Category Archives: Learn Technical Analysis

To earn from stock market, if you learn some basic concepts and have a grip on it, than for sure you can improve your performance marginally. Stock market is not the game of luck, it is the game played by many geniuses, and as we know many who made a fortune out of it.

Teach a Man to Fish…

Its long time since I have written any post here. Last when I shared my view, market was near 8800 levels, and I was of the opinion that it can easily go towards 9400 mark, and where we stand today, but it was early call to take because, before going towards 9400 market has corrected a bit and then resumed higher.

I was there in market all through but not shared anything here, just because I realized one fact that, there are lot of people who freely share their view, but important is to give hand-holding to the readers, and which is not at all possible for anyone.

If handholding is not possible then what is the best alternative available. I read somewhere that give a man a fish and you feed him for a day; teach a man to fish and you feed him for a lifetime. So, I think it is best possible alternative available for my readers.

Objective of writing this post is to share with you one important observation which I have made in last couple of months. Lately, I realized one thing no matter how good you are in your analysis, but if you cannot decisively say where to buy and where to sell, your analysis will not make any sense to anyone, because here everyone comes to mint money, and all are interested to know the location of action.

Solution to such problem is to build a strategy and implement in the market, and if it fulfills your criteria then use it. With my reading and understanding I have developed one strategy which has given superlatively fantastic results according to me and I will share the details of such results below. If you are interested to learn this strategy from me you can contact me on my email address info@way2profits.com . I will teach you strategy one to one basis online, and make you understand the whole idea.

 

NIFTY RETURNS WITH STRATEGY

It is for you

  • If you know bit about the market and ready to put some efforts
  • If you are seeking proper guideline for entry, exit and stop loss
  • Even if you are seasoned market player, it will certainly add value to your experience.

It is not for you

  • If you are seeking constant advise, then you’ll be disappointed.
  • If you are looking for intraday opportunities.
  • If you don’t have patience to wait for right signal to emerge.
  • If you cannot accept the loss, which is an integral part of the system.
  • If you cannot accept overnight risk.

Frequently Asked Questions.

  1. How can I learn this strategy?

Ans : I will teach you this strategy online till you understand the concept. I will solve all you query with charts and examples.

  1. Do I need to be expert in the market?

Ans :- No, you don’t need to be expert in market or technical analysis. But yes, you are expected to know the basics of market, because without knowing the basics I cant explain things in details, so make sure you know the basics.

  1. How much time it will take to learn and implement the strategy?

Ans : I will teach you method in roughly one session of 2-3 hours, but in case if you don’t understand then I don’t mind to stretch further, ultimately you should be satisfied to the fullest. And as far as implementation is concerned, I advise everyone to backtest thing on your own, so to build confidence in the system and if you can do it, you  can implement strategy from next week only.

  1. Can you take classroom session?

Ans :- Yes, classroom session can be arranged, if I get 5-6 students in your city, otherwise I am ready for online sessions.

  1. How much Margin I need?

Ans : To implement this strategy you need minimum two lots margin.

  1. Can I implement this strategy with the help of Options?

Ans :- Yes, but in that case results will differ accordingly. But once signal is generated you can buy/sell given instrument or its options also, it is up to you.

  1. Will you give me support after completing the course?

Ans :- Yes, after learning the method you can certainly ask me any query regarding the method, I am happy to help you.

  1. When you will conduct the training?

Ans : On every Saturday between 6-9 I will take the training programme. And it will be one to one basis only, so with you there is no other person will be joined, so you can freely ask you query. So you may confirm the availability of Saturday and book your slot.

  1. What is the fees for training?

Ans :  Its Rs. 10000/ for training and if you book it early, you’ll get discount of Rs. 2000/-, effectively it will cost you just Rs. 8000/-

  1. What materials you’ll give?

Ans :- I will share presentation of strategy with rules to be followed with examples, with that backtested results

  1. Will I make same returns in future out of the strategy?

Ans :- No, technically it is not possible because future is unknown to everyone. But be rest assured that if you follow the give guidelines you will make very good returns from the strategy.

  1. Refund policy.

Ans :- Kindly note that, in any case whatsoever maybe, money once receive will not be refunded back, so request you to kindly make sure before making a payment.

  1. Is this holy grail of stock market trading?

Ans :- Kindly understand there is No Black Box system in the world which can be called as Holy Grail of stock market trading, so keep your expectations real.

