5 Stocks To Sell And 2 Stocks To Buy Today-Day Trading Ideas-NASDAQ

Day trading ideas can help you fast in picking stocks.I have added my view and what I am interested in today’s market.Do your own research before taking trades.

Best approach will be to stick with your own strategy and use them with these stock picks.I will be looking for 15 min breakout today.Lets start below with my stock picks and reasons for the day.

AAPL INC-Our Day Trading Approach-Selling

APPLE INC looks little weak.In today’s market our idea will be to trade short in AAPL stocks.Below you can find 15 min chart of AAPL INC.

You can use your existing day trading strategy or simply trade with 15 min candlestick breakout.It looks weak for now,as it has already broken daily supports.Its way to high right now to buy for day trading.

 

APPLE-INC-day-trading-ideas

 

ADOBE INC -Our Day Trading Approach-Buying

ADOBE INC is looking to retest daily resistance levels of 256.My approach will be to buy it in day trading and exit if it shows signs of reversing around 255-256 levels.

 

Adobe-day-trading-ideas

ADP(AUTOMATIC DATA PROCESSING)-Our Day Trading Approach-Selling

ADP has already broken the daily support levels.It could just retest the next support levels of 132-130.If it fits my strategy,I will look to short it.

 

Automatic-data-processing-day-trading-ideas

 

PAYPAL HOLDING INC-Our Day Trading Approach-Buying

PAYPAL HOLDING INC looks like approaching and retesting its resistance levels of 86.50-88 ,touched on 23-OCT-2018 high.My view on this is bullish for day trading.

 

PAYPAL-HOLDINGS-INC-day-trading-ideas

 

 

ADSK-AUTODESK INC Our Day Trading Approach-Selling

AUTODESK INC has rallied up from the low levels near 124 from 24-OCT-2018.I feel the pullback might just end in it.

 

AUTODESK-INC-INC-day-trading-ideas

 

CSX CORPORATION-Our Day Trading Approach-Selling

Expecting CSX CORPORATION to touch a new low in today’s market.It looks week overall.Use your strategy to make a selling decision.

 

CSX-CORPORATION-day-trading-ideas

VERISK ANALYTICS INC-Our Day Trading Approach-Selling

VERISK ANALYTICS INC looks like testing the support level of 112-114 for quite sometime now.It could just again test those levels today.I will be looking to short this stock if it fits our strategy.

 

VERISK-ANALYTICS-INC-day-trading-ideas

Conclusion:

Day trading is risky if you don’t understand how it works.Best way to day trade according to me is,keeping a simple strategy and following it for 90 days.

After that you need to evaluate your strategy.If its profitable,than stick with it or else change your strategy.Use small capital if you are a beginner.Do comment if you liked our stock picks for the day.If you made profits/loss by using this post it will be great to know through comments.Have a great day.

Risk disclaimer:We will not be responsible for any profit or loss made by anyone using this post.We are sharing what we feel is the best for today’s market.Do your own research before taking any day trading positions.

Worst Year Of INDIAN Stock Market-Almost ALL Stocks Have Fallen By 40 %

This is turning out to be Worst Year Of INDIAN Stock Market in last 7 years.Almost all major stocks have corrected more than 40 % in this year.(Values given below might slightly vary due to daily change in price)

NIFTY(Major Indian Stock Market Index)- has dropped from life time high 11760.20 to 9951.90 in 8 weeks time.You can see weekly charts of NIFTY below.

nifty falling from lifetime high

Another major index SENSEX have also corrected from life time high of 38989.65 to 33723.53 in 8 weeks.

Now that’s a 13.50% drop in SENSEX and 15.38 % drop in NIFTY.This sharp drop have started from the month of August 2018.

Overview of major NIFTY50 stocks

If you take a clear look of how major stocks have behaved during this phase,its a nightmare.Lets look at all 50 stocks of nifty one by one.

ADANIPORTS

ADANIPORTS NSE stock made a lifetime high of 452.35 this year.Currently its trading at 317.90 i.e. 29 % drop in its value.

 

ASIANPAINT

ASIANPAINT is fundamentally strong company and in 2018 made a lifetime high of 1490.60.This stock is currently trading at 1163.80 i.e. 21 % decrease in this year.

 

 

AXISBANK

This year AXISBANK made a high of 677.95 and is trading now at 568.55 i.e. 16 % drop.

 

 

BAJAJ-AUTO

Another fundamentally strong company made a lifetime high of 3468.35.Current stock price of BAJAj-AUTO is 2571.45 i.e. 25 % drop in this year.

 

BAJFINANCE

Lifetime high for BAJFINANCE is 2994,made in 2018 and now this stock is trading at 2173.25 which is 27 % drop from its lifetime high value.

 

BAJAJFINSV

BAJAJFINSV is currently trading at 5056.35.It made a lifetime high of 7200 in this year.That’s a 29 % drop in total this year.

