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.

bollinger bands

Trading Strategy based on Bollinger Bands

I know many of you are already using Bollinger Band in your analysis and trading, but I am also sure that most of you really don’t understand, strength hidden in Bollinger Bands. Honestly, I was also using Bollinger Band from last couple of years, but only in recent past I realized true magic of Bollinger Bands. Trust me, BB has a potential to give you excellent returns (don’t expect 100%…please) if used in right way, and right sense.

Till date you must be using Bollinger Band as your target or stop loss. If market is falling than your lower band is your target and, if rising than middle and upper band is your stop loss…right???  But, give me one genuine answer you are satisfied by the performance of your analysis?

You know Technical Analysis is like a car show room, where every cars are same only difference is their price and engine.  Now for a novice, whether salesman shows any high class engine car or any third class engine car, for them everything is same, because car looks same.  Exactly is the situation with new kiddos, Technical analysis for newbie is full of tools without understanding its basic nature and construction. For them one tool a day is the concept, today it works, tomorrow if it doesn’t than just throw It.

Bollinger Band strategy is the part of my course on Technical Analysis, if you are serious to learn than please do get in touch with me and understand the market with better perspective.

way2profits

It is just a Dead Cat bounce or Nifty will rally?

Weekly Outlook –Nifty Spot as on 8 March’13 – 5945.70 

Last week was quite an eventful, nifty moved sharply higher.  And if my readers remember than I have mentioned in my previous article that I will turn my attention on long side only if Nifty spot moves and close above 5875, below which I see every rise as a selling opportunity, but Nifty successfully moved above 5865 on Thursday itself, which was very much evident that Nifty will turn bullish again.

Coming to current situation, I believe Nifty has broken heart of 60% (not based on any data) Bears but still there are few Bears are left, they will be killed once Nifty moves above 6000 level. So it is advisable to take minor longs for now, keeping stop loss below 5875 and increase your position once Nifty moves above 6000 mark, and mind it, if it happens than we’ll be seeing new highs soon…. But keep your fingers cross, still we are sure by 60% and not 100%.  Rest you know how to trade.

I know with some fans there are lot of critics available, and they must be thinking that I am talking on two sides, but for them I am attaching this link, I request them to please read that, I am sure all your doubts will get clear.  Read article

Take Holistic View…

You believe that if Nifty is doing well than stocks should perform well. I am asking you because, generally, whenever I meet with my friends or market person, they simply ask me “Kya Dhyaan” (what’s my view) and I have to say about view on major index Nifty or Sensex.

Unfortunately, due to some other commitments I am not getting time to look at other charts, but today I got a chance to look at some equity charts. As I started, instantly few thoughts clicks in my mind. I saw few charts, which are outstandingly outperforming major Index and they are highly traded, now if I build my view on equity market based only on Index than in practical I am doing a wrong thing, because these stocks are doing exceedingly well. Also keeping above things in consideration, there are some other stocks, when Index was rising, at that time they were laggards.

To trade the market you have to take holistic view. You cannot base your judgment looking at only one chart of Index or your favorite stock.

Strategy is not always bad…

If you know how to trade, than I am sure 20-30% of your problem is solved. Yes, with any given strategy, whether it is good or bad, if you add some sound analysis, your result has to improve, anyhow. But this sound analysis comes only after some efforts taken by individual, without which nothing is of use.

I am writing this article keeping last few days market action in consideration. Like in my daily update I have clearly mentioned that market has potential to go down further, but subject to market stay below low of 5670(spot), and also I have mentioned that only short term trader can take long trade for small profits. Now see the price action, Nifty made a low of 5679.90 (does not go below previous low and traded higher). I am not saying this because I went right here, it is because I am trying to convey you what I hear from market. As I always try to listen what market is saying? Yes, I also might go wrong many a times, but if at all I maintain accuracy of more than 70% than also I am highly satisfied with my performance.

I know many readers of mine, who are constantly involved in improvising their strategy, but dear friend why you miss to improve yourself with your strategy, and see the result. So strengthen yourself to improve.

Keep reading and replying with mail.

Free Tips are like Free Vada Pavs

Free tips are like free vada pavsIn Maharashtra Vada Pavs are quite famous and highly consumed by all the people. There are many reasons why Vada Pav is famous- because it is very tasty easily prepared and available and most important is, it is affordable to pockets of every class.

