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Best Trading Strategy

May 1, 2013

Best Trading Strategy

Dear Friend if you are in search of best trading strategy which can earn you 100% returns in any market condition, than your search does not end here.  I am saying this because, you are in search of Holy Grail, and if I say straight forward than the word is myth.  Let me explain you what is Holy G

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Nifty & Bank Nifty Weekly Technical Outlook for 18th Nov, 2013

May 1, 2013

Nifty & Bank Nifty Weekly Technical Outlook for 18th Nov, 2013

[caption id="attachment_2860" align="aligncenter" width="300"] Bank Nifty Daily Chart[/caption] [caption id="attachment_2861" align="aligncenter" width="300"] Nifty Daily Chart[/caption] Everything we hear is an opinion, not a fact.  Everything we see is a perspective, not the truth. - Marc

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Nifty Weekly Technical Outlook for 10th Sept, 2013

May 1, 2013

Nifty Weekly Technical Outlook for 10th Sept, 2013

  [caption id="attachment_2392" align="aligncenter" width="300"] Nifty Daily Chart[/caption] Bank Nifty Daily Chart First of all, we sincerely apologize, as we could not publish our weekly and daily reports during last week, due to some personal constraints. We receive few mails, and which

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Weekly Technical View for 12 Aug onwards – Harish Thakkar

May 1, 2013

Weekly Technical View for 12 Aug onwards – Harish Thakkar

[caption id="attachment_2228" align="aligncenter" width="300"] Nifty Daily Chart[/caption] [caption id="attachment_2229" align="aligncenter" width="300"] Bank Nifty Daily Chart[/caption] Invalidation point of bearishness in Nifty is 5664 and Bank Nifty is 10220 Nifty has broken previous swing

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Nifty Weekly Technical Outlook for 26th Aug, 2013

May 1, 2013

Nifty Weekly Technical Outlook for 26th Aug, 2013

[caption id="attachment_2327" align="aligncenter" width="300"] Nifty Daily Chart[/caption] [caption id="attachment_2326" align="aligncenter" width="300"] Bank Nifty Daily Chart[/caption] Anything has Changed overnight??? During last week market was not only looking at falling prices of Indexes,

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M&M – Selling Opportunity???

May 1, 2013

M&M – Selling Opportunity???

Currently Mah&Mah is trading near 930. Technically, it has broken its rising trendline, and momentum is waning.  M&M witnessed sharp rally from 620 odd levels to recent 975; in last 4 odd months trendline is respected and prices witnessed bounce thereon, this time trendline is broken and i

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Bank Nifty & Nifty Trading Strategy for 11 July’13

May 1, 2013

Nifty as on 10 July’13– 5816.70 (-42.30)    Bank Nifty as on 10 July’13– 11364.45 (-78.00) Close Friendship of two price levels. Bulls were about to take charge, and unfortunately Bears broke the myths. According to our understanding it was just 30 points game, even we mentioned yes

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Does Market is topping out???

First my apology for such a long break, as due to some health issues I was not able to send weekly newsletters, I hope I may able to continue this activity in future. Purpose of writing today is just one email and few phone calls, yes. In the last week I received one email from one of my newsletter subscriber that “Sir, can I go short at these levels?”  Question was simple and straight, and if preferred I would have given answer in one word Yes or No, but I thought let me try to elaborate this answer with some points, and I know that this question is not only in senders mind but most of the traders must be thinking to find the answer. So I am making a small attempt to rationalize my answer, and its upto you whether to buy my idea or not.

I had an opportunity to speak to lot of market participants day in day out, few of them are extremely smart and couple of them are innocent and trades with irrational approach, and thats the reason why market is running, because if everybody starts thinking in same line then from where the equilibrium is going to come. So let me tell you what I hear from them “Sir, I shorted Nifty at 8300 levels can I rollover for next month”, “Boss, look at the PE of Nifty, it is trading near the highs and for sure market is going tocollapse, I am creating shorts, what max higher it can go, please tell me the level?”, there are few “Sir, didn’t get a chance to buy in market, can i buy at current levels, please suggest the stop loss”, “You know I was out of town (one of the excuse), so couldn’t create any longs, but now we’ll not miss the shorting opportunity” (now this guy may have capacity to stand in wrong direction of 100-300 points, but will book profit in just 50 or less than that, but have some emotional log to carry tops and bottoms) , and also there are few forecasters (who also forecast for day-hours-minutes), who are in just search of to call tops and bottoms, there are other who likes to remain contra every time and out of ten even if they go right 2-3 times they remain star of channel. Now after hearing so much diverse opinion few things comes in my mind – firstly, there is strong left out feeling in many retail and I also believe that there are few funds as well whose earlier call was that market is likely to collapse near 8000 levels, so by force this guys are going to work in the market, may be by compulsion or may be due to obsessions. Secondly, there are already few contra shorts seating in the market, earlier their stop loss was 8700 and now may be they must have shifted base to 9100 or 9200 (they believe that market will not go above that). And lastly few turned analyst will argue that market is in overbought territory. This are just psychological aspects which I discussed, there is no concrete aspects to support the idea, just biased notions, herd mentality or something else.

Now let’s check what charts are saying.nifty daily chart

Above is daily chart of Nifty, you can see that Nifty have given breakout from a consolidation almost after a month with rising volume.

nifty weekly chart

One may see on weekly chart, that trend is clearly defined and indicating further surge in weeks to come. So why to doubt at these juncture.

Similarly Bank Nifty weekly chart is poised with bullish bias, however on daily charts it is showing an early signs of exhaustion, but unless we get any confirmation, it is better to stay afloat.

