TATA STEEL - Intraday Reversal from exactly Resistance Area

Today, wanted to share my good friend's (Prasad Kulkarni) trade strategy which he traded on Tata Steel future on Monday 28 Mar 2016 and he profited more than Rs.26000/- in a single trade in intraday.

Let us analyse its strategy more in details -

Find out the Resistance Area - 

On Daily Chart of Tata Steel, Price is sideways to bullish since Oct 2015. This was just correction rally to previous downfall.

So by using the Fibonacci Price Cluster, 310 -320 is the area identified most probable resistance zone where reaction can come.

Identify the Reversal Sign near resistance zone-

Price is tested this resistance zone on 22 & 23 March, but couldn't identified the reversal sign or pattern rather price was extremely bullish on that days.
After a long holidays(4 days), On 28 Mar, Long Black body spotted on 15 min chart and same time Observed the negative divergence to RSI & Volume on Hourly chart.

Based on this, He didn't waste a time to short Tata steel at 314 with day high as stop. This way he pocketed the highest intraday gain. 

On the same day, There are more number short entries was possible as per below.
* Trendline Breakout
* Lower low sequence
* Moving Avg crossover

All this works, but need method & experience to trade at right time. Thanks.

Thanks to Prasad for allowing me to share his simple strategy on my blog. Most of the time, Traders follow complicated things but overlook simplicity.

Intraday Trade - 22 Mar 2016 - BHEL future

Entry Setup -

Trail STOP Loss triggered  and immediately moved upwards as per expectation -

BHEL - Head & Shoulder Breakout....sustained and moving upward

TATA STEEL - Rally is at matured stage for now

Price is moving upwards in wedge pattern with negative divergence with RSI and Volume indicate upmove rally is in matured stage...
Wait for reversal pattern at resistance area of 310-315...

Learning - Reviewing old Trade in Ambuja Cement - Missed Big profit Potential

I have started to keep habit of reviewing my own trade. It helps to understand whether your trade was right or wrong after looking out further price movement. 

Today I am sharing my own trade in Ambuja Cement which took on last Monday 14 Mar 2016 and Exited on 15 Mar 2016 as per the below details which was captured in screenshots. 

I was happy that day as Trade have been squared off the position with Profit of 2120/- 

But after reviewing the trade today, I realized my weakness which i need to improve in the future trade. Stock raised from my buying level 204.10 to 231.10 in just 4 trading session. Stop loss which was set during the entry is not hit at all till now. 
So, I have recorded the mistakes and learning in the charts as below. 

Do share your comment and feedback.

Happy Trading and Happy Investing!!!

Yogi

Bajaj Auto Future - Elliott Path Ahead

Wait for "c of B" to be complete and trend reversal confirmation -

Option OI for March Series

Tata Steel - Live Commentary and Analysis on 1 min Chart

I am so satisfied from the analysis did on 1 min chart of Tata Steel future, it's not important that how the much profit happened today from the trade as this was the part of Practice today and it will definitely reward in future as well.

Thais remind me " Patience and Practice will pay reward definitely"

It was 2 days study on 16 & 17th March on 1 min chart of Tata Steel future, which include down rally and then up rally...and again that how that reversed.... will see chart  analysis which i did during the live time of the market.


This was the down rally and trying to analyse every single move on 1 min chart. It looks like Complex triple combination structure and reversal spotted at end of the correction. It was tweaky earlier to spot but zoom it then will realized the perfectness of it which was given below chart.

As per the graph, when i was it trying analyzing "c of Z Wave", Initially it looks like corrective pattern but when it retraced fastly and trandline breakout, it satisfied the 2nd stage of confirmation for end of rally and new upside rally will progress which was marked as breakout.

I took the BUY entry immediately in Option Call of 300 (due to less margin)by expectation of this counter rally target of 298 from 294 as per below.

I have booked profit Rs 2000/- in the trade as per the expectation, when spotted the dragonfly candle on top and probable end of 5 wave.


After Profit Booking, i observed that Price was not ready to move down, as it continue going towards upside.

Hence, I have marked them as subdivision of the extended 5 wave.


But to my surprise, price not even correcting the end of v of 5 wave.

Looks that i might failed by assuming the impulsive pattern and hence started analyzing from corrective labeling. But, Day end with question mark in mind?

Post Analysis after EOD and tried analyzing the Opening price?

Price closed exactly at 78.6 fibonacci  ratio of the prior downmove. So next day could be anything, it might open below 298 or above 302.
Expectation of Downside because it could be the corrective rally and might retraced from 78.6%

Expectation of upside because priced closed above its open level and buying comes in the 2 hours of the day and it sustained to that level till market closing. Also, after price retrace it cover 78.6 in less time than the previous move which indicate bulls in power.

Lets see below what happen on next day. Price open gap up above 302 level.

Since i was not in the trade, now i am looking for BUY trade but i didn't get signal till EOD.

But While trying to analyse correct pattern of this upleg on the same time since couldn't clear its internal count on prior day.

Again to my surprise, this complete move another Corrective in nature. It was the ABC running zigzag pattern. You can find all the details in the chart below.
Also how Elliott wave and Fibonacci complement each other by observing the Price and Time targets of waves and it works perfectly on 1 min chart.

It couldn't stop me to share this commentary on blog as it was wonderful experience for me while analyzing live charts. It helps to boost my confidence.

Shared to blogs for the benefits of the readers and who are Elliot lovers!!!

Thanks you and Happy Trading!!!

Trade Details for 10 Mar 2016

Nifty Future  BUY Trade -

Total Loss was Rs.1000/- Booked due to Stop hits

Nifty Entry -

Nifty Exit -

HDFC Future Entry -

HDFC Future Exit -