Friday, November 26, 2010

Date : 'JANUARY 2011

The Posts till date in this Blog Archives were  published at OJN2 ), a blog where friends used to share their trading ideas.

Weekly Review

Posting the Weekly Review based on the  last Weekend Analysis.

It was posted in above -

"so the Trading Mantra this week should be-
If 5725-50 zone comes in first half of the week ,book the shorts and than stay neutral till expiry.
If bounces from here in first half , go short with s/l of 6000 level on closing basis / (Trim longs), till expiry and part book at 5850 level and part below. (One may also look to buy 5900 /5800 puts in this case (small qty ) and trade the levels or write 6000calls.)"

Going by the second view that holded correct ,someone buying 5900 puts at close on monday near rs.13-15 would have pocketed a cool rs. 100 on expiry.alternatively by writing 6000 calls could have got rs. 45- 48. (Though the closing s/l was 6000 ,the insight was biased downwards and was a whipsaw only on monday ,quickly rectified on opening next day,a flexible 20 points allowance always helps).

The target of 5700-25 levels was achieved today.

Updating few charts on which the above analysis was based ,which will help further.

As per EW view it was mentioned-

"The above target is as per theory but in practice the C wave tends to extend the theoritical target at times.
Also this A-B-C correction will be the 4th wave since 4786 .The 4th wave generally breaks the trendline and gives a whipsaw.Since trading near the trendline (see the combination chart above ) if gives such a whipsaw ,than the next higher low above the trendline will also be a sign of reversal ."

 As can be seen from the combination chart ,the trendline has been violated confirming the 4th wave since 4786. Look for the signs of the 5th wave as mentioned above.

I will be taking a break from blogging and wish all a profitable journey ahead.


mynac said...

We are always benefited by your posts.You are the lead Blogger for us.
Trading in stock market is always tough Business so the Break in-between is must for everybody.I really respect your decision but request you that though you will be on LEAVE,whenever you feel & find necessary to alert us please do the same.
Waiting for YOU in anticipation always,
With regards,

mo k said...

Hi RV,
You take a break, and we will miss your posts. :)
Have a break, have a kitkat.
Make your post if and when you get time.
Takecare, bye.

piyush sharda said...

i second mok, we will miss ur posts
and sharp observations. whenever u get time do share ur observations atleast, need not be an elaborate only on one segment. hoping i am not very demanding. hoping for your early return :-)

Sujatha said...

Thank you aarvee very sharp analysis :) we will miss you definitely if u r taking a "long break"

Please try to post your "weekly analysis" . thanks n advance.


manu said...

third eye is resting for a while..

but i will wait for it to open:)

Girish Desai said...

I just got a chance to read may be last two posts of yours and found them extremely detailed and well reasoned.

Good luck and hope we get to see your analysis sometime in future!