 

BHARTIARTL

BHARTIARTL made a high of 542.50 this year and is currently trading at 288.70,i.e. 46 % drop in its stock value.

 

 

BPCL

2018 high for BPCL is 523 and it is currently trading at 281.75 i.e. 46 % drop in this year.

 

CIPLA

CIPLA is a pharma sector stock and has not dropped much in value.We will not compare pharma sector stocks and IT sector stocks till we see a significant drop in its stock value i.e. at least a 20 % drop this year.

 

COALINDIA

COALINDIA is falling from 2015 high of 447.10.It is currently trading at 275.10.2018 and year high for COALINDIA is 316.95.Total drop in COALINDIA this year is 13 %.

 

DRREDDY

DRREDDY is another pharma sector stock.From 2015 year high of 4386.60,it has dropped significantly.It is currently trading at 2408.90.

 

EICHERMOT

High of EICHERMOT in 2018 is 32236.70 and its currently trading at 21965.That is a 31 % drop in this year.

 

GAIL

GAIL made lifetime high of 399.40 this year and is currently trading at 341.65.That’s a 14 % drop.

 

GRASIM

GRASIM made lifetime high of 1375 in 2017 and its 2018 high is 1261.10.It is currently trading at 818 i.e. 35  % drop in a year.

 

HCLTECH

HCLTECH is a IT sector stock and is performing well overall.Depreciation of Rupee against US dollar have helped IT sector stocks.

 

HDFCBANK

2018 high of HDFCBANK is 2220 and it’s the lifetime high.Its currently trading at 1987.10 i.e. 10 % drop in its value.

 

HDFC

HDFC made lifetime high of 2052.95 in 2018 and is currently trading at 1728.30.That is a 15 % drop in its stock value.

 

HEROMOTOCO

 

HEROMOTOCO made life time high of 4091.95 in 2017 and this year high is 3825.Currently it’s trading at 2700.It has dropped 29 % of its value this year.

 

HINDALCO

After making a lifetime high of 284 in 2018 HINDALCO is currently trading at 225.That is a 20 % drop in stock value.

 

HINDPETRO

In 2017 HINDPETRO made a high of 492.80.Its currently trading at 224.30,i.e. a 54 % drop its its value as compared with previous year high.This year in 2018 it made a high of 435.So its a 48 % drop in its stock value this year.

 

HINDUNILVR

HINDUNILVR is fundamentally strong company.It made lifetime high of 1808.65 this year.Its currently trading at 1569,i.e. 13 % drop in value.

 

IBULHSGFIN

In this year IBULHSGFIN made a lifetime high of 1440 and is currently trading at 751.90.That’s a 47 % drop in this year.

 

ICICIBANK

ICICIBANK has not dropped much in value and looks steady with its overall growth.It made a high of 365.70 and is currently trading at 324.50.

 

INDUSINDBK

INDUSINDBK made a high of 2038 and is currently trading at 1517.That’s a 25 % drop in its stock price.

 

INFRATEL

In 2015 INFRATEL made lifetime high of 499.65.Currently it is trading at 260.65.High of INFRATEL in 2018 is 383.45.Overall drop this year till now is 32 %.

 

INFY

INFY is a IT sector stock and looks steady with its overall growth.Currently its trading at 654.

 

IOC

IOC is currently trading at 133.75 and it made a lifetime high of 231.48 in 2017.This year high is 213.70.Overall drop in IOC till now in this year is 37 %.

 

ITC

ITC looks good with its overall steady growth.2017 high for ITC was 367.70 and its currently trading at 287.95.This year high for ITC is 322.95.Currently its trading at 287.95 i.e. 10 % drop in its stock value this year.

 

JSWSTEEL

JSWSTEEL made a high of 427.55 this year.Its currently trading at 348.25.That is a 18 % drop in value.

 

KOTAKBANK

KOTAKBANK made lifetime high of 1417 this year.Currently its trading at 1159.55 i.e. 18 % drop in value.

 

LT

LT loks steady with its overall growth.This year high for LT is 1470.Currently its trading at 1211.Overall drop in its stock value this year is 17 %.

 

M&M

M&M made lifetime high of 993 this year.Currently its trading at 731.65 i.e. 26 % drop in value.

 

MARUTI

MARUTI made lifetime high of 9996.40 last year.This year high for MARUTI is 9929.Currently its trading at 6743.70.Overall drop this year is 32 %.

 

NTPC

From last 3 years NTPC is trying to gain momentum upside.Current year high of NTPC is 180.30 and it’s currently trading at 161.80.Overall drop this year in NTPC is 10 %.

 

ONGC

ONGC is trading in a sideways type of pattern from many years.In this year it made a high of 212.85.Currently its trading at 156.10.Overall drop in ONGC this year is 26 %.