  1. Do I need charts?

Ans :- Yes, you need charts for backtesting the instrument.

  1. Is it an intraday trading stragegy?

Ans :- No, this is swing trading strategy, and you need to wait for signals to come.

  1. Will this strategy, give me a constant advise?

Ans :- Absolutely No, you have to wait patiently for system to give you signal.

 

 

Better way to trade with Gann Square of Nine

Dear Friends,

Its long while since I posted here. In last couple of months I have explored various ways to improve trading and trading psychology, there is lot to learn and lot to share with you all, but I’ll discuss about that some other time. Today I need to share with you some simple ways to improve your trading. A better way to trade Gann Square of Nine.

Gann square of Nine has attracted lot of attention, not only because of it was developed by legendary trader W.D. Gann but also because of its simplicity to use and understand and also apply. You all very well know that I have publicly shared Gann Calculator and more than 4000 people have already downloaded the calculator.

With my understanding and exploration, I have figured out few simple rules to be followed which I would like to share with you. This rules will not only help traders to improve their trading performance but will certainly enhance your confidence in trading.

Most of my readers are trading in Nifty, hence I have developed another calculator with some added features, but original calculation will remain the same i.e. pivot levels or entry, target and stop loss levels will remain the same. And there is another calculator which can be used for trading in stocks (except currency). To explain the things in better way I have prepared small note which will be useful to understand and apply Gann levels.

So if you want to know more about it you can click here and help me and help yourself.

Buy on Dips, Sell on Rallies

I know many readers, who understand the meaning of Buy on Dips, but they don’t know how exactly that means. Generally, any analyst after doing its research comes to a point where he/she had a view that broadly market is going to rise or going fall, based on that it gives a suggestion to their clients.

When we say Buy on Dips means, analyst has a Bullish View and stock has potential go much higher from current levels. In that case, whenever market falls or correct, that particular downfall should be utilized to accumulate the stock which were talked about. For example, Nifty is trading near 5800 levels and it has a fare chance to move higher in coming future, but there could be a chance that in nearest future Nifty may correct towards 5700-5600 levels. Now, in above scenario if you are not pure swing trader than you should utilize this correction to accumulate Nifty and Hold for higher levels to achieve. May be Nifty might test 6000+ levels again, in that case Buy on Dips gives you superior returns.

buy on dips, sell on rise by way2profits

 

When we say Sell on Rallies means, analyst has a Bearish View and stock has potential go lower from current levels. In that case, wherever market rises to some extent, that particular rise should be utilized to Sell or Book Profit in that Stock or Index. For example, Nifty is trading near 5800 levels and it has a fare chance to correct or witness downfall in coming future, but there could be a chance that in nearest future Nifty may move higher towards 5900-6000 levels and analyst believes that now there is limited upside and downside potential is higher. Now, in that case, trader can utilize any rise as a selling opportunity in Nifty and hold for the lower target

Above concept should be utilized with proper game plan, because if you don’t know where the turnaround point is, than there is a chance that you may go bust. So, it is always advisable that don’t hear and trust any media news, unless and until you closely follow them. Because, it is their duty to give you advice based on current market scenario and development, and which may be good for day, but once turnaround points come, they are not going to come again on News channel and going to give you advise that please exit from your position. So rely, only where you get consistent view, like we give at Way2Profits.

 

Bank Nifty & Nifty Trading Strategy for 21 June’13

Nifty as on 20 June’13– 5655.90 (-166.35)    Bank Nifty as on 20 June’13– 11375.40 (-477.25)

What else we can say, we hope our Analysis and unbiased view helps to mint money from the market. Do we actually need to justify that we had advised our readers at right time with right strategy and view. We don’t think so, our work speaks itself, only we can say is, we are writing with dedication, and here you don’t find anything, which is just for attracting viewers count. In our last article, we had clearly shown you the direction, how to trade in Nifty, but as human nature it was difficult to trust blindly. We advise our readers to read our weekly and daily articles, and keep reading.

Soon, we are again starting our paid services, if anyone of you are interested than do let us know. Product and pricing details will be provided accordingly.

It was expected that Nifty and Bank Nifty will either open gap up or gap down, and finally, we don’t need to wait for opening, global markets were trading on weaker note, which was very obvious signal that market has to open gap down. Similarly, Bank Nifty opened 11677.35 and that was the high for the day, made a low of 11347.55.

