Month: April 2012
Here are some stats on the daily movement of everyone’s favorite trading instrument- The Nifty.
If you are an intra day trader or carry positions at STBT or BTST then you need to look at these charts again.
The charts are smoothed using an SMA to 3 to even out the data.
The charts are from June 2018 to Nov 2019 and envelop in a 15 month trading range.
Nifty average daily High- Low range :
The highest range has contracted from a high of 180 to about 120 today
Nifty average relative volume :
The average daily volume traded is around 19 million . We monitor this figure in the trading room to look for OTF ( Other/ Longer time frame) activity.
Movements from Open Price :
The average move away from the Open price is about 77 today
Open- Previous High (low) :
The market opens in the previous day’s range about 85% of the time
The difference between two successive closes has rarely been more than 60 points.
% time market stayed in previous day range :
About 10% of the time the market stays in the previous day range
We use statistics to back up our knowledge of the auction process and to gauge probabilities of what the market can do next.
For more information on how to use the information from the Market Profile and generate actionable trading strategies join up for a Level 2 model of advanced Market Profile strategies. Visit- Vtrender Trading Room
Here is an update to the chart posted yesterday
The past 2 sessions have not seen any excess which tells us that there is no OTF present now.
Big money is still on the sidelines .
The range for the month is just about 220 points.
WE are trading an inside day profile where an exit of value and range would mean that the longer Time frame may just step in to the new value.
If the break of range is good, we have an auction probing higher/ lower for new buyers/ sellers as the case may be. If it is rejected and comes back inside then it will probe on the opposite side.
Exit of range is the best risk-reward for directional trading.Exit of value will provide the first clue.
Here are the trades sent out today :
1) Sell BN 10630-10640, Sl 10679, tgt 10580/ 10530
2012-04-18 11:23:00
Exit BN shorts 10645- 10655.Market not showing any movement.
2012-04-18 11:56:00
2) Sell NF below 5339, sl 5355, tgt 5320/ 5305
2012-04-18 12:37:00
Exit NF short trade now at 5250/52
2012-04-18 13:27:00
One of the principles we follow is to cut the trade fast if it is not going immediately to plan. In hindsight we could have got both trades on tgt.
OrderFlow Charts of the past 4 days :
We have been locked in a 140 point range in the past 4 days. During these the OF produced 5 signals, one of which whipsawed immediately after the RBI announcement.
The trades taken were :
1)Sell NIFTY @ 5293 on friday
Covered same day part according to this message -NIFTY : at ps3 @ 5235 at 13:59:09
Gain- 58 points on first lot
2) Buy NIFTY @ 5245 at 13:02:28 on Monday
Covered next day according to this message – : NIFTY : at pr2 @ 5308 at 11:01:04
Gain- 63 points on first lot
3) Sell NIFTY @ 5253 on tuesday
Reversed same day at 5288
Loss- 35 points
4) Buy NIFTY @ 5288 at 14:01:55
Covered today part according to this message – : NIFTY : at pr1 @ 5361 at 09:54:54
Gain- 73 points
In all even with the whipsaw the trades would have clocked you a net gain of 159 points if you strictly went by the messages delivered to your phones or even the twitter tab,
Short point is follow the system.
We do not advertise our system anywhere else. You will not find us on other blogs or even Google ads. We are not looking for followers or subscribers. We just are a happy bunch of traders trading these markets as you do and happier to share a bit of what we know.
Come join us if you believe in our ways and we will show you how it can be done.
Here are the trades given on Viren's 20-40 advisory today.
Trades are chosen from the market profile methodology and by using sound principles of money management to put risk -reward in your favor
1) Sell BN 10570-10580, sl 10620, tgt 10500. Trade 50 % qty only.
2012-04-17 11:14:00
BN at tgt 1 10500. Book profits.
2012-04-17 11:24:00
2) Sell NF 5265- 5268, sl 5284, tgt 5247/ 5235
2012-04-17 12:00:00
Cover 50 % position near 5252 now and move stop to cost on balance
2012-04-17 12:30:00
Exit balance holding in NF at cmp. low made is 5239 against our tgt 2 of 5235
2012-04-17 12:41:00
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