Mostly at the time of Ganesh Visarjan or for that matter any public gathering, Vada Pav is distributed free to gathered crowd. Sometimes it is distributed to advertise some product, or some political party come in picture and advertise themselves. Point I am trying to make is even a small vada pav is distributed free of cost with some purpose, although which is not evident on its face, but it has some effect on mind of public who consumes it. There is nothing Free, you pay for everything, as I said not on face of it.

You must be thinking, why I am talking all this which is irrelevant with my subject. There is some relevance which I want to make here. Tell me frankly when you are eating free stuff, what is your expectation level from that eatery, and what is your expectation level when you enter in to any plush hotel. Obviously, your expectation will be high compare to free stuff.

Point I am trying to make is Free Tips distributed by some sites are like vada pavs, you cannot argue on quality of the stuff, because they are distributing free, if you want to take it you take it, otherwise please don’t come.

Similarly, some so called technical analysis site or blogs are distributing you free stuffs, and attracting you towards their paid services, and I know many people who get trapped by their free vada pavs and enter their hotel and gets nothing but another vada pav, because they cannot produce anything else than vada pav.

I tell you, to give any tip, for that matter even on Nifty I have to work hard for hours and see the price levels, after that deriving strategy based on my expectations, with ideal risk reward ratio and importantly with confidence, is one of the biggest challenge for any technical analyst. And analyst has to do this practice day in day out; now tell me if you are putting so much effort on particular trade than should it be distributed free, there is no time value of money involved in the process??  Even in my site, I only give broad outlook on Nifty, as I am passionate about it, but you will never see I am giving free tips with precise levels, because it requires more time to study, and I am already committed.

Friend, please come out of this phobia that few sites are giving free tips, and I will make money out of it. To test you sites performance, I only suggest you take some article details and just Google it, you will come to know who is the original author of the article. It is really sadden that people are utilizing old books on their name, without giving any credit to the original author.

If you really want to make money out of this market than there is only two ways- one is, either you take service from some professional or secondly you learn by yourself. I always insist to learn by yourself, because you don’t have to depend on others for giving you tips and trading. Yes, process is bit lengthy and road is not smooth, but your goal is to earn and in this commercial world nobody will come at your home to feed you, if you are not going to work.

Sorry Bloggers, but I hate malpractices, be genuine to yourself at least.

Why you want to become a Technical Analyst?

Myself working as technical analyst, but trust me if you would have asked me above question few years back than I was not able to answer you, in fact nobody asked me. I tried and struggled and that is why I am here. But still struggling to become good technical analyst (because perfect word does not fits into learning, it is a never ending process and so the Technical Analysis). So, I am one of the student of technical analysis, and would try to help you with my little knowledge and experience.

learn technical analysis-way2profit

Learn Technical Analysis

By looking at my LinkedIn profile many ask me about vacancy in my company and my experience in the field, many asked me what is the way to become Technical Analyst?. I tried to answer them in my way of style.  But one thing is common, every time I asked to aspirant candidate, why you want to become a Technical Analyst? And genuinely I tell you many gave me such foolish replies and some believed that I am asking them just out of ego, they had a feeling that I am trying to insult them, and accordingly they gave some derogatory replies. But dear friends, if you enter in real world and market, than situation is quite different, it is not as simple as you think of in your dreams.

Let me tell you my personal observation and experience. Even best of technical analyst, who are best and perfect at their work, don’t care to reply to your queries, simply they are money minded. Whether you understood or not, whether you are on track or not, they don’t bother for that. Many are sweet poisons, they talk to you sweetly and finally attract you towards their tuitions or services to mint money from you, and this how it is one surreal fact. I started learning by spending money and not on just by Google it everything, because I strongly believe that Technical Analysis is an Art and not Science.  On internet you can learn some methods but not an Art, for learning an Art you have to have go for some professional classes.  Even there are many frauds, who run their Technical Analysis Shop, you have to safeguard yourself from them also, because if you Google it everything and then there are high chance that you fall in their trap.

So, before entering in to this field, you should ask few questions to yourself.

  • Why you want to join Technical Analysis? (I can’t comment for other industry or profession.)
  • What attracts you towards Technical Analysis?
  • After learning what is your next step?