NIFTY & VIX

Above is Nifty and India VIX chart, now one may see that VIX may continue to trade in lower territory and Nifty continue to rise, yes we might see some knee jerk reaction in between, but that is part and parcel of the game. It’s like this when market is in jubilant mode it can stay afloat in overbought territory for a long.

If we see FII’s data they are heavily long in Index futures and at the same time they are taking bullish bets through options, otherwise generally they keep some hedge with options. In the last week we observed that even DII’s are turning buyers in the market, in most of the cases they remain mean reverting player, whenever FII’s are buying they are selling, but this time it is not the case.

Okay, so with above all arguments one may derive few points.

1 – There is strong left out feeling in the market, and this crowd may take wrong position in hesitations.

2- Charts and data is clearly suggesting bullish bias.

3- If market go against this contra crowd then they will take markets further higher, who knows where market goes in short covering.

bears trap1

bear trap2

And like this strory continues…

So, to answer my friends query I would say that don’t try to preempt the markets, stay afloat with existing trend which is bullish. Don’t try to fall in trap with forecasting of tops, at max what you may miss is 100-200 points if at all top is placed or in offing. Can you create fresh long at this juncture, then answer is yes, but very subjective; if you are trader trading with just one lot then please trade with financial stop loss, and if you are positional trader with capacity of more lots than take just 25% of qty what you trade, average on dips with tight stop loss of 8500. As of now charts are suggesting to go short only below 8450-8500 levels…period.

Relaunching Option Ideas

Dear Friend,

Every other person visiting our site asks for details on Option Alpha and wish to subscribe for it. So friend, after taking a long sabbatical we are now prepared to restart our flagship product Option Ideas, which has received tremendous response since its inception.

So, if you wish to know more about Option Alpha then please find key features below and for full product details you can click here to download the product details-

  • Product designed of newbie’s and experienced traders.
  • Only Option Trading Strategies are recommended.
  • At one point in time we keep maximum 3 strategies open at the same time.
  • Clients will get strategy details/ entry / exit and Stop Loss through mails.
  • Generally we prefer to give minimum risk strategy in options, mostly close ended strategies.
  • Subscribed clients will get minimum 4 and maximum 6-7 Option Trading Strategies per month. Out of which we make sure that minimum 4 will be a successful a trade. (If not, than by default your subscription gets extended, till we complete our promise).
  • However, clients need to maintain minimum margin of 1 lac.
  • We will not accept subscription in between two expiry.
  • And lastly, at Way2Profits we believe in making money for clients and not just earning Subscription fees.

Above is just highlight of the product, you can find full details below

We are determined to start this product from 29th July, 2016 and likely to accept only few subscriptions, because we are sincere in our work and expect our clients to stay in tune with us.

To register for product you can click here.

 

Nifty Weekly Technical Outlook for 18 Jan’16

Bumpy road ahead???

Passed two weeks remained superficial for hardcore bears and nightmare for bulls and current global as well domestic scenario clearly indicates that going ahead road is going to remain bumpy only-no smooth ride. As markets continued to slide down and down and ultimately Sept’15 & Dec’15 swing lows are also taken out. Now how far can we go, as I already started hearing about 6300 and few of my bear friends also mentioned about sub 5500 levels, do you heard that? Anyway it is common phenomenon, whenever such erratic moves happen you’ll start listening some extreme views from extremist, whoever it is Bear or Bull. In such turbulent times let’s see whether we should go contra or join the hands in existing carnage

To read full report you need to Register here (it’s free) and if you are already registered then there no need to register again, you’ll shortly receive newsletter.

nifty weekly analysis 18 jan 2016

Nifty Weekly Technical Outlook for 04 Jan’16

2016 – Will you going to surprise us???

Markets always surprise us, don’t you think so? Up till 2013 nobody was sure where market is heading, and in March’14 Nifty gave breakout which was a like dream run for any hardcore bull, rally which continued for almost a year, and only ended in March’15 after clocking an all time high of 9119.20. In last 9 months from highs Nifty is down over 17%, but if we see couple of heavy weight stocks which are down significantly and trading near 52-week lows, so structurally there are lot of divergences. Rather delving into forecasting let’s see how objectively we can position our self in near future.

To read full report you need to Register here (it’s free) and if you are already registered then there no need to register again, you’ll shortly receive newsletter.

nifty weekly outlook 04 jan'16

Nifty Weekly Technical Outlook for 28 Dec’15

Merry Christmas..Welcome 2016….

Last two weeks remained action pegged and I was not in position to update due to some personal commitments and also one of the reason that after looking at screen for long-long hours your body starts giving you a red signals, so I took some mandatory leave from watching screen. Rather making it long, lets keep it simple and see how to position ourselves in the coming week.

To read full report you need to Register here (it’s free) and if you are already registered then there no need to register again, you’ll shortly receive newsletter.

NIFTY CHART 24 DEC

Nifty Weekly Technical Outlook for 14 Dec’15

When Global worries, Domestic logjams dictate the market….

At this point our markets are majorly dictated by two major concerns, one we already know for long time now i.e. Fed Policy Rate Hike which they are postponing from very long period, and now it is almost certain that they may move ahead, and on the domestic front passage of GST Bill which Opposition party is not allowing to pass through. In the first case we are totally dependant and can’t do anything about it, but in the second case we can have some hope (although, very less). It is very difficult to comment that market has already factored in such news and worst is going to get over sooner then later, but rather let’s see what technical analysis is suggesting and how to position yourself in the crucial week.

To read full report you need to Register here (it’s free) and if you are already registered then there no need to register again, you’ll shortly receive newsletter.

NIFTY ahead of Fed meet