Thursday, 28 August 2014

6 comments:

  1. Hi URD,

    Too Many Lines & Indicators today ! Are you working on some other system?

    My View for ZEEL: Although a Hammer formed (in your chart, not other sites), I would rather wait. Reasons are-
    1) Strong Down move.
    2) Lower Highs formation for the 1st time.
    3) Too many Taps on Range Low.
    4) Increasing volume in downtrend (If you consider volume).

    Whats your thought process ?

    Thanks,
    Deven Malhotra

    ReplyDelete
    Replies
    1. Deven

      No, not at all. I just could not remove unwanted indicators and other trendlines. Ignore them.

      I look at it as in the range of roughly 260 to 300. On both range extremes there have been failed attempts. It is in this range since October last year. So for almost a year, in the range of 40 rupees. My thought process is same as the range trader. Buy range low.

      URD

      Delete
  2. Hi URD,

    The chart posted seems to be wrong. Checked with chartink and nseindia. The hypothesis is correct. 260-270 could be good levels to watch out for a buy.

    Thanks,

    Arjun

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    Replies
    1. Arjun

      The chart is not wrong. Only problem is with the last candle.
      check, http://www.icharts.in/charts.html

      The real question is whether to buy this kind of setups at the bottom of the range or try to chase the momentum buying breakouts. Whether to go with the one stuck in the range or go with the one making all time highs.

      What you say?

      URD

      Delete
  3. Dave is still wounder which filter landed you with this stock on keystocks :-), I too use it though!!

    please see http://s28.postimg.org/kzsaddu65/untitled.png

    After all analysis the trade may be planning out with 1 to 2 risk reward as 260 stop and 320 target..
    Just look at the volumes when ever price hit the resistance they lot many people think that i will make a new high and vice versa is no that true as it indicates delivery based people mind...
    Small circles will indicate FTA (first target area) at 290 then 300 tricky this time and 320 final target...
    Your views please... nice to see you initiating a swing trading time frame chart here and kindly do it more often as it may help lot of us who can not afford more screen time!

    Guru

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    Replies
    1. Guru

      I used "important trendlines near price" filter.

      It is basically in a range for a long time. If you buy closer to one extreme (bottom), the target is at least the other extreme (top). If trade moves well, it may even break out on top. So as a range trader we intend to buy range low at minimum risk, preferably on BOF of range low. Lets wait for that to happen.

      If you scan using "range bound analysis" filter you will find lot of setups like this.

      URD

      Delete