If you are really serious about Technical Analysis, than try to answer this question and send me your reply, I will try my best to give you best out of you.

You can get in touch with me on my mail way2profits.24(at)gmail(dot)com or Contact Me

Awaiting for your answers, keep asking…

What you should not do while trading with Gann Square of Nine???

Most of traders know how to use Gann Intraday Calculator, but many of you might not be aware of when not to use such method.  As you very well know that every system has its limitations, so do Gann Square of 9 also has some limitations, but it is generally ignored some times on the name of volatility and sometimes on the name of speculations.

Dear Friends, one thing is sure, if you are trading with Gann Square of 9, than few simple rules will make your life smooth.  I believe that by following this rules your performance can be improved by the margin of 10-20% margin from your current.  Yes, you heard it right, your performance can be improved so your profits.

To improve you performance you can follow some guideline drawn by me.  For getting this guideline you can drop a comment below with your mail id. I will send you copy of this guideline, and don’t worry it is also absolutely free.

For my readers I had developed (click here) Desktop Gann Square of 9 calculator, which is available absolutely free to my readers, as I see many sites are charging fees for Desktop calculator.

We’ll get in touch very soon.

Gann Square of Nine Calculator

Dear Friends,

I had developed Gann Square of nine calculator for your desktop.  Its very simple to use, you just have to enter either last closing price or if you are a day trader than just enter weighted average price of the first half an hour.

Gann Square of 9, Gann Square of nine

Gann Square of 9, Gann Square of nine

Gann square of nine is good tool for intraday trading and consistently used by many traders across the world. The methodology is extremely simple is understood properly. Trader has to note that intraday trading has its nuances, and one has to understand that in better perspective. I would say that it is nothing less than a business and to venture into a business one should know all the nitty-gritty of the business. Here, I had developed a excel calculator based on Gann square of nine method and you just need to enter the price into it and you’ll get output in form of Buy and Sell signal. Let’s clarify one thing that Gann squre of nine is something similar to Pivot method of trading, wherein one does not take into consideration other aspect of the market, it only focuses on the existing price of the market, no matter in which instrument you trade. Coming on to Gann square of Nine is method recommended by legendary W.D. Gann and it is one of the simplest methods to apply, among others.

With my understanding I tried to clarify things developed calculator, which you may use upon downloading. From last four years thousands of traders has downloaded the calculator file and they are using very satisfactorily.  To download the calculator you need to pay just Rs. 250/- in below mentioned account and subsequently inform us on this email id – info@way2profits.com , once I receive the payment confirmation and your email I will send you the excel file and with that you’ll also receive one small note for the calculator wherein I tried to explain what you should not do while using the Gann calculator. I am sure after reading this PDF you’ll be benefited. (To know payment details please click below) 

FAQ’S (Frequently Asked Questions)

  • Gann square of Nine calculator useful in Intraday trading?

Ans :- Yes, absolutely. The whole of idea of Gann square of Nine calculator is to use for intraday trading also.

  • Gann square of Nine calculator useful in positional/delivery trading?

Ans :- Yes, experience trader with fare understanding of the market can use Gann square of Nine for position trading as well, but before that one has to understand and take grip on it.

  • Can we make significant profit by using this calculator?

Ans :- Straight answer is NO. Profit/Loss from any trading strategy totally depends upon individual trader. It is very much possible that with given same strategy one trader can earn handsome profit and another may end up in loss. Key here is to understand things in better perspective and apply accordingly.

  • 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.

  • What is success rate of calculator?

Ans :- Since Gann square of Nine trading is not totally automatic trading or algo based trading it is difficult to measure the success rate based on this method. But it is highly recommended that before applying this method one should try to do paper trade ahead of taking actual trade.

  • Why to pay for calculator?

Ans :- I have taken lot of efforts to build this calculator and tried to make things simpler. Also with this I tried to explain few things very clearly which will help you to minimize your loss and maximize the profits.  And whether you agree or not there is no free lunch, whether you pay directly from your pocket whether you pay indirectly. And friend, here you pay just meager Rs. 250/- only.

  • Is there any update available in future?

Ans :- No. Its static excel file and there is no requirement for future update.  So don’t expect any update in future as well.

  • 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.

Lastly, we don’t take any credit, this methodology is developed by legendary trader W.D. Gann and if you want to learn more about his unique methods than please refer his classic books.