This blog is dedicated to active traders in Indian stock markets (BSE/NSE). I have started this blog to render free stock tips solely to help the traders and investors and it is the result of hardwork and detailed technical analysis. Information contained in this blog should not be considered as advice or a recommendation to buy or sell any security or financial instrument.
Patience is the name of the Game to earn money from Stock Market. Besides, patience, proper knowledge, guidance & experience are the tools that one should possess to be a successful investor/trader. One has to protect one’s Capital by his own wisdom. There are so many Analysists, Market-Gurus available in the market who asks huge money for providing calls, tips with almost 100% accuracy. But I really feel sorry for those who after paying such a big money end up making losses. So, here are some real information that may be followed to maximize profits & minimize losses.
Rules to be observed for long positions:
1. The stock should open near previous close or above
2. If The stock’s today’s open=low, the script would have strong upbias
3. If the stock’s today’s open=high, Never buy the stock until the high is breached
4. Don’t get into buying, If the stock opens too high from previous close
5. Use trailing stop-loss if your position is in your favour
Rules to be observed for short positions:
1. The stock should open near previous close or below
2. If The stock’s today’s open=High, the script would have strong downbias
3. If the stock’s today’s open=low, Never sell the stock until the low is breached
4. Don’t get into selling, If the stock opens too low from previous close
5. Use trailing stop-loss if your position is in your favour
GOLDEN RULES TO FOLLOW WHILE DAYTRADING
1. Enter the trades only after 15 mins since the time market opens
2. Take trade directions as market dictates you
3. Accept the fact that “MARKET IS ALWAYS RIGHT”
4. Trade only with the trend
5. Never add or average to the Losing trades
6. Always use stoplosses depending on your risk exposure limit
7. If the trades are not in your favor evenafter 11.30 p.m Exit or put strict
stoplosses
8. Accept the fact that there is always losses in trading. But Aim to have more
winning trades than losing trades. Here comes the aid of expert trader or
technical analyst by way of TIPS and recommendations
9. If a stock is moving fast contrary to your position, Don’t be panic. Wait and
exit at reactions
DAY-TRADING TRICKS
BUY SIGNALS:
* Buy above previous day’s high (strong signal)
* Buy at break-out price which is a Technical level determined through charts.
(Very strong signal)
* Buy above 1st hour high made in the morning (Good signal)
* Buy above high broken for the 3rd time (strong signal)
* For a gap-down market, but above when price goes above previous closing
price (Good signal)
* Buy when price goes above All Time High. (Good signal)
* Buy near support level determined by charts (Difficult to determine so it’s not
a good signal)
* Buy when Big Hands enter (If u r not sure, don’t apply).
SHORT-SELLING SIGNALS:
* Short sell below previous day’s low
* Short sell below break-down price
* Short sell below 1st hour low
* For a Gap up market, Short sell below previous closing price
* Short sell below All Time Low
* Short sell near Resistance level
Book profit at 1% gain & exit at 1% loss from the entry price. This is called Money Management which protects capital.
Caution: Day-trading is injurious to Health & Wealth. 90% of day-traders end up making losses. So don’t follow my tricks blindly. Take your own decision & be sure to trade.
A LITTLE GUIDANCE TO MAKE PROPER INVESTMENTS
Select the sector(s) i.e. Banking, Real State, Power, Capital Goods etc which are going to perform well in future. To know this one needs to follow Govt. policies, Budgets, important Announcement from time to time.
Next is to find out the leading companies which are going to be benefited most of such performing sectors.
Make investment in companies where there is a “Turn Around” story i.e. company is turned its losses into profit after few quarters of after some years.
Make investment when there is a Merger & Acquisition (M&A) between companies. For this you have to know which company is going to get more advantage out of the Merger.
Make investment when a company gets Large Orders (Export, Local). This enhances the Order Book of the company. Better Results are expected so price will move up. Also, in cases, where a company adopts new Technological Advancement or Business Process, same result expected.
Look for higher Earning Per Share (EPS) stocks.
Don’t’ buy stock because it’s cheap. Go by the fundaments i.e. future projects, quarterly result, EPS, PE Ratio.
Invest for a longer horizon so that you give your investment to grow.
Always keep a comfortable stop loss to your investment.
Try to maintain a basket of investment rather investing in one company
Disclaimer: This document has been prepared and issued on the basis of publicly available information, internally developed data and other sources believed to be reliable. I dont have any positions in the stocks we recommend. User should adopt thier own stratergies in applying this tips in real markets. I am not responsible for any losses or risk of capital.
