day and closed with a gain of about 58 points. Then came the big day, the last day of the month, where all the fund managers were busy completing their positions, the NSE rose to a whopping 64.85 points at the closing bell. The same story holds good for even BSE, with FMCG sector leading the rise in BSE.
This is one of the best and must trading tool for any trader, may it be an Amateur or a Professional Trader. Pivoting system is based on the theory that Stock Prices move in Ranges, each Stock Price has a support, a mid and a resistance level. This means that the stock prices move in a specific range. At support level, the buyers have more control than the Sellers. At resistance levels the sellers has more control than the buyers. In such a situation, when the buyers overpower sellers at the resistance levels, the Resistance level is broken; the same happens in the support levels, support level is broken when sellers overpower buyers.
The classic live example of this Trading Method is a Legendary Stock Trader named Jesse Livermore, a.k.a. Larry Livingston of early 1900s and Nicolas Darvas of "How I Made 2 Million Dollars in Stock Market" fame in early 1950s. Nicolas refers this trading method as Box Trading Methods with Two Support and Two Resistance Levels to a Stock Price.
The major advantage of using this Trading Method is the way Pivoting System is constructed. This is a Leading Calculator rather than a lagging indicator. You use today's EOD (End of Day) Data for tomorrow's trading. Another important factor to consider is that this system is use from floor traders to online traders, literally everybody in the stock market. This gives us a better opportunity to trade using these levels as stock price usually respond at these levels.
How to Calculate Pivot Levels
Before I go into the Simple Arithmetic Calculations of Pivoting System, Let me give you a warning. "Do not use this system as a Standalone Trading System".
Before Calculating the Pivot, Support and Resistance Values, you need to have the following Data of any Stock. It is recommended to take today's EOD Data for tomorrow's trading.
H = Today's Highest Price
L = Today's Lowest Price
C = Today's Closing Price or Last Price
Now, first we need to calculate the Pivot (this is the Mid Point at which both Buyers and Sellers have equal control)
The Pivot Point is the average of all three prices. See the formula below:
Pivot = (H + L + C) / 3
Now using this Pivot Point we can calculate the 3 Support and 3 Resistance Levels. See the formulas below:
Support 1 = 2 x Pivot Point – High
Resistance 1 = 2 x Pivot Point – Low
Now, we have to base next 2 levels on Support 1 and Resistance 1 levels. See the formulas below:
Support 2 = Pivot Point – (Resistance 1 – Support 1)
Resistance 2 = Pivot Point + (Resistance 1 – Support 1)
Now, we have to use different formula for Next 2 levels. See the formulas below:
Support 3 = High + 2 x (Pivot Point – Low)
Resistance 3 = Low – 2 x (High – Pivot Point)
This gives us totally 7 Price Levels. One Pivot Level, 3 Support Levels and 3 Resistance Levels;
How to Trade using
Pivots
While trading using the Pivoting Levels, you have three important levels. The Pivot Point, Resistance 1 and Support 1, these three marks the trend or trading bias for the day.
If the stock price opens above the Pivoting Level, you get a minor Long Trade Signal (Risky to enter at this level). If the stock price opens below the Pivoting Level, you get a minor Short Trade Signal (Risky to enter at this level). When the stock price opens above Pivot Point and breaks the Resistance 1 Price level, you get a Strong Long Trade Signal (Recommended Entry Point) with Strict Stop Loss at Pivot Point. If the Stock Price opens below Pivot Point and breaks Support 1 Price Level, you get a Strong Short Trade Signal (Recommended Shorting Point) with Strict Stop Loss at Pivot Point.
The point to be noted here is, when the Price breaks either Support 1 or Resistance 1 levels, it can turnaround immediately, look for the trend reversals, if the stock price stays above the Resistance 1 or Support 1, enter the Trade. You can use Support 2, Support 3 and Resistance 2, Resistance 3 for exits. This is because at these upper levels, the stock price would usually be at overbought or oversold levels (Confirm with William's %R (will be discussed in future)), these levels should be used as Exit levels rather than entry levels.
Let us take an example for using this method for trading. Let's say that the stock opens above Pivot Point and moves between Pivot Point and Resistance 1 for some time. Then it breaks Resistance 1 and stays there for a while and moves towards Resistance 2. Here we need to enter the Trade slightly above Resistance 1. Then Place an immediate Sell Order at Resistance 2 with Stop Loss as Pivot Point. When the Stock price is about to reach the Resistance 2, Change or modify your Sell Order to Resistance 3 and Stop Loss to Resistance 1. In case, the stock price is about to reach the Resistance 3, either you can book profits (always recommended) or move the Stop Loss to Resistance 2 (Locking the minimum profits) and move the Sell Price slightly above the Resistance 3. The same strategy applies to Short Trade as well.
Note, when the stock price is trading in positive levels (Long Trades), and market is in negative levels (Short Trades), do not trade such stock, this can be due to some unusual news/rumors or the Stock is in Trading Range (Flat), trading such stock are always risky.
Today, we have learnt one of the best and most efficient trading methods. I hope you enjoyed it.
Thank you for joining this Technical Analysis Discussion
Happy Weekend!
Day Trading Analyst
The Benchmark Index of India Sensex rose to its 52 week high by closing at 15,670 points. This market action is due to continued Top Earnings Estimates. We had seen that the Indian Markets are following the global market by over 85%. As we said this morning, that US Market Rally and Asian Market rally will Impact Indian Markets. It has positively impacted Indian Markets today. Nifty also gained a lot of momentum today by closing at 4636 levels by gaining 65 points. This can give us a strong signal for coming weeks' Market Activity.
If we look into out Trading Calls which was given this morning, we have achieved the following stats.
IFCI: High @ 52.80; Low @ 50.50; Close @ 51.25; (this is above our Resistance 2 (52.13))
ISPATIND: High @ 23.15; Low @ 22.05; Close @ 22.40 (This is exactly at our Resistance 2 (23.15) & closing above pivot)
RNRL: High @ 86.70; Low @ 82.25; Close @ 83.45 (This is above our Resistance 1 (86.03))
SUZLON: High @ 103.80; Low @ 98.15; Close @ 99.80 (This is above our Resistance 2 (103.08))
UNITECH: High @ 94.35; Low @ 87.85; Close @ 90.10 (This is just above our Resistance 1 (94.22))
Note: In order to use our Trading Calls successfully, you need to check the Trend of the Stock first and then look if the Stock is trading above or below pivot levels, keep pivot level as Stop Loss and once the Price breaks the Support of Resistance level and stays there for a while and moves ahead in your trading direction, move the Stop loss to the next level.
Please leave your comments, if you need any more information on NSE & BSE Trading Methods.
We will post the Weekly Analysis for this week tomorrow and Analysis for Next Week on Sunday.
Thank you for joining us for this discussion
Happy Weekend!
Day Trading Analyst
