Om Sri Ganeshaya Namaha

Om  Sri  Ganeshaya  Namaha
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Wednesday, June 17, 2009

Reigning The Nifty - 18th June , 2009

Nifty half Hourly Chart

Nifty Daily Momentum Chart

Nifty Daily Chart

I had thought the fall would be slow and sideways with a downward bias, but the ferocity of the fall was surprising. The momentum indicators on daily charts have broken the support which was holding since 30th March. This indicates the fall will continue. The wedge target is 3930.

The half hourly oscillators are in oversold territoty and we can expect a bounce before we continue the fall.

My rules for trading are, I take trades only in the direction of the weekly. I was asked whether to go short and I opined that I would not be comfortable going short. Now, if one wants to go short then they can be based on their rules. I am happy with cutting my longs at the precise time, which gave me good profits. I would not like to go with every move that the market makes and go short. This helps me keep my sanity and blood pressure under control. Also my profits from longs are intact.

Happy Trading !!

Lakshmi Ramachandran


madhusudan said...

Very good post as it revealed your trading strategy.
Now, madam, it will be very much helpfull to us if you put your view on weekly DIRECTION of nifty also every weekend in addition to the supports and resistances for that week.
I have much respect to your analysis and you.

Anonymous said...

HI Mam,
Why dont you give us some hedging methods (real time) that you have used, it would really help. Secondly I think you have exited your longs as has been stated by you, my question to you is say your script touched 100, and your stop loss was 80 would you have the heart to exit at 80?
Also assume we have a bounce today then when will you reenter assuming you go by your rules of weekly trend, and how do you confirm a weekely trend, it could be up-down-down-up-up? Hoping to hear from you.

Lakshmi Ramachandran said...

since both your questions require time to reply i would do it over the weekend.thank you for your appreciation