NIFTY HITTING 'SIXER' ON JAN 22 2015

The Nifty closed in green for the sixth consecutive

trading session thus hitting a “sixer”.

On the hourly charts it has been moving up in an upward sloping

parallel channel which is quite a positive sign going forward.

On the lower side, 8689 is an immediate support and till this is

held the wave iii of wave V of 3 up will continue, however, on the

break of the same it will lead to a correction in wave iv of V of 3 up.

The Bank Nifty too continues to head higher after taking off its

crucial trendline resistance. 

The hourly momentum has gone into a sell mode, which indicates

some consolidation; however, the same is not reflected in the price.

So, till the price doesn’t provide any reversal with a sell crossover

in its daily momentum indicator, we continue to maintain our 

short-term bias up

HAVE AN ENJOYABLE WEEK END

ELLIOTT WAVE BASICS

INTRODUCTION

Elliott Wave Theory was developed by R.N. Elliott and popularized by Robert Prechter. This theory asserts that crowd behavior ebbs and flows in clear trends. Based on this ebb and flow, Elliott identified a certain structure to price movements in the financial markets. The article serves as a basic introduction to Elliott Wave Theory. A basic 5-wave impulse sequence and 3-wave corrective sequence are explained. While Elliott Wave Theory gets much more complicated than this 5-3 combination, this article will only focus on the very basics.

The labeling convention shown above is a hybrid between that shown in the Elliott Wave book and the Elliott tools from SharpCharts. In Elliott-speak, this labeling convention is used to identify the degree or level of the wave, which represents the size of the underlying trend. The upper case Roman numerals represent the large degree waves, the simple numbers represent the medium degree waves and the small-case Roman numerals represent the small degree waves. The trends start with the largest degree (Grand Supercycle) and work their way down to waves of lesser degree. For example, the Cycle wave is one larger degree than the Primary wave. Conversely, the Primary wave is one lesser degree than the Cycle wave. Wave 1 of (1) would indicate that Wave 1 is part of a larger degree Wave (1). Wave 1 is a lesser degree than Wave (1).

In reality, most chartists will only use 1 to 3 wave degrees on their charts. It can get quite complicated trying to apply nine Wave degrees or even just using the labeling convention in the order provided. Chartists using 1 to 3 wave degrees can simply label the highest degree waves with upper case Roman numerals (I,II,III,IV,V,a,b,c), the middle degree waves with numbers (1,2,3,4,5,A,B,C) and the lowest degree waves with lower case Roman numerals (i,ii,iii,iv,v,a.b,c). This provides three distinct groups for labeling various waves.

                                                                                                                              (to be contd)

NIFTY FUTURES UPDATE & TODAY'S FUNDAMENTAL (JAN 23)

Yesterday as predicted in early market hours, 

Nifty Futures after having traded above 

our mentioned levels reached the targets 

very perfectly within minutes!

A GAP UP OPENING EXPECTED TODAY

Warning: The below said levels 

are applicable in normal opening only

Today if sustains above 8788  for 30 minutes,

watch a hike upto  8815-22

And above 8816 for 30 minutes,

it takes Nifty Futures to 8835

Suppose if sustains below 8781 for 45 minutes

see a slide upto 8755-45

INTRADAY RESISTANCES @ 8815 – 25 – 36

INTRADAY SUPPORTS   @ 8780 – 8753 – 43

Trade very carefully with the above

mentioned time and levels.

ALL THE VERY BEST

For your remembrance

Now 10 GAPS in total below current level:

8742, 8579, 8536, 8320, 8142,

7947, 7818, 7592, 7044 and 6887

And the million dollar question is……

Whether all these would be filled

before 10,000 or not?

(By the time this post was updated

S&P CNX Nifty Futures was trading @ 8861)

இன்றைய சந்தை அடிப்படை (JAN 23)

இந்தியநேரப்படி இன்று காலை 7:15 மணிக்கு 

CNY’யை பாதிக்கும்படி வெளியான HSBC Manufacturing PMI 

தகவல் நம் இந்திய சந்தைத் திறப்பில் குறிப்பிடத்தகுந்த 

பாதிப்பைக் கொண்டு வருமென எதிர்ப்பார்க்கப்படுகிறது!  