 

POWERGRID

POWERGRID made a lifetime high of 226.60 in 2017 and in 2018 its yearly high is 216.Its currently trading at 190.50 i.e. 11 % drop from its yearly high.

 

RELIANCE

RELIANCE made a lifetime high of 1329 and is currently trading at 1048.20 which is 21 % drop.

 

SBIN

Surprisingly SBIN looks steady with its overall growth.This year high for SBIN is 332.75 and its currently trading at 257.70 i.e. a 22 % drop in 2018.

 

SUNPHARMA

This is a pharma stock and pharma sector is slightly bullish this year.

 

72 % drop in 4 years-This is why this is turning out to be worst year of INDIAN Stock Market

TATAMOTORS

TATAMOTORS have decreased drastically from last four years.High for TATAMOTORS was in 2015 was 612.40 and it is currently trading at 170.65 i.e. 72 % overall drop in 4 years.This year high for TATAMOTORS was 443.50.So this year drop is 61 % roughly.

 

TATASTEEL

TATASTEEL made a high of 793 in 2018 and is currently trading at 550.05, i.e 30 % drop.

 

TCS

TCS is a giant IT company and made a high of 2275.95 this year.Now its trading at 1848.50 i.e 18 % drop.This gives a slight indication that IT stocks might correct further.

 

TECHM

TECHM is again a IT stock and it has been in a good uptrend for a while.

 

TITAN

Lifetime high for TITAN NSE stock is 999.70,made in 2018.Now its trading at 791.60 i.e. a 20 % drop.

 

ULTRACEMCO

4599.90 is lifetime high for ULTRACEMCO.This lifetime high was on JAN 2018.Currently its trading at 3383 i.e. 26 % drop .

 

 

UPL

If you look at UPL last year it made a lifetime high of 902.50 and later this year high was 828.50.Currently its trading at 622.80 i.e. 30 % down from its 2018 high.

 

VEDL

From the high of 355.70 in 2018 VEDL is now trading at 211.90.Stock value of VEDL has dropped 40% this year.

 

WIPRO

WIPRO is another IT stock and as we have seen above,IT sector stocks are bullish due to falling rupee.

 

 

YESBANK

YESBANK NSE/BSE stock made high of 404 this year.Now its trading at 204,roughly 49 % drop in its stock value.

 

 

ZEEL

It made a high of 619 and is currently trading at 437.60.Thats a 29 % drop.

 

ZEEL NSE STOCK yearly time frame chart

Conclusion:

We are witnessing the Worst Year Of INDIAN Stock Market in last 7 years.As a investor be little more cautious in buying stocks for your portfolio as the downside move is not complete yet.

It would be better to wait and invest after you get a significant indications that market corrections are over.

 

 

US Dollar Index-Definition And Tricks For Traders To Use It

Ever heard about US Dollar Index before ?? If you are a forex trader,than you might have heard.

Similar to stock index and commodity index we also have a reference index for UNITED STATES DOLLAR.

You can trade or hedge your positions using its derivative products.

But what is US Dollar Index ??

US Dollar Index is a barometer or reference for USD and provides its global strength information.

As a trader and investor you might be already aware about various indices including US Dollar index .

If its prices goes up we say USD is strengthening and if it goes down,we say USD is becoming weak.

You can do trading in its derivative products like ETF’S or future contracts etc.

History

US Dollar Index was first introduced by federal reserve in 1973 with a base point of 100.

All time high and low

It made a all time high of 163.83 on 05-March-1985 and all-time low of 71.58 on 22-April-2008.

Calculation of US Dollar Index

Its value is calculated by its change in price with respect to six other currencies.

Currencies involved in measuring dollar changes are Euro (EUR), Japanese Yen (JPY),Canadian Dollar (CAD),Swedish Krona (SEK) and Swiss Franc (CHF).

Spot and Future Symbols

Spot of dollar index is denoted by DXY and futures contracts are denoted by USDX

Conclusion:

Like all other indices US Dollar Index is also important to track and it can provide additional knowledge benefits to the traders.

NIFTY Falls 200 Points And Sensex Falls 700 Points

NIFTY on Thursday opened at 10169.80 roughly 300 points down from the previous day closing of 10460.10.

Today was BANKNIFTY weekly options expiry day.

Recovery of more than 100 points in nifty is seen at closing session.

NIFTY  Market Heat Map

You can see below,other than NIFTYCPSE,NIFTYPSE,NIFTYENERGY AND NIFTYQUALITY30 all other sectors remained negative during the day.

NIFTY market heat map

NIFTY top gainers today

NIFTY-top-gainers-today

HINDPETRO was the highest gainer among NIFTY stocks with more than 16 % gains.

NIFTY top losers today

NIFTY-top-losers-today

IBULHSGFIN was the biggest looser today among NIFTY stocks with more than 9 % loss.

