After looking at the day action today, my mind goes back to James Dalton and his famous words to analyze the market in his book " Mind