பிற்பகல் 2:00 மணிக்கு EUROவை நேரடியாக பாதிக்கும்படி 

வெளியாகும் ஜனவரி மாதத்து 

German Manufacturing PMI, German Services PMI;

3:00 மணிக்கு GBP நாணயத்தை பாதிக்கும்படி 

வெளியாகும் Retail Sales, Core Retail Sales தகவல்கள்;

மாலை 5:00 மணிக்கு, டாலருக்கு எதிரான 

இந்திய ரூபாயை பாதிக்கவல்ல செய்திகளான 

வங்கிக் கடன் வளர்ச்சி, வைப்பு வளர்ச்சி 

மற்றும் அந்நியச் செலாவணி கையிருப்பு போன்ற தகவல்கள்;

7:00 மணிக்கு கனடிய டாலரை நேரடியாக பாதிக்கும் 

Core CPI, Core Retail Sales, Retail Sales ஆகிய தகவல்கள்; 

தொடர்ந்து இரவு 8:30க்கு அமெரிக்க டாலர் 

குறியீட்டை நேரடியாக பாதிக்கும் டிசம்பர் 

மாதத்து Existing Home Sales;

போன்ற முக்கியச் செய்திகள் வரிசையாக வரவிருப்பதால்  

இன்று நிஃப்டி, கச்சா எண்ணெய், தங்கம், 

வெள்ளி, காப்பர், நிக்கல் மற்றும் 

இயற்கை எரிவாயு போன்ற கமாடிட்டிகளில் 

இன்று கவனமாக இருக்க வேண்டிய நேரம்...

10:00 – 10:30 AM; 1:50 – 2:30 PM; 

3:00 – 3:30 PM; 6:50 – 7:30 PM;

8:20 – 9:00 PM

வெல்க அன்பு நெஞ்சங்களே!  

DISCLAIMER 

THE RECOMMENDATIONS MADE HERE DO NOT CONSTITUTE AND OFFER TO SELL OF A SOLICITATION TO BUY ANY OF THE SECURITIES/COMMODITIES OF ANY OTHER INSTRUMENTS WHATSOEVER MENTIONED. NO REPRESENTATIONS CAN BE MADE THAT THE RECOMMENDATIONS CONTAINED WILL BE PROFITABLE OF THAT THEY WILL NOT RESULT IN LOSSES. READERS USING THE INFORMATION CONTAINED HEREIN ARE SOLELY RESPONSIBLE FOR THEIR ACTIONS. SURFING OR USING ‘tradersharmony.blogspot.com' DEEMS THAT THE SURFER ACCEPTS AND ACKNOWLEDGES THE DISCLAIMERS AND DISCLOSURES.THE INFORMATION PUBLISHED ARE FOR EDUCATIONAL AND INFORMATIVE PURPOSE ONLY AND THE USER/READERS SHOULD TAKE ADVICE OF HIS/HER ADVISER BEFORE TAKING ANY DECISION FOR BUYING, SELLING OR OTHERWISE DEALING WITH SECURITIES/COMMODITIES OR ANY OTHER INSTRUMENT WHATSOEVER.

HAVE A FANTABULOUS THURSDAY

TRADING RULES: STRATEGIES FOR SUCCESS

A great excerpt from “Trading Rules: Strategies for Success” by William Eng. It’s a great reminder that market prediction is a fool’s errand:

When you buy something, you want it to go up. When you sell something, you want it to go down. The chance of entering the trade correctly is small, but the chance of exiting the trade correctly is smaller.

The chance of being right on both entering and exiting is the smallest. With such diminishing odds of coming through with a completely correct and, therefore, profitable trading campaign, the fewer decisions you make in the markets, the more profitable your trading should be. How many people actually get to sell at the top or buy at the bottom?

At most, a handful in each reversal area. First, you must be a market follower, once the market has told you want it wants to do. If the market is a raging bull, you have no alternative but to buy.

If it is bearish, you have no alternative but to sell every time you get the opportunity. Let the market tell you what to do. To do otherwise is to try to control the markets-something that is only reserved for God and natural disasters.

Secondly, selling at the top and buying at the bottom does not guarantee profits. How many times have you heard of traders who managed to sell near the highs or buy near the bottoms, only to miss the ensuing move completely.

NIFTY FUTURES UPDATE & TODAY'S FUNDAMENTALS (JAN 22)

Yesterday as predicted in early market hours, 

Nifty Futures after having traded above 

our mentioned levels reached the targets perfectly!

