I am not a certified analyst. The charts shown and the content in the blog are for educational purpose only and in no way is a buy or sell recommendation. Readers are advised to use discretion.

Monday 3 March 2014

Intraday Trades - 03.03.2014

Intraday: Global indices were giving a negative clue, but market didn't gap down. It took support at Day's open making it a BOF long. I was hesitant there, but once it closed above UBB, i started looking for opportunity to go long.
1) Long on the Pullback, when mkt crossed the recent pivot. Closed when it formed a range at PDH. The long tails were suggesting that up move was over.
2) Short on close below MBB at BOF and FTC of UBB. Waited for few time & it started breaking all DPs. Closed the trade, when price made a Tag on LBB. Good 50 pts.. Off for the day.

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4 comments:

  1. nifty for bread3 March 2014 at 17:47

    Sir, Is it mandatory that UBB and LBB must have already converged when we take a trade?

    Thanks,
    S.Karthikeyan

    ReplyDelete
  2. nifty for bread3 March 2014 at 18:03

    Sir,
    1) Where do you keep your initial SL and trailing SL? beyond MBB? If so, how many points beyond MBB?
    2) Do you have any exceptions, when one can take trades against the direction of MBB?
    Thanks,
    S.Karthikeyan

    ReplyDelete
  3. Deven Malhotra3 March 2014 at 19:54

    Hi S.K.,

    1) Convergence is generally the end of a move. I use it to confirm the start of a Ranging market or any Trend change. For ex- see Today's mkt in the end, where the move ends. So, i take these as a trade from a consolidation area. & for Continuation trades, i see pullback when UBB & LBB are moving parallel in the direction of that trade, For ex- See today's chart from 11:55, when BB became parallel.

    2) My Initial SL is always 1 pt above any Pivot/ Recent extreme candle. In a slow move, i trail SL with a close above MBB, but in a fast move with Wide Range candles, I trail SL around Open of Wide Range candles or small Pivots.

    3) I trade against MBB, when a candle closes in the opposite direction - ex- A short if a candle closes below MBB. MBB generally gets flat/ in the direction of trade after this. Secondly,. If BB is ranging, there is no use of MBB as Mkt is ranging. We need to simply trade Candles on BB..

    I hope, it clarifies,

    Thanks,
    Deven Malhotra

    ReplyDelete
  4. nifty for bread3 March 2014 at 20:09

    Sir,
    Thank you very much for the clarification.
    S.Karthikeyan

    ReplyDelete

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