Trade 4 continued

We had a positive day today ...  Nifty continued to trend up and close nearly 100pts above our buying price. We move up our Stoploss from 4718 to 4800

29th August Long Nifty at 4920

2nd September Stop Loss and Short at 4800 (on close).

Please remember the setup will change its trend only on close below 4800.

For intraday trade views you can look at techtrendcapital@facebook

Trade 3 closed and Trade 4 opened

We had a freakish day today thanks to ANNA. Our TSL has got hit and now we are back to long from 4920 levels onwards. This was not an unexpected move. If you see my earlier posts I had clearly mentioned confusion will prevail for 2 days. So every 2 days there is a trend change. But the velocity with which we have broken this 4920 is a good sign for us to believe that intermediate bottom is made. Lets hope we dont get stopped out tomorrow because that will dent our portfolio in a little big way. These are testing time for traders and their belief in their own strategies. Please be unnerved and trade without fear.

With 2 days of Trading holiday coming right at the middle of this week, I expect profit booking and Nifty moving down tomorrow afternoon onwards.

We welcome longs with Stop Loss and Reverse at 4718 (close).

The stoploss and short area for us would be

29th August Long Nifty at 4920

29th August Stop Loss and Short at 4718 (on close).

Please remember the setup will change its trend only on close below 4718.

For intraday trade views you can look at techtrendcapital@facebook

Trade	Buy	Sell	Buy Date	Sell Date	Capital Deployed	% Nett Return
1.Short	4922	5572	23/08/2011	27/07/2011	100000	32.5%
2.Long	4922	4865	23/08/2011	25/08/2011	100000	29.7%
3.Short	4920	4875	29/08/2011	25/08/2011	100000	27.4%

Trade 3 continued

This is the fun part of being with the trend ... you dont have to reason a fall or a move up ... We had a whipsaw in our last trade ... now we are short from 4875. Our Stop loss and long level has moved down from 4962 to 4919.

25th August Short Nifty at 4875
29th August Stop Loss and Long at 4919 (on close).

 

Please remember the setup will change its trend only on close above 4919.

 

For intraday trade views you can look at techtrendcapital@facebook

Trade 2 - closed ... Trade 3 now

We have got back into a short position again ...  these whipsaws are generally a part of long range movement ...  if you see my earlier post, I had mentioned "Generally after such a long trend we wouldnt be followed by a major trend" ... this is what exactly happened.

I also dont think we would make another large move until unless previous lows in Nifty is broken.

So currently we have squared off our longs and have got back to short position at 4875 (September expiry ... Premium of 10 to August expiry).

The stoploss and long area for us would be

25th August Short Nifty at 4875
26th August Stop Loss and Long at 4962 (on close).

 

Please remember the setup will change its trend only on close above 4962.

 

For intraday trade views you can look at techtrendcapital@facebook

 

Trade	Buy	Sell	Buy Date	Sell Date	Capital Deployed	% Return
1.Short	4922	5572	23/08/2011	27/07/2011	100000	32.5%
2.Long	4922	4865	23/08/2011	25/08/2011	100000	29.7%

Trade 2 -Continued

The set up remains the same. We hold our long positions in Nifty with our trailing stoploss moving up from 4816 to 4865.

23rd August Long Nifty at 4922

25th August Stop Loss and Short at 4865 (on close).

Please remember the setup will change its trend only on close below 4865.

We continue to hold our trades till our Stop & Reverse order gets triggered.

I expect atleast 2 days of confusion before a clear trend emerges ... we might see some fight between bulls and bears ...

For intraday trade views you can look at techtrendcapital@facebook

Trade 2

After a long time we have initiated a buy position in NF. As expected,yesterday did turn out to be the last trade of trade 1. We clearly made 650points in our single trade in less than a month. The return on capital on a margin of 40% would be 32.5%. We are now long at 4922 with current Stoploss and reverse at 4816.

Generally after such a long trend we wouldnt be followed by a major trend. Lets see how it pans out this time.

23rd August Long Nifty at 4922

24th August Stop Loss and Short at 4816 (on close).

For intraday trade views you can look at techtrendcapital@facebook

Trade Book since inception

Trade	Buy	Sell	Buy Date	Sell Date	Capital Deployed	% Return
1.Short	4922	5572	23/08/2011	27/07/2011	100000	32.5%

Trade 1 - probably the final day ...

The set up remains the same. We continue to hold our short position with our trailing stoploss moving down from 5075 - 4922.

27th July Short Nifty at 5572
22nd August Stop Loss and Long at 4922 (on close).

 

Please remember the setup will change its trend only on close above 4922.

 

We continue to hold our trades till our Stop & Reverse order gets triggered. In the current trade we have locked in around 432 points which is over 30% of the capital deployed in 20 trading days.

For intraday trade views you can look at techtrendcapital@facebook

Trade 1 - contd

The set up remains the same. We continue to hold our short position with our trailing stoploss moving down from 5181 to 5076.

27th July Short Nifty at 5572
19th August Stop Loss and Long at 5076 (on close)

We continue to hold our trades till our Stop & Reverse order gets triggered. In the current trade we have locked in around 432 points which is around 25% of the capital deployed in 15 trading days.

For intraday trade views you can look at techtrendcapital@facebook

Trade 1 - Contd

There is still no change in the trade setup yet. We continue to hold our short position with our trailing stoploss moving down from 5181 to 5140.

27th July Short Nifty at 5572
18th August Stop Loss and Long at 5140 (on close)

We continue to hold our trades till our Stop & Reverse order gets triggered. In the current trade we have locked in around 432 points which is around 22% of the capital deployed in 15 trading days.

For intraday trade views you can look at techtrendcapital@facebook

Trade 1 -continued

There is no change in the trade setup yet. We continue to hold our short position with our trailing stoploss moving down a bit from 5224 to 5181.

27th July Short Nifty at 5572
16th August Stop Loss and Long at 5181 (on close)

We continue to hold our trades till our Stop & Reverse order gets triggered. In the current trade we have locked in around 380 points which is around 19% of the capital deployed in less than 15 trading days.

For intraday trade views you can look at techtrendcapital@facebook

Trade 1 - continued

There is no change in the trade setup yet. We continue to hold our short position with our trailing stoploss moving down a bit from 5224 to 5187.

27th July Short Nifty at 5572
12th August Stop Loss and Long at 5187 (on close)

So in all though the current market is around 5080 we havent closed our open position. We continue to hold our trades till our Stop & Reverse order gets triggered. In the current trade we have locked in around 380 points which is around 19% of the capital deployed in less than 15 trading days.

Trade 1

We start by trading one lot of Nifty (50) by keeping a margin of 4 times the NSE margin required.

Because we are in the middle of a trade which was setup on 27th July 2011, all I can currently update you is on the Trailing Stop Loss.

27th July Short Nifty at 5572
11th July Stop Loss and Long at 5224 (on close)

So we wait for the next setup.

Indian equity market

Indian equity market had entered a bear market phase when it broke an important support of 5900 in Nov 2010. Now until unless we have a weekly close above the same we are in clear bear market.

The strategy for bear market is to exit on highers levels as and when we get them.

The global markets especially the US markets entered bear market phase last week. The general tendency of the market is to predict what lies in store for the future. Now that we have entered a bear market in US, we can safely assume recession is not far in US.

Hope this blog helps you save some capital in the highly volatile future days.