Today if opened normal sustains 
above 8740 for 30 minutes,

watch a hike upto 8756  

And above 8757 for 45 minutes,

it takes Nifty Futures to 8780

Suppose if cuts and trades

below 8739 for 45 minutes

see a slide upto 8723 – 14

INTRADAY RESISTANCES @ 8757 – 82 

INTRADAY SUPPORTS   @ 8723 – 12

Trade very carefully with the above

mentioned time and levels.

ALL THE VERY BEST

For your remembrance

Now 9 GAPS in total below current level:

8579, 8536, 8320, 8142, 7947, 

7818, 7592, 7044 and 6887

And the million dollar question is………

Whether all these would be filled 

before 10,000 or not?

(By the time this post was updated

S&P CNX Nifty Futures was trading @ 8774)

இன்றைய சந்தை அடிப்படை (JAN 22)

இந்தியநேரப்படி இன்று மாலை 6:15 மணிக்கு 
யூரோவை நேரடியாக பாதிக்கும் 
ஜனவரி மாதத்து வட்டி விகித முடிவுகள்;

7:00 மணிக்கு வெளியாகும் ECB Press Conference;

ஆகிய இரு முக்கிய செய்திகளின் அடிப்படையில் 
இன்று சந்தையின் நகர்வு இருக்குமாதலால் 
மாலை 6:00 முதல் 7:30 வரையிலான 
வர்த்தகத்தில் கவனம் தேவை!

வெல்க!

DISCLAIMER 

THE RECOMMENDATIONS MADE HERE DO NOT CONSTITUTE AND OFFER TO SELL OF A SOLICITATION TO BUY ANY OF THE SECURITIES/COMMODITIES OF ANY OTHER INSTRUMENTS WHATSOEVER MENTIONED. NO REPRESENTATIONS CAN BE MADE THAT THE RECOMMENDATIONS CONTAINED WILL BE PROFITABLE OF THAT THEY WILL NOT RESULT IN LOSSES. READERS USING THE INFORMATION CONTAINED HEREIN ARE SOLELY RESPONSIBLE FOR THEIR ACTIONS. SURFING OR USING ‘tradersharmony.blogspot.com' DEEMS THAT THE SURFER ACCEPTS AND ACKNOWLEDGES THE DISCLAIMERS AND DISCLOSURES.THE INFORMATION PUBLISHED ARE FOR EDUCATIONAL AND INFORMATIVE PURPOSE ONLY AND THE USER/READERS SHOULD TAKE ADVICE OF HIS/HER ADVISER BEFORE TAKING ANY DECISION FOR BUYING, SELLING OR OTHERWISE DEALING WITH SECURITIES/COMMODITIES OR ANY OTHER INSTRUMENT WHATSOEVER.

HAVE A WONDERFUL WEDNESDAY

CANDLE STICK PATTERNS

Spinning Top: Candlestick lines that have small bodies with upper and lower shadows that exceed the length of the body. Spinning tops signal indecision.

SPINNING TOP

Stars: A candlestick that gaps away from the previous candlestick is said to be in star position. Depending on the previous candlestick, the star position candlestick gaps up or down and appears isolated from previous price action.

STARS

Stick Sandwich: A bullish reversal pattern with two black bodies surrounding a white body. The closing prices of the two black bodies must be equal. A support price is apparent and the opportunity for prices to reverse is quite good.

STICK SANDWICH

Three Black Crows: A bearish reversal pattern consisting of three consecutive long black bodies where each day closes at or near its low and opens within the body of the previous day. 

THREE BLACK CROWS

Three White Soldiers: A bullish reversal pattern consisting of three consecutive long white bodies. Each should open within the previous body and the close should be near the high of the day.

THREE WHITE SOLDIERS

Upside Gap Two Crows: A three day bearish pattern that only happens in an uptrend. The first day is a long white body followed by a gapped open with the small black body remaining gapped above the first day. The third day is also a black day whose body is larger than the second day and engulfs it. The close of the last day is still above the first long white day.

UPSIDE GAP TWO CROWS

Upside Tasuki Gap: A continuation pattern with a long white body followed by another white body that has gapped above the first one. The third day is black and opens within the body of the second day, then closes in the gap between the first two days, but does not close the gap.