Highest change in open interest increasing

TCS 25-OCT-2018 PE 1940 had highest increase in open interest.

highest-change-in-open-interest-increasing

From 28-Aug-2018 NIFTY has corrected more than 1500 points i.e. more than 12 % drop.

 

Best Tips For Converting Intraday/Day Trading Stocks For A Longer Period

Do you want to convert your day trading position to the next trading day ??

If your answer is yes than read following tips below.

When you day trade,there might be few extraordinary profitable trading days,when you want to hold and carry those stocks or derivatives etc to the next trading day.

If you expect more profits from the same position,you might look to extend the position.

Type of orders to use when converting or retaining a day trading position to the next trading day

When you day trade,mostly all broker provide different types of order.

One type of order is for investment purpose and other type could be for day trading.

It depends on what order you have placed.

With some stock brokers like sharekhan,zerodha etc you have separate order types for intraday/day trading like big trade orders,MIS order etc.

These orders are for intraday only which gets squared off automatically.

So if you want to hold same stocks for next day,you can cut the position placed with intraday orders and place a new order with investment mode.

If you want to carry forward your stop loss order for next day,you can use gtc orders or MYGTD and in MYGTD orders you can specify a date within next 30 days.

So your orders remain valid for next 30 days with target and stop loss fixed.

Below you can see big trade order image reference with bracket orders.This is for intraday/day trading.

 

day trading position to the next trading day

 

Here is another image showing investment type orders with my GTD bracket orders.

You can keep stop loss orders active for next 1 month.

This is very useful for investors.

Conclusion:

Converting or retaining a day trading position to the next trading day is done by changing the order types.

Usually good traders don’t look to carry forward there positions,unless they have made good profits in day trading itself.

If you expect a gap opening in direction of your trades,then carrying forward your intraday/day trading position makes sense.

Stock Market Corrections Top 7 Signs To Make You A Better Trader

Today I am going to show you top 7 signs which I use to  predict stock market corrections.These top 7 corrections signs will make huge difference in your trading and investing career once you start following them.

1.Previous swing levels

Yes the first one is previous swing levels.You have to use them as a support and resistance.Look below how this stock fell down from the high.

 

stock-market-corrections-previous-swing-levels

 

So did you have any clue that it could fall from that level ?? Answer is absolutely yes.

Now look at the below chart.On the left hand side of this chart,you have a previous swing high which could act as a resistance now.

 

stock-market-corrections-previous-swing-levels

 

Now take a look at next swing high in below image.You will find again the previous swing high acted as a resistance.

 

stock-market-corrections-previous-swing-levels

 

This also works with support levels.Take a look below how previous swing low acts as a support level.

 

stock-market-corrections-previous-swing-levels

 

So by looking at above example,you should consider all swing highs and swing lows as a good area of resistance and support.Possible corrections might happen at these levels.It can be new fresh order or profit booking.

Now lets look at second type of stock market corrections.

 

2.Volatility Index

Volatility Index is most important factor to understand in trading and investing.If you are an derivatives trader and like to trade in futures and options,than following explanation will further improve your skills.

Look for volatility index bottoms when markets are making new high

Lets say your markets volatility index is considered to be at top when it reaches a certain value.For below example I am using Indiavix.

Indiavix is the leading volatility index for Indian stock markets.

Top and bottom price levels for INDIAVIX

We have selected ranges to keep INDIAVIX simple.

Bottom price levels-12-10-Potential market top

Top Price levels-14-16-Potential market bottom

Volatility index acts opposite to the market index.

Look below,what happened in market after volatility index touched its bottom price levels.

 

stock market correction-picking tops

 

NIFTY index was making lifetime high on 13th June 2018.At the same time INDIAVIX touched the bottom level range of 12-10.After this,correction happened in NIFTY.

When markets are making low,look for volatility index tops

 

stock market corrections

 

On 23rd MAY 2018 NIFTY index was making lows in an correction mode.At the same time INDIAVIX touched the top level range of 14-16.After this,NIFTY ended its correction and started moving up.

So with this we can conclude that understanding volatility can help you in identifying tops and bottoms of your markets.Before a correction happens you will see the potential signs of correction.

 

3.Change in open interest increasing or decreasing

Open interest is open contracts available in markets.

So if a particular derivatives contracts moves a significant move,followed by decrease in open interest,its time to become cautious.

Take a look at below example.

 

stock-market-corrections-open interest decreasing example

 

This is a NSE stock M&MFIN.Future contract open interest is decreasing and its stock prices started moving up.

Now lets look at another example where future contracts open interest started increasing and stock prices also increased.

 

stock-market-corrections-open interest increasing example

 

As you can see I have shown the same stock example again in the above image.

So if you are getting confused with this take a look clearly.Both the images are of same stock.But the difference is there contract expiry.

In the first image you have M&MFIN OCT contract and in the second image you have M&MFIN NOV contract.

Trick here is to understand that institutions were selling the nearest contract that is October month.

