1. Be Resourcefull.
A.You should know about the global markets performance before our market time starts.This is is one of the many indicators to predict the 'may be direction' of the market.
B.Any news from the Finance ministry, Government, RBI, Important announcements from leading financial institutions which may have a great impact on the performance of particular stocks should be known before the market starts.
C.Learn about everything u see on newspapers, television channels and websites relating to a particular company listed in the BSE or NSE.This is not only for Investors but also for day traders.
2.Working on Tips
A. 8 out of 10 people just trade by the tips they get from some source.But never considers the point that if the tips are accurate 80% of traders must me billioners.The reality is vice versa.
Reasons why Tips dont work for you:
TIPS are given based on market news, fundamental analysis and technical analysis.Tips work for us when the news about that particular stock is true.(news can be rumours also.)
When there is a strong negative news coming into the market, any good news relatively having less strength than the negative news will go in vein.
Tips always carry a STOP LOSS with it which most of us dont use. Stop loss is the resistance for that stock, where buyers will be less and supply will be more. So never trade without stop loss.STRICT STOP LOSS.
3.Open/High/Low:
It should be noted seriously that if there is a gap-up opening of the particular stock from its previous day closing, chances are high that there is no room for the uptrend.Gap- up opening happens because of the orders placed by the buyers at market opening after calculating the freeze percentage or by the blind hope that the stock will go up and they can get at some rate greater than the previous day close.
As most expert says, if the open rate and day's low is the same the oppurtunity for long postion on that day exists.
HIGH is because of the overwhelmed demand for that stock either by the traders or by investors. If maximum traders gain profit, the demand does not exists and the price goes down. LOW is because of the overwhelmed supply from the traders when there is no demand.
A.You should know about the global markets performance before our market time starts.This is is one of the many indicators to predict the 'may be direction' of the market.
B.Any news from the Finance ministry, Government, RBI, Important announcements from leading financial institutions which may have a great impact on the performance of particular stocks should be known before the market starts.
C.Learn about everything u see on newspapers, television channels and websites relating to a particular company listed in the BSE or NSE.This is not only for Investors but also for day traders.
2.Working on Tips
A. 8 out of 10 people just trade by the tips they get from some source.But never considers the point that if the tips are accurate 80% of traders must me billioners.The reality is vice versa.
Reasons why Tips dont work for you:
TIPS are given based on market news, fundamental analysis and technical analysis.Tips work for us when the news about that particular stock is true.(news can be rumours also.)
When there is a strong negative news coming into the market, any good news relatively having less strength than the negative news will go in vein.
Tips always carry a STOP LOSS with it which most of us dont use. Stop loss is the resistance for that stock, where buyers will be less and supply will be more. So never trade without stop loss.STRICT STOP LOSS.
3.Open/High/Low:
It should be noted seriously that if there is a gap-up opening of the particular stock from its previous day closing, chances are high that there is no room for the uptrend.Gap- up opening happens because of the orders placed by the buyers at market opening after calculating the freeze percentage or by the blind hope that the stock will go up and they can get at some rate greater than the previous day close.
As most expert says, if the open rate and day's low is the same the oppurtunity for long postion on that day exists.
HIGH is because of the overwhelmed demand for that stock either by the traders or by investors. If maximum traders gain profit, the demand does not exists and the price goes down. LOW is because of the overwhelmed supply from the traders when there is no demand.
Comments
Post a Comment