From today's Bank nifty movement, I can explain Dow theory's 2 tenets.
1. The market discounts everything.i.e The market reflects all available information. Price shows the market participants mindset.
2. Indices must confirm each other. i.e In order for a trend to be established, major indices(Nifty and Bank Nifty)must confirm each other.
Friday Bank nifty has formed bullish flagpole. A flag is a small rectangle pattern that slopes against the previous trend or a rectangle(This is the example of first tenet as it indicated bank nifty is bullish). Today it broke the flagpole and it is in the process of forming another bullish flagpole. In that case it will retrace a little. Even though Nifty has shown bearish signal on friday,
it didnt give good movement today as bank nifty is bullish(This is the example of second tenet).
Unless Nifty and Bank Nifty move together strong trend wont form.
1. The market discounts everything.i.e The market reflects all available information. Price shows the market participants mindset.
2. Indices must confirm each other. i.e In order for a trend to be established, major indices(Nifty and Bank Nifty)must confirm each other.
Friday Bank nifty has formed bullish flagpole. A flag is a small rectangle pattern that slopes against the previous trend or a rectangle(This is the example of first tenet as it indicated bank nifty is bullish). Today it broke the flagpole and it is in the process of forming another bullish flagpole. In that case it will retrace a little. Even though Nifty has shown bearish signal on friday,
it didnt give good movement today as bank nifty is bullish(This is the example of second tenet).
Unless Nifty and Bank Nifty move together strong trend wont form.
Комментарий:
Bank nifty should break the rectangle to join bears.
Комментарий:
Bank Nifty is showing the sign of weakness. in.tradingview.com/chart/QtD56IkU/
Сделка активна:
Short Bank nifty at 19090 with stoploss of today's high 19166 on 1/19/17
Комментарий:
I see what I want in chart. Descending triangle forming in bank nifty. in.tradingview.com/chart/QtD56IkU/
Комментарий:
Bank Nifty has broken the descending triangle in opening itself.
Комментарий:
1/22/17 Weekly forecast for bank nifty - resistance 18890(spot)
Supports are 18780, 18740,18670, 18550(spot). One should close their short position before expiry as prebudget rally is expected.
Supports are 18780, 18740,18670, 18550(spot). One should close their short position before expiry as prebudget rally is expected.
Сделка закрыта вручную:
Bank nifty took support at 18740. Closed the trade at 18780. Human error in this post is stoploss. From 19090 to 18780 gained 310 points.