As soon as they realized market sentiment as bullish they exited from there short positions and hence we noted decrease in open interest of October month derivatives contract.

And increase in November month contract open interest gives a bullish sentiment about this stock.

So you can now use this logic with your trading strategy.

 

4.Stocks nearing its monthly option chain support and resistance

Option chain is the easiest way to identify support and resistance of stocks having derivatives contracts.

Strike price of highest call option open interest is your resistance and highest put option open interest strike price is your support.

As per open interest

Resistance-Strike price having highest call option open interest

Support-Strike price having highest put option open interest

As the prices of stocks or index futures nears its support and resistance price levels as per option chain,you could see a correction or rebound from those levels.

 

5.Trend change in lower time frames near support and resistance

Lower time frames is where the trend first starts to change.For example a 15 min chart could give first indication of trend change.

Than a 30 minute chart could confirm the trend change,followed by 60 min and than in daily chart time frame.

Take a look below at VEDL NSE stock.Daily chart of this stock has given an uptrend breakout.

 

stock-market-corrections-trend-change-in-progress-daily-time-frame

 

This stock is down for more than a year now.But can we buy this stock at these price levels ??

Lets look at lower time frames charts like 15 min,30 min and 60 min.

If all these time frames have uptrend as correlation,than it might be a good bet to buy this stock.

So first let’s look at 15 min time frame chart below.

 

stock-market-corrections-trend-change-in-progress-15-minute-time-frame

 

A 15 min chart has many swing low and high points.But in overall VEDL NSE stock looks strong and moving upside.

Same is the outlook for 30 min and 60 min time frame charts of this stock.

 

stock-market-corrections-trend-change-in-progress-30-minute-time-frame

 

Do remember this,a combination of higher highs and higher lows is a strong uptrend confirmation.Now check 60 min time frame chart below.

 

stock-market-corrections-trend-change-in-progress-60-minute-time-frame

 

All minor time frames correlate with each other in this uptrend formation.

I might get stopped out if prices go down from here and hit my stop loss price.But I think I have done good technical analysis on VEDL NSE stock and added it in my portfolio.

 

6.Sudden shift in buyers and sellers quantity

Below is the daily chart of NATIONAL STOCK EXCHANGE INDEX NIFTY.It was continuously falling down.So as a retail trader,we have a tendency of thinking opposite things.

 

Stock market corrections-nifty futures chart

 

So you might think of market ending its correction and going up.

On the next trading day,retail trader might have had bullish opinion about markets.

Nifty index future contracts were beginning to make a green bullish candle.

We had more buyers on nifty futures than sellers.Take a look below.

 

stock-market-corrections-buyers-and-sellers-change

 

Buy quantity had 241500 contracts and sell quantity had 101625 contracts in NIFTY futures.

All of a sudden,we started seeing more number of selling contracts and buying contracts increasing further.

In below image you will find NIFTY buyers and sellers quantity change on left side.

On the right side we have BANKNIFTY index chart.

 

stock-market-corrections-buyers-and-sellers-change-2

 

At this movement number of sellers in NIFTY index has increased and guess what happened ??

Whole market crashed further.During this drop,number of buyers drastically decreased.

 

stock-market-corrections-buyers-and-sellers-change-3

 

The bullish green candle which looked like a rebound,completely changed to a very negative bearish candle.

So its always better to trade with conservative approach and avoid being aggressive in markets.

 

7.Highest high and lowest low candles/Bars changing colors

This is the most neglected type of candlestick pattern.Take a look at below image.This is chart of NIFTY index in daily time frame.

After making a swing high we saw price rejection or profit booking which took the price lower and made a bearish reversal type red color candle.

 

stock market correction highest high and lowest low candle colors

 

If you look at highlighted low point where the candle color changed to green,what do you think might have happened ??

Profit booking and new fresh buying orders could have made bullish green candle when it made swing low point.

And after that candle,prices started moving up.

So this candlestick colors combined with support and resistance levels works very well.

In addition to this you should use other confirmations like candlestick patterns or any other indicator to increase the accuracy.

Conclusion:

I have picked top 7 signs of stock market corrections which can really help you in improving your trading decisions.

So use these corrections and let me know how it changed your trading and investing approach by adding a comment below.

IOC NSE Stock Candlestick Charts Technical Analysis

 

IOC(INDIAN OIL CORPORATION) is the pioneer in refining,transportation and marketing of petroleum products in India.

For investing in any stocks,you need to look at large picture before adding it to your portfolio.
We look at larger time frames like quarterly and monthly charts before taking a decision.So below is a look at quarterly time frame chart.

 
>

IOC(INDIAN OIL CORPORATION) Quarterly Chart Analysis

 

IOC-Quarterly-Time-Frame-Chart-Analysis

 

The quarterly charts  gives us a fair idea that this stock is in correction mode.Current price levels can be described as retail price levels.