Patience is the name of the Game to earn money from Stock Market. Besides, patience, proper knowledge, guidance & experience are the tools that one should possess to be a successful investor/trader. One has to protect one’s Capital by his own wisdom. There are so many Analysists, Market-Gurus available in the market who asks huge money for providing calls, tips with almost 100% accuracy. But I really feel sorry for those who after paying such a big money end up making losses. So, here are some real information that may be followed to maximize profits & minimize losses.
Rules to be observed for long positions:
1. The stock should open near previous close or above
2. If The stock’s today’s open=low, the script would have strong upbias
3. If the stock’s today’s open=high, Never buy the stock until the high is breached
4. Don’t get into buying, If the stock opens too high from previous close
5. Use trailing stop-loss if your position is in your favour
Rules to be observed for short positions:
1. The stock should open near previous close or below
2. If The stock’s today’s open=High, the script would have strong downbias
3. If the stock’s today’s open=low, Never sell the stock until the low is breached
4. Don’t get into selling, If the stock opens too low from previous close
5. Use trailing stop-loss if your position is in your favour
GOLDEN RULES TO FOLLOW WHILE DAYTRADING
1. Enter the trades only after 15 mins since the time market opens
2. Take trade directions as market dictates you
3. Accept the fact that “MARKET IS ALWAYS RIGHT”
4. Trade only with the trend
5. Never add or average to the Losing trades
6. Always use stoplosses depending on your risk exposure limit
7. If the trades are not in your favor evenafter 11.30 p.m Exit or put strict
stoplosses
8. Accept the fact that there is always losses in trading. But Aim to have more
winning trades than losing trades. Here comes the aid of expert trader or
technical analyst by way of TIPS and recommendations
9. If a stock is moving fast contrary to your position, Don’t be panic. Wait and
exit at reactions
DAY-TRADING TRICKS
BUY SIGNALS:
* Buy above previous day’s high (strong signal)
* Buy at break-out price which is a Technical level determined through charts.
(Very strong signal)
* Buy above 1st hour high made in the morning (Good signal)
* Buy above high broken for the 3rd time (strong signal)
* For a gap-down market, but above when price goes above previous closing
price (Good signal)
* Buy when price goes above All Time High. (Good signal)
* Buy near support level determined by charts (Difficult to determine so it’s not
a good signal)
* Buy when Big Hands enter (If u r not sure, don’t apply).
SHORT-SELLING SIGNALS:
* Short sell below previous day’s low
* Short sell below break-down price
* Short sell below 1st hour low
* For a Gap up market, Short sell below previous closing price
* Short sell below All Time Low
* Short sell near Resistance level
Book profit at 1% gain & exit at 1% loss from the entry price. This is called Money Management which protects capital.
Caution: Day-trading is injurious to Health & Wealth. 90% of day-traders end up making losses. So don’t follow my tricks blindly. Take your own decision & be sure to trade.
A LITTLE GUIDANCE TO MAKE PROPER INVESTMENTS
Select the sector(s) i.e. Banking, Real State, Power, Capital Goods etc which are going to perform well in future. To know this one needs to follow Govt. policies, Budgets, important Announcement from time to time.
Next is to find out the leading companies which are going to be benefited most of such performing sectors.
Make investment in companies where there is a “Turn Around” story i.e. company is turned its losses into profit after few quarters of after some years.
Make investment when there is a Merger & Acquisition (M&A) between companies. For this you have to know which company is going to get more advantage out of the Merger.
Make investment when a company gets Large Orders (Export, Local). This enhances the Order Book of the company. Better Results are expected so price will move up. Also, in cases, where a company adopts new Technological Advancement or Business Process, same result expected.
Look for higher Earning Per Share (EPS) stocks.
Don’t’ buy stock because it’s cheap. Go by the fundaments i.e. future projects, quarterly result, EPS, PE Ratio.
Invest for a longer horizon so that you give your investment to grow.
Always keep a comfortable stop loss to your investment.
Try to maintain a basket of investment rather investing in one company
Disclaimer: This document has been prepared and issued on the basis of publicly available information, internally developed data and other sources believed to be reliable. I dont have any positions in the stocks we recommend. User should adopt thier own stratergies in applying this tips in real markets. I am not responsible for any losses or risk of capital.
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