Trading with Median lines is a system and a leading indicator suitable for Swing trading.I am following this strategy for Nifty and Bank Nifty with good results.Those interested to trade with Charts and Price action to analyse target price, support and resistance levels will find this strategy very interesting.

Feedback welcome!Happy trading...

Thursday, January 13, 2011

13.01.11



The price move was 1.9% down today . ( it was up by 1.9 % yesterday)Really fast work Nifty!!
This seesaw movement shows the indecisive mood of the market.The probabilities are

Above 5815 it can move higher to the upper resistances.
Below 5700 it can move lower towards 5533 in a few days.
To decide to be on long or short side is a tough decision.Past month though the swings were large due to high volatility very difficult to pin down on correct entry and exit levels.I have also made a few good and bad trades due to this situation and will reenter after the uncertainty clears up.

The predominant feeling is that the market is yet to bottom out / downtrend is still on and the past few day movements are corrective short term waves / zig zag move upwards.

The resistance levels will have to be closely monitored as when the fall happens it will be very fast and one has to enter quickly into the move.

60 min chart
Daily Chart

2 comments:

  1. Hi Kavima,

    Thanks for the good analysis and sharing the experience. I too watching on the sidelines without entering into any trade.

    Wish a Happy Pongal and Mahara Shankaranthi

    Regards,

    Veer

    ReplyDelete
  2. thank u veer.Wish u also a very happy Pongal.
    Hope the next 15 days turns out to be good for trading.

    ReplyDelete