380 levels week before ?!!
Last 1 month, it never trade to 380 !
Again my post was deleted. This is just too much of interference & only reflects stupidity!!
Dear @nithin , There is no freedom of speech on this forum.
People don’t like it when someone is running after them all day. People dont like to be moderated. Deletion of post unnecessarily hindering the gist of conversation.
If you cant help out , then I would also prefer leaving this forum & would stop wasting my time participating & contributing. If that is all you want?
I dont like some stupid person irritating us all the time cutting our posts, remarks.
Get a Life.
Yes correct , it was 2 weeks before ( 27-10-2017= 412, 5-10-2017 = 380 )
I would still be blamimg people who fell for the trap. Indicators do fail and it has been proven time and again, but the ones with a tried and tested system do not fall for such traps. The one trading his system would definitely have followed proper risk management and got out with a normal loss even if his system gave an entry at the day’s high. The ones who got trapped were the ones without proper risk management. They were the ones giving tuition fees to the market.
As far as I believe you are trader and you must be aware that FnO is a zero sum game. You are here to earn from someone else’s money. If you are worried only about the people who got trapped today, it does not fits well with what you are doing in the first place.
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Nopes. I guess nobody would agree on your point of view if we are here to earn on someone else’s money!
But yes your profit could be a loss to someone & vice versa. But we are trading with markets & not against each other.
Suppose there were only two people trading in the stock market. For a transaction to happen one of them must sell and other must buy. How would you justify your point of trading with the markets?
In reality its the same case except the fact that there are not just two people.
Markets are very complicated. Companies have huge no. of equity floating around. Anyone is free to buy sell at prevailing market rate. You are solely responsible for your trade. You are making money out of your intelligence & to make money, you are first risking your own capital in the markets.
At any point of time, there are big number of trades going on nonstop. Big institutions, FIIs, DIIs, retailers etc etc. Its market & if you think that the money you make by profits is someone else’s money which you gained!! Then you are at wrong mindset & nobody will agree on this.
I would not deny the fact that its your edge in the market that is making you money. But if you are worried for other people losing money, it simply does not makes sense. Its what you have been doing all the time, making money from someone else’s money (being an intraday trader and not as an investor).
Dont want to argue now. Since the day you open a demat & trading account, you accept associated risks while trading in markets. We are responsible for our actions. We are making money by putting money in markets. Its not someone else’s money which we are putting in to take a position.
The more money you put in to trade the higher will be risk n reward. The initial investment is ours. The moment we enter into a trade , we have put in our money. This is our money not someone else’s.
I am accepting the consequences of taking a trade. I cannot blame others if I am at loss.
Imagine a DII was selling some shares of XYZ which it bought long time back at 80 rs.
DII bought shares at 80 , sold at 102 . Made a profit of 22 rs. per share.
I bought 1000 shares of XYZ out of lacs of shares which that DII was selling.
I bought at 102 from DII & sold at 105 later in afternoon when markets rallied. I made 3000 profits.
Now I sold & cleared off my position. When I sold my 1000 shares of XYZ at 105, one FII was buying those shares & my shares were sold out to that FII.
Now FII bought lacs of shares for investment.
I dont understand who is at loss in this transaction. Also note that when you buy or sell, the exchange assigns your contract to the corresponding best matching counterpart.
Markets are more vast than you can imagine. Its your skills, effort, hardwork, discipline, intelligence, knowledge , experience , luck & more things which counts.
That is why Stop Losses should always be in place, especially for such news based moves, even wide Stop Losses will do… at least one will not lose his shirt if such scenarios happen.
Well do not confuse it with a company creating value through its business for the investors.
Even if you look it this way there was a seller initially, which is the company itself via its IPO, think of the potential profits it could have made had it not sold its share to you (I am assuming that the share price increased after its IPO).
It had its own reasons to go for the IPO(funds requirement and other benefits of going public). Further it created wealth through its business which it distributed in the form of dividends. The current stock price is just its value which becomes zero if the company shuts the next day.