Continue reading

Gann Square of Nine Currency Calculator

After developing Gann Square of Nine calculator, few of my readers who were trading in currency markets as well, has send me request to develop the calculator for currency trading as well. Initially, i thought the same calculator can be used for currency trading, but when i saw the result, i get to know that, no it is not possible to trade with same calculator, so i developed Gann Square of Nine Calculator for currency trading as well, which is available absolutely free to my readers. Since, I am not currency buff, so I had not used much. But, I can tell you broadly output and methodology will be the same.

Gann Square of nine Currency Calculator

Gann Square of nine Currency Calculator

Now, it is up to my readers, to tell their views on this calculator, how it works, and any area of improvement needed.

To download Gann Square9 Currency Calculator

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Why to Trail, Stop Loss?

In most of my articles I mentioned about trailing stop loss. I am sure experienced traders know this concept very well, and know how to utilize this in best possible manner. But novice traders may get confused many a times that why to trail stop loss, how to trail stop loss any few other points.

Let me begin with, basic understanding of Trailing Stop Loss.

After initiation of trade once stock moves in desired trend, trailing stop loss can be used to avoid the potential loss of profits.  In simpler words, if traders buys the stock and price moves in favor of trade on upside, it is always desirable to progress stop loss order in your favor. For example if Traders Buys Nifty lot near 5850 and Nifty moves to 5880, it is always advisable to progress your stop to your cost price.  Here simple rule applies, once stock achieve 1:1 ratio in favor of your trade, trader should always trail stop to cost price and wait for further directional move.  By this trader is rest assures that now he has nothing to lose from his pocket, and now he is trading at break-even level, in worst case scenario he can trail stop to nearest level of current market price to book profit in 1:1 ratio.  By following this rule, in long term trader not only protect his capital from drain but also builds a wealth and simple discipline will make him confident about taking a trade.

I advise my readers to trail stop loss even when you are following Gann Square of Nine rules, Camarilla Trading method, or any positional trading strategy, it will be always highly useful. (Experienced traders can excuse)

So, if you want to earn with confidence, than try to follow some simple discipline, and you’ll surely see your confidence building up, which is nothing but another Way To Profits…

What is the right way to Trade with Pivots?

When you say Buy above this level, and Sell Below this level; it means actually you don’t have any direction about the market or instrument. Basically this is a mechanical way of trading, without using any of your intellectuals. Here I don’t want to hurt feeling of any of the Trader who is already following some pivot rules very seriously and earning out of it. I respect them, but trying to make few points clear to novice traders.

When you apply any mechanical trading system, you should know what nitty-gritty’s are involved in developing system, back testing it, understanding its limitations, in which market condition there is high probability that your system will succeed or fail. But when any novice trader or even analyst exposed to some pivotal rule, generally he/she just check few past trades and directly jump into conclusion that is best or worse. Who cares to back-test method with thoroughly? Without back-testing any method in different market condition, how can you conclude whether it is good or bad?

I think many a times market stands at crucial junctures where there will be an equal probabilities develop to turn bullish or bearish, like according to my analysis few days back Nifty was standing at such point. But, every now and then if I am saying that market has equal chance to turn Bullish or Bearish, than either there is something wrong with my analysis or I am using such pivotal trading method, which gives me some mechanical answers about direction.

Some Do’s and Don’ts of Pivotal way of Trading

Do’s

  • Understand formula behind your pivot trading.
  • After understanding, just back test your formulae on your preferred instrument, with various possibilities, like in an End of Day basis, intraday basis, Hourly, Weekly and so on.
  • Just don’t back test recent data, check in all market conditions, and understand what is pros & cons of the system.

Don’t

  • If you are a part time trader, like if you are doing trading for earning some extra income and not seating live in the market, than I would suggest not entering in a market with such way of trading. It is not at all meant for you, although it sounds very attractive to you, because you don’t have to apply brains here. Please Avoid.
  • Without Back testing method, don’t enter into market with open knife, which can hurt you more.
  • If you are subscribed to a services and service provider sends you this type of recommendations than I think you should look for something else, because you are best client, to whom they provide service without any effort. Look for something else.

There are number of pivotal trading method, which are quite successful and used by many traders (mind it full time traders), some of them are.

  • Gann Square of Nine
  • Camarilla Pivot Trading.
  • Fibonacci Pivot Trading Method
  • Pivot trading based on Moving Averages

And there are number of other methods which are used according to convenience of traders.