I feel good when people want to try and learn. Albert Einstein said " A Person who never made a mistake never tried anything new." The truth is that we can only learn from our mistakes. Great effort ! Keep trying.
ASTRAL POLY:
Your analysis of Astral is correct. Now it depends if you are a Trader or an Investor. You will notice that the CCI from 349 has dropped to 230 levels. Some profit taking will happen in this counter.It is also healthy for the stock. On a Pull Back more investors will enter the stock and take it further up. You can book partial profits and look for lower levels. On the Point and Figure charts, the next support is only at 400. You can also see the EMA’s for support. But looking at the chart, only small corrections are likely looking at the strength with which the stock has been moving up. Its the Westbridge effect i think. They are common investors in Mayur and Astral.
Again the stock has been gaining from strength to strength. This is what happens when stocks give a break out. If backed by fundamentals, they can keep scaling new highs. Yes, the CCI and RSI are both showing some signs of corrections and a PULL BACK is likely. It can come back to levels of 840.
Remember, you will have to be patient for corrections to happens. You will not gain much by shallow corrections. Newtons law will come into play. You can book profits and wait patiently.
Vijay, your interpretation is slightly wrong. The 50 day EMA is 340 and 200 day EMA is 367. The stock is struggling to break the 200 day EMA. There is no cross over of the 50 day EMA and 200 day EMA. Once the stock breaks 367-370 on a closing basis the stock will move up to 410 levels where it can again take short breather. Then one can expect new highs from here on right up to 540 levels. Now lets see what the Bank Nifty does in the coming days. If Nifty has to give a break out then banks will have to support it.
The stock is on a BUY signal. Next resistance is at 66 and once this happens and the stock breaks out it will be in new territory. Strong support is at 60. Then supports are at 59-58-54.
The CCI at 483 and RSI at 80 are heavily into over bought territory. Next support is at the 50 day EMA at 56 and 200 day EMA at 49. Both are strong support zones. One can buy on pull backs.
Hi Tony - Trying my hand at Ajanta Pharma, a stock that I entered recently. Let me know if I am on the right track. DailyBar Charts show supports at Rs.970 & Rs.980 which are also close to 50-DMA (Rs.968) & 200-DMA (Rs.959). Resistance is at Rs.1,022 and Rs.1086 (its all time high). CCI is at -42 and RSI at 36 showing oversold conditions. The stock seems headed down from its CMP to Rs.960-970 levels. Enter if the support holds and/or CCI bounces back from -100 levels
The stock has made a double bottom at 980. It is in the O column and on a BUY signal yet. If it does not hold this Support level of 980 level, then it can touch 940 and then 780. It has resistance at 1060 and 1080.
The stock has support at 970 the 50 day SMA and at 960 the lower Bollinger Band. Thereafter the support is at the 200 day SMA at 804.
The CCI is at -51 and RSI at 20. Some of the readings do not match and hence i have given you the link to the charts which I use.
You must enter the stock when the CCI cuts the -100 from below. It has yet to fall to -100, or it may turn from here. It it turns from here then you can initiate a BUY.
Thanks for your analysis. I have just started making a daily chart of RSI / CCI / EMA-200 based on the same guidelines on how you are making it.
It gives some amouunt of assurance that I am not blindly jumping into good stocks on small corrections as earlier.This forum has given me this confidence and patience to wait for the right price ( it at all there is a right price looking at long term) for the good stocks.
I am into Astral and other stocks for the long haul. The question was only if there was too much build-up in the stock, then book some profits and wait for some healthy corrections and then jump in.
I am pleased that so many who follow my thread are learning to fish. Mistakes will happen, but that is the tuition fee one pays to learn. Keep it up and carry on the good work you are doing.
As for me, I am always there to hold your hand and guide you.
The stock is in X column and on a BUY signal. It pulled back from its recent high of 1750. Now trying to attempt it once again. It has resistance at 1750. Supports are at 1320- 1240. The latter is a strong support having made a triple top earlier. Then at 1080.
On candle sticks both the RSI at 32 and CCI at 1 are showing a down trend reflected in the stock correcting. It has strong support at 1200 being the 50 day Moving Average.
I do agree with what you say, however we should keep in mind that it is for free. There are other paid softwares which cost a bomb.
I have similar issues with chartink too, but since I know the blog owner, I get charts updated. Good to have your feedback. Personally I do not trade and hence do not use timetotrade software.
I have attached a Technical Analysis of Vaibhav Global, a stock that I own. This is just to show how CCI can help you time your purchases in the market. Buying a stock at the right price is very important.I do consider other indicators too, including the Point and Figure charts. So go ahead and have a look at it.
Dear Tony, Now the VIX is approaching 30 levels. It should be time to prepare to buy? Would appreciate if you could throw some light on bullish percentage situation now of various segments. Saji
Would like to add a question as an extension to what Saji John had asked earlier. I was checking the corelation of VIX with NIFTY. The following observations I would like to bring your attention to :-
a) As you have mentioned earlier, the INDIA-VIX ( volatility index) was behaving in the exact inverse manner to NIFTY from April 2013 till March 2014. To quote you "whenthere is a sense of extreme bearishness and fear in the market, the VIX as it is called is near its highest".
b) But since 22nd March’ 2014, on the candle stick the NIFTY is steadily moving up and so is the VIX. Could you please explain why the VIX is going up instead of moving down in this period.
Your observations are correct but these are just exceptions to the rule. Sometimes the VIX moves with the market. So what does this mean to an investor. VIX as you know is a measure of implied volatility, as the markets are drawing closer to the election results, there is a lot of uncertainty building in the market as to the out come of the results and the direction of the market. This uncertainty is being built up in the rise in VIX. Big investors are hedging their positions in the cash market against a sudden fall in the market by selling call options and buying put options. With increase in demand for options, the VIX is rising.
In recent days you must have also noticed a pull back taking place in the market which was heading continuously in one direction.