UPSIDE TASUKI GAP

NIFTY FUTURES UPDATES & TODAY'S FUNDAMENTALS (JAN 21)

Yesterday as predicted in early market hours, 

Nifty Futures after having traded above our 

mentioned levels reached the targets perfectly 

and also created a record break by closing 

above the ALL TIME HIGH

Today if sustains above 8708 for 30 minutes,

watch a hike upto 8745-55

Suppose if cuts and trades

below 8707 for 45 minutes

see a slide upto 8680 – 70

INTRADAY RESISTANCES @ 8750-56

INTRADAY SUPPORTS   @ 8675 - 65

Trade very carefully with the above

mentioned time and levels.

ALL THE VERY BEST

For your remembrance

Now 9 GAPS in total below current level:

8579, 8536, 8320, 8142, 7947;

7818, 7592, 7044 & 6887

And the million dollar question is………

Whether all these would be filled 

before 10,000 or not?

(By the time this post was updated

S&P CNX Nifty Futures was trading @ 8736)

இன்றைய சந்தை அடிப்படை (JAN 21)

இந்தியநேரப்படி இன்று பின்னிரவு 3:15 மணிக்கு NZD’யை 

பாதிக்கும்படி வெளியான காலாண்டு CPI தகவலும், அதிகாலை 

நடைபெற்ற ஜப்பானிய வங்கியின் Press Conference’ம் 

நம் இந்திய சந்தைத் திறப்பில் குறிப்பிடத்தகுந்த 

பாதிப்பைக் கொண்டு வருமென எதிர்ப்பார்க்கப்படுகிறது!  

பிற்பகல் 3:00 மணிக்கு GBP’யை பாதிக்கும்படி 

வெளியாகும் Average Earning Index, 

Claimant Count Change, MPC Meeting Minutes;

மாலை 7:00 மணிக்கு அமெரிக்க டாலர் குறியீட்டை 

நேரடியாக பாதிக்கும் டிசம்பர் மாதத்து 

Building Permits, Housing starts;

தொடர்ந்து இரவு 8:30க்கு கனடிய டாலரை 

நேரடியாக பாதிக்கும்  அந்நாட்டு வங்கியின் 

Monetary Policy Report, வட்டி விகித முடிவுகள்;

போன்ற முக்கியச் செய்திகள் வரிசையாக வரவிருப்பதால்..  

நிஃப்டி, கச்சா எண்ணெய், தங்கம், 

வெள்ளி, காப்பர், நிக்கல் மற்றும் 

இயற்கை எரிவாயு போன்ற கமாடிட்டிகளில் 

இன்று கவனமாக இருக்க வேண்டிய நேரம்...

10:00 – 10:30 AM; 2:50 – 3:30 PM; 

6:50 – 7:30 PM; 8:20 – 9:00 PM

வெல்க அன்பு நெஞ்சங்களே!  

DISCLAIMER 

 THE RECOMMENDATIONS MADE HERE DO NOT CONSTITUTE AND OFFER TO SELL OF A SOLICITATION TO BUY ANY OF THE SECURITIES/COMMODITIES OF ANY OTHER INSTRUMENTS WHATSOEVER MENTIONED. NO REPRESENTATIONS CAN BE MADE THAT THE RECOMMENDATIONS CONTAINED WILL BE PROFITABLE OF THAT THEY WILL NOT RESULT IN LOSSES. READERS USING THE INFORMATION CONTAINED HEREIN ARE SOLELY RESPONSIBLE FOR THEIR ACTIONS. SURFING OR USING ‘tradersharmony.blogspot.com' DEEMS THAT THE SURFER ACCEPTS AND ACKNOWLEDGES THE DISCLAIMERS AND DISCLOSURES.THE INFORMATION PUBLISHED ARE FOR EDUCATIONAL AND INFORMATIVE PURPOSE ONLY AND THE USER/READERS SHOULD TAKE ADVICE OF HIS/HER ADVISER BEFORE TAKING ANY DECISION FOR BUYING, SELLING OR OTHERWISE DEALING WITH SECURITIES/COMMODITIES OR ANY OTHER INSTRUMENT WHATSOEVER.

HAVE A MAGNIFICENT TUESDAY

CANDLE STICK PATTERNS

Morning Doji Star: A three day bullish reversal pattern that is very similar to the Morning Star. The first day is in a downtrend with a long black body. The next day opens lower with a Doji that has a small trading range. The last day closes above the midpoint of the first day.