You need to buy stocks at wholesale price levels and sell at retail price levels to other retail traders.This is what big institutional traders do.For better understanding of wholesale levels and retail levels look at simple diagram below.

 

stock-market-wholesale-and-retail-price-level-explanation

IOC Quarterly time frame intermediate swing fibonacci levels

Below you can see that current price levels of IOC is trading inside quarterly 50%-61.8% retracement levels.

 

IOC-Quarterly-Time-Frame-Chart-Intermediate-Swing-Fibonacci-Levels

This could be a reversal area for IOC.

Majority of stocks ends its correction mode once they reach crucial 50% and 61.8 % fibonacci retracement levels.

Any stock correcting below these crucial levels are not considered appropriate for buying.But if we take larger swing into consideration,we are also getting different fib levels.

Quarterly time frame larger swing fibonacci levels

When larger swing is taken into consideration,we have 50%-61.8% levels as 139-117.This entire region should be considered as support levels.

 

IOC-Quarterly-Time-Frame-Chart-Larger-Swing-Fibonacci-Levels

So if we combine both intermediate and larger swing fibonacci levels we get entire support zone of 159-117.As per weekly charts,we have started to see some buying.

 

IOC-Weekly-Time-Frame-Chart-Analysis

The current candle in progress is not looking good for buy.

So we need strong bullish candle in monthly to consider this stock for buying.

Current monthly candle of IOC signifies price rejection at lower levels.

As it made low,more buyers bought and took the prices up.

 

IOC-Monthly-Time-Frame-Chart-Analysis

If you buy IOC at current price,you should keep a stop loss of 145.55 which is current month low.

IOC weekly time frame chart support level

We have take the entire previous swing area as support levels for IOC.

Right now it looks like taking support from current levels.

 

IOC-Weekly-Time-Frame-Chart-Support-Level

More conservative approach on IOC will be entering with trend line breakout.

 

IOC-Weekly-Time-Frame-Chart-Trend-line-analysis
 

IOC (INDIAN OIL CORPORATION) Buy Or Sell ??

Aggressive buyers can buy at current price keeping stop loss of 145.55.

More conservative traders can wait for trend line breakout in weekly charts to buy.

If you are an investor,you should wait for one more bullish candle in monthly.

Conclusion:

IOC is now in correction mode and inside support levels.It has buying opportunity for aggressive traders right now.

ZEEL NSE Stock Candlestick Charts Technical Analysis

ZEEL stands for Zee Entertainment Enterprises Limited is a global media and entertainment company.They are one of the pioneer in television broadcasting, movies, music, live entertainment and digital businesses.

For investing in any stocks,you need to look at large picture before adding it to your portfolio.
We look at larger time frames like quarterly and monthly charts before taking a decision.So below is a look at quarterly time frame chart.

 

ZEEL Quarterly Chart Analysis

 

ZEEL-Quarterly-Time-Frame-Chart-Analysis

 

The quarterly charts  gives us a fair idea that this stock is in correction mode.Current price levels can be described as retail price levels.

You need to buy stocks at wholesale price levels and sell at retail price levels to other retail traders.This is what big institutional traders do.For better understanding of wholesale levels and retail levels look at simple diagram below.

 

stock-market-wholesale-and-retail-price-level-explanation
 

Fibonacci retracement levels of ZEEL as per quarterly time frame

We use fib retracement levels to check strong support areas or levels till which a stock can correct itself.

 

ZEEL-Quarterly-Time-Frame-Chart-Fibonacci-Retracement-Analysis

 

Fibonacci retracement levels of 61.8%,50% is yet to reach and 38.2% is being tested right now.

Any break below 399.35( fib retracement 38.2% levels) can further move the prices towards 331.60 and 263.65 levels.

Big red candle signifies a strong selling in ZEEL right now.
 

Monthly Chart Analysis

Again in monthly time frame it’s in correction mode,but taking support from previous resistance became support zone.
 

Monthly Trend Analysis using trend lines

In monthly time frame ZEEL is in clear downtrend based on trend line analysis.But we also have multiple support levels in monthly time frame.

 

ZEEL-Monthly-Time-Frame-Chart-Analysis

 

On 31-Aug-2018 ZEEL confirmed its downtrend based on trend line analysis.

 

ZEEL-Monthly-Time-Frame-Chart-Trendline-Analysis

 

Multiple support levels on monthly charts

Sticking to one zone in ZEEL is very tricky.It has four support zones in monthly charts.We don’t know which one it respects and moves up.We have to wait for a strong buying indication in this stock.
 

First monthly support level

Current price levels is inside the first monthly support levels i.e.-467.90-427.65.If ZEEL shows any signs of going up from this level we can buy it.Till we see a strong buying in this stock,its better to avoid this stock to include in portfolio.