Technically Justdial is in Buy mode since start of Sep itself for chart traders. Dont know which indicator was showing bearishness.
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@Alex_R, this discussion was only for today’s intraday movement.
My only question was where were people buying and why were they buying. If they did buy, then where was their stop.
Gap up or News based stocks are for, usually sold in to or taking profits If a day trader really understands chart indicators, in case of Just Dial there are many indications about over bought/ profit booking conditions.
i am tracking one of Trader on QNA who is making consistent profit, i found that he is selling during over bought & on news
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Backtesting seems to work like magic because the indicators work decently on stationary past data!!
I can give you many examples where despite gap up opening , the stock price kept making new highs entire day.
But I can certainly say indicators work on different calculations in back testing. When in realtime, same indicators give error signals, & only are seen lagging behind. I have seen OVERBOUGHT stocks staying in overbought region entire day only going up & up.
Just like there is gambling in other area like cricket, horse race, where people try to predict the result and make money, FnO is gambling to guess the stock price, no real stocks are involved.Only because it is settled based on stock’s price on a prefixed date, the FnO price follow stock price.
What the indicators do real-time is how it appears on stationary past data. The indicator values don’t change when the data becomes past. The question is did you use the indicator values wisely to enter and exit? This certainly comes with experience.
Ofcourse this is possible. An overbought region doesn’t necessarily mean blatantly sell. It calls for caution. It is time to cut your long positions. And even if you do take a short and the stock holds at these levels, shows more buying and could go up further, then it’s time to cut your short positions as well.
Disagree with you. Suppose the stock is going up from 9-15 a.m & trading at 3% high. Suppose It stays up & retains buyers interest & the price is now quoting higher at 5% by noon. After some more time around lunch, the price is now up by 7% with a days high at 9%. Now imagine the stock price breaks its days high of 9% post lunch session after 2pm . Now more n more buying is going on & stock is driving up on even heavier volumes.
Now till 2-45 p.m the stock movement remains in very strong uptrend. But after 2-45 p.m , there is minor decline in price but is seen as buying opportunity as the overall trend is still intact.
After few mins, the markets crash & heavy selling is seen overall but since this stock has been in bullish trend throughout the day, now due to weak markets , the price of the stock also declines considerably & in a matter of seconds the drop in price starts a chain reaction & people started selling it under panic & by 3-15, the price is now trading 4% in negative.
Now since this stock was in strong uptrend till 2-45 p.m & for day traders who studied the charts on real time, the indicators like EMA cross over were working perfectly but on data as seen from past until 2-45 p.m . But since the stock saw a sharp decline after that so the EMA indicators have obviously adjusted their values & corrected the crossovers as now the price range is from 10% high & 5% down !!! This new calculations were not there throughout the day but only after 3p.m & this data is well automatically adjusted & corrected. You can easily backtest any indicator & they show calculations on stationary data.
You need to trade realtime & not debate on end of day data charts. No, you can also not have the liberty to just watch the indicators realtime until a situation like above arises but then the indicators have already corrected themselves after sudden fall, you would never know.
You are not a day trader & everytime you want to jump in arguing over wrong facts. You lack the confidence to trade on your technicals. Preaching others about technicals wont help you. Being a successful day trader requires to come out of the crap.
Can you give me even one example of when a stock opened at 3%, went up by 9% and then fell to -4% after 3pm?
Even if it did, there is a concept called assessing and trailing your stoploss based on the stock’s movement. You could certainly trail your stoplosses to retain profits. Or just exit when you have caught the big chunk of the movement. If people do end up buying at the most overbought levels which is not at all the thing to do, you have to place stops. If you don’t, then you might have to pay a price for being careless.
Also, the above scenario is a rare case. You can’t live in fear because of that. You have to manage risk accordingly.
I feel terrible now 
I trade what I understand, otherwise I don’t trade. Either way, to each his own. We can stop this discussion here. I think we both have made our points.