MORNING DOJI STAR

Morning Star: A three day bullish reversal pattern consisting of three candlesticks - a long-bodied black candle extending the current downtrend, a short middle candle that gapped down on the open, and a long-bodied white candle that gapped up on the open and closed above the midpoint of the body of the first day.

MORNING STAR

Piercing Line: A bullish two day reversal pattern. The first day, in a downtrend, is a long black day. The next day opens at a new low, then closes above the midpoint of the body of the first day.

PIERCING LINE

Rising Three Methods: A bullish continuation pattern in which a long white body is followed by three small body days, each fully contained within the range of the high and low of the first day. The fifth day closes at a new high.

RISING THREE METHODS

Shooting Star: A single day pattern that can appear in an uptrend. It opens higher, trades much higher, then closes near its open. It looks just like the Inverted Hammer except that it is bearish.

SHOOTING STAR

NIFTY FUTURES UPDATES TODAY (JAN 20)

Yesterday as predicted in early market hours, 

Nifty Futures perfectly made a GAP UP opening 

and after having traded above our mentioned levels 

reached the target of 8585 exactly within few minutes.

Today if sustains above 8577 for 45 minutes,

watch a hike upto 8600-10 and above 8613

for 30 more minutes, it takes it to 8625

Suppose if cuts and trades

below 8576 for 60 minutes

see a slide upto 8555-35

INTRADAY RESISTANCES @ 8612 – 29   

INTRADAY SUPPORTS   @ 8550 – 30

Trade very carefully with the above

mentioned time and levels.

ALL THE VERY BEST

For your remembrance

Now 8 GAPS in total below current level:

8536, 8320, 8142, 7947, 7818, 7592, 7044 & 6887

And the million dollar question is………

Whether all these would be filled before 10,000 or not?

(By the time this post was updated

S&P CNX Nifty Futures was trading @ 8605)

DISCLAIMER 

THE RECOMMENDATIONS MADE HERE DO NOT CONSTITUTE AND OFFER TO SELL OF A SOLICITATION TO BUY ANY OF THE SECURITIES/COMMODITIES OF ANY OTHER INSTRUMENTS WHATSOEVER MENTIONED. NO REPRESENTATIONS CAN BE MADE THAT THE RECOMMENDATIONS CONTAINED WILL BE PROFITABLE OF THAT THEY WILL NOT RESULT IN LOSSES. READERS USING THE INFORMATION CONTAINED HEREIN ARE SOLELY RESPONSIBLE FOR THEIR ACTIONS. SURFING OR USING ‘tradersharmony.blogspot.com' DEEMS THAT THE SURFER ACCEPTS AND ACKNOWLEDGES THE DISCLAIMERS AND DISCLOSURES.THE INFORMATION PUBLISHED ARE FOR EDUCATIONAL AND INFORMATIVE PURPOSE ONLY AND THE USER/READERS SHOULD TAKE ADVICE OF HIS/HER ADVISER BEFORE TAKING ANY DECISION FOR BUYING, SELLING OR OTHERWISE DEALING WITH SECURITIES/COMMODITIES OR ANY OTHER INSTRUMENT WHATSOEVER.

HAVE A GREAT MONDAY

CANDLE STICK PATTERNS

Inverted Hammer: A one day bullish reversal pattern. In a downtrend, the open is lower, then it trades higher, but closes near its open, therefore looking like an inverted lollipop.

INVERTED HAMMER

Long Day: A long day represents a large price move from open to close, where the length of the candle body is long.

LONG DAY

Long-Legged Doji: This candlestick has long upper and lower shadows with the Doji in the middle of the day's trading range, clearly reflecting the indecision of traders.

LONG-LEGGED DOJI

Long Shadows: Candlesticks with a long upper shadow and short lower shadow indicate that buyers dominated during the first part of the session, bidding prices higher. Conversely, candlesticks with long lower shadows and short upper shadows indicate that sellers dominated during the first part of the session, driving prices lower.

LONG SHADOWS

Marubozu: A candlestick with no shadow extending from the body at either the open, the close or at both. The name means close-cropped or close-cut in Japanese, though other interpretations refer to it as Bald or Shaven Head.

MARUBOZU