February 25, 2014

Intraday analysis

Inability to sustain above day's high (6220F) led to a sell bar which broke day's low. This was the first sell signal (first arrow).

Cover and subsequent long was at 2nd arrow. One could have covered earlier when nifty broke 6182F and then recovered immediately. The rangebound trading and subsequent breakout (2nd arrow) was a long trade.

Note that as markets were rangebound, it makes sense to take profits as markets approach upper end of the range.

No comments:

Post a Comment