 

ZEEL-Monthly-Time-Frame-Chart-First-support-level

 

Second monthly support level

Slightly below fist support levels we have second monthly support levels also.
 
ZEEL-Monthly-Time-Frame-Chart-Second-support-level
 

Third monthly support level

This is third support level for ZEEL.This stock has multiple support levels and you should focus on all support levels combined as a buying zone.If we start seeing bullish candles,you can keep strict stop loss and buy it.
 

ZEEL-Monthly-Time-Frame-Chart-Third-support-level
 

Fourth monthly support level

This is fourth support level for ZEEL and is very crucial.Prices can pull back till this level before going up further.If you hold this stock in your portfolio,you can exit now and buy it back after a strong correction.
 

ZEEL-Monthly-Time-Frame-Chart-Fourth-support-level

 

Weekly Time Frame chart analysis

It is trying to bounce back from the first monthly support levels.But till now overall scenario in this stock looks downside.

 

ZEEL-Weekly-Time-Frame-Chart-First-support-level

 

Now take a look below how it is forming lower highs and lower lows.This confirms us downtrend in weekly time frame.

 

ZEEL-Weekly-Time-Frame-swing-trend
 

ZEEL Buy Or Sell ??

We are seeing a correction phase in this stock as per our technical analysis.Still there is no strong signal to buy.So any individual looking to buy ZEEL should wait for now.

Conclusion:

Sticking to one zone in ZEEL is very tricky.It has four support zones in monthly charts.We don’t know which one it respects and moves up.We have to wait for a strong buying indication in ZEEL.

Adaniports NSE Stock Candlestick Charts Technical Analysis

ADANIPORTS AND SPECIAL ECONOMIC ZONE LTD is India’s largest port company.

For investing in any stocks,you need to look at large picture before adding it to your portfolio.
We look at larger time frames like quarterly and monthly charts before taking a decision.So below is a look at quarterly time frame chart.

 

 

Adaniports Quarterly Chart Analysis

 

ADANIPORTS-Quarterly-Time-Frame-Chart-Analysis

 

The quarterly charts  gives us a fair idea that this stock is in correction mode.Current price levels can be described as retail price levels.

You need to buy stocks at wholesale price levels and sell at retail price levels to other retail traders.This is what big institutional traders do.For better understanding of wholesale levels and retail levels look at simple diagram below.

 

stock-market-wholesale-and-retail-price-level-explanation

Quarterly time frame support levels

Below you can see that current price levels of Adaniports is in previous resistance became support level.Break of this level can led to further downside movement in.

 

ADANIPORTS-Quarterly-Time-Frame-Chart-Previous-Resistance-Became-Support-Level

Fibonacci retracement levels of adaniports as per quarterly time frame

We use fib retracement levels to check strong support areas or levels till which a stock can correct itself.

 

ADANIPORTS-Quarterly-Time-Frame-Chart-Fibonacci-Retracement-Analysis

 

Fibonacci retracement levels of 50% and 38.2% is being tested right now.

If it stays above these levels,we might see its prices going further up making new highs.

Adaniports Monthly Chart Analysis

Again in monthly time frame it’s in correction mode,but taking support from previous resistance became support zone.

Monthly Trend Analysis using trend lines

Its in neat and clean downtrend in progress now.On 28th March 2018 we confirmed monthly downtrend in Adaniports using trendline analysis.

 

ADANIPORTS-Monthly-Time-Frame-Chart-Trendline-Analysis

Weekly Time Frame chart analysis

Its in continues downtrend and making lower highs with lower lows.So till it makes higher high and higher low,we should be little cautious in buying Adaniports stock.

 

ADANIPORTS-Weekly-Time-Frame-Chart-Swing-Trend-Analysis

Adaniports Buy Or Sell ??

Its clearly a wait and watch period in Adaniports based on our technical analysis.Still there is no strong signal to buy.So any individual looking to buy Adaniports should keep a stop loss of 316.55 which is current month’s low.

Conclusion:

Adaniports is now in correction mode and we never know till what price level it can correct.A smart trader and investor should use shorting opportunities in Adaniports till it gives an uptrend indication.

Direction Of Big Financial Institutions-Learn To Pick high probability setups

Did you know that you can trade in the direction of big financial institutions ??

Learn to pick high probability setups within few minutes.

I am going to explain how I pick the sweet spot to trade institutional order flows.

First step is observing big financial institutional direction.

Read our post on how to identify institutional buying and selling before continuing with this informative post.

Step 1-Look for big moves on your chart left side

Open any chart you want to do technical analysis.

Now keep looking on the left side for an extreme big move either up or down.

You can choose any time frame you want.

I have selected daily interval time frame chart and market the first extreme big move that I see.

 

Direction-Of-Big-Financial-Institutions-step-1

 

Step 2-Mark the first candle from which this big move started with two horizontal lines

You can see below I have marked the candle with arrow.According to me this candle was the beginning of the entire big move by institutions.

 

Direction-Of-Big-Financial-Institutions-step-2-

 

Now I have marked the entire candle with two horizontal lines.

 

Direction-Of-Big-Financial-Institutions-step-2-Marking-With-Horizontal-Lines

 

I call this as institutional selling zone.

My trading action on this stock and reason

This stock is in downtrend on daily and weekly time frame.

As markets are also falling from past few days,my trading action on this stock will be selling or shorting it.

But as I need high probability trade setup,I am going to short this at institutional selling zone levels.

Adding price alert to trade in the direction of big financial institutions

I will add alert on this stock just 10 points or down from this selling zone.

My trading platform will show me popup alert,the moment it crosses my marked alert price.

High of the marked candle is 388 and low is 377.10.

So I have added a alert at 367.10 on this stock.

Direction-Of-Big-Financial-Institutions-adding-price-alert

So the moment prices reach 367.10,I will get an alert.

To trade a short position,either I will short this stock when it reaches the selling zone or i will wait for it to reach inside the zone and than go out of the zone by 1 point or 1 tick below the zone.

Buying in the direction of big financial institutions

Same way you can find out an extreme move upside.

This zone will be called as institutional buying zone.You can mark the entire zone with two horizontal line and take a buy trade when prices reaches again the same zone.

Take a look below.

 

Direction-Of-Big-Financial-Institutions-Buying-Zone

 

The moment prices entered this buying zone it moved up.So this type of zones will be very useful for traders looking for quick movements of price.

Conclusion:

Direction of big financial institutions can help you in improving your trade success.Possibilities of unfilled order quantity in these zones are high.

This is why I call this high probability trade setups.

You can combine this with your existing strategy and build a trading system.

So would you like to learn more about institutional trading setups ??

If yes than our premium level 3 trading and investing course is for you.You can contact us to enroll today.

 

 

Financial Institution-Definition And Types

So what are these Financial Institutions ?? Basic definitions and types of Financial Institutions and what they do- the training activity they carry inside the institution is what we are going to discuss in this post.

Who are financial institutions ??

Financial institution is a company which deals in transactions of  financial securities.

These financial securities can be stocks,derivatives,swaps,bonds,currencies etc.

Two main categories of Financial Institutions

1.FII’S

2.DII’S

The FII’S stands for foreign institutional investors and DII’s stands for domestic institutional investors.

 

How To Identify Institutional Buying And Selling

By identifying institutional buying and selling levels,you will be way ahead of other traders.Your price chart clearly shows who is behind a price change-Institutions or Retail traders.

After reading this post you will be able to identify institutional buying and selling inside your regular price chart.

Look for stocks nearing trend change

Institutional investors are much interested in buying stocks which refuse to go down further.

What I mean by this is,stocks which have very less seller’s after a big correction or fall could produce a interest of buying for institutions.

Stocks nearing trend change will have less sellers and will look like trading in a range.

Look at below chart.

 

institutional-buying-example

 

This is a NSE(NATIONAL STOCK EXCHANGE) stock VEDL.

This stock almost looks exhausted with the downtrend.

It looks like,at this point people willing to sell are less.We can expect that institutions might be interested to buy at these levels.

After a long period of downtrend continuations,if the underlying asset have strong fundamentals,institutions will be interested in buying.

It doesn’t mean prices of that underlying asset will keep on increasing for life time.

For a while after institutions buy the asset,prices might shoot up.

But for continuous upside movement of price,you need more and more people buying it over a period of time.

Below is another example where institutions started buying a stock which was in downtrend for more than a year.

Within 6-7 trading days,stock prices made a move of more than 40 %.

 

institutional buying and selling example

 

Trend is clearly changed by the institutions.Look at the big move.

This is not possible by normal retail traders.

Big candle size=institutional buying and selling

Look at candle size in same above example.Its not an ordinary size candle.This type of big candle is clear indication of institutional buying.

 

institutional buying and selling example

 

Large volume with sudden price change indicates institutional buying and selling

As you can see from the above shown example of NSE stock IDEA,take a look at the volume.

 

institutional-buying-and-selling-volume-example

 

So volume will be high when institutional buying or selling happens.

Now the question is how do you enter with the direction of institutional buying or selling ??

On conclusion section of this post you have a link to the post which shows you how to trade in big institutions direction.

Ordinary volumes could be an indication of amateur retail trading.

Before seeing the spike in volume,previous volumes were normal in size.Check normal volume size below.

 

institutional-buying-and-selling-small-volume-example

Sometimes you might see high volumes but not much change in price.This indicates heavy trading was done for the day on the underlying asset.This type of volume is not indication of institutional positional buying.

 

Conclusion

Now you have seen top 3 ways of identifying institutional buying and selling.

You need to trade in there direction for consistent results.

To take trades in direction of institutions,you have to read our another guide Trade in the direction of big institutions.

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