This is my trading file to organise and jot down my take on the market .I do Technical Analysis. This blog is to keep track of my baby steps so that I can look back at my journey .Looking back tells me how far I have come from days when I knew nothing and can go further .It gives me motivation to keep going on even when I am tired. One has to back up trading with their own studies. The charts I post here are 99% inspired from Ilango sir.

Thursday, 8 December 2011

Time to sell?

My trading system where in I use

1)  5 hour high and 5 hour low moving averages band with closing price at the end of hour as signal , generated a sell after 3:00 pm candle .

2) The price has just come to lower channel line that you can see in the chart below , If the prices break this line , then as per my understanding we are done with 'B' and are in 'C' to down in 5 waves .This 'B' retraced the move labeled 'A' from 5400- 4639 near to the Golden Ratio at 5108 .

3) Hour slow Macd generated a sell signal .

4) Prices closed below Hour high ema at 5088 , H 5 ema 5078 and Hour low ema 5056 .

-ve Divergence was also confirmed by prices moving below the 5 ema .

Now the above analysis is only on Hour data , one has to check the daily data as well . Day High ema at 5026 still protected and then Dema at 4997 , once these get broken then nifty can drift lower.

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