Sir , is time important or price for buy or sell . Price I mean to say support - resistance levels .
raavigeorgian
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@JagdishKumarPahuja, Breakouts that happen in the morning are more likely to fail as compared to those that happen after 2pm. Reason is, big players are most active in the last hour of trading. If they feel the stock is good enough for the coming few days, they will give it a good closing. Otherwise, the breakout will fizzle and you will end up in red. And you never know when it will go back up.
On the other hand, if a stock closes at a higher price, it means big players have shown confidence, and the momentum is likely to continue in the coming days.
P.s. I hardly ever buy at support. I only buy once resistance is broken with a strong closing.
P.s. I hardly ever buy at support. I only buy once resistance is broken with a strong closing.
Your statement seems convincing that buy above the resistance. But sir , at the same time it also means buy at higher price. For trading it is still ok because one is always ready to sell. But for investor Or swing trader , it is better to buy at low , near the support level & wait for the breakout above the resistance. Pl comments.
raavigeorgian
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@JagdishKumarPahuja, I'm a swing trader too. Just that I haven't practiced buying at support enough. Part of the reason is, I want to be sure of momentum. Price shooting up to a previous high is a confirmation. I picked it up from one of Livermore's books, and it just worked for me.
JagdishKumarPahuja
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@raavigeorgian,
Well there is no one formula in the stock market . I am a bottom picker on investment & sell a part of it on swing for a reasonable profit thus reducing my cost of the balance . My cost becomes near 20 % of the market price .This way I am holding Adani Gas at zero price of 100 shares.
Thank you for sharing your thoughts.
raavigeorgian
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@JagdishKumarPahuja, That's a very good strategy. It gives great returns. I'm more of a 15-20% trader. More than fundamentals, I trust my SL. And don't regret if the stock shoots up significantly after I sell. I got what I wanted, I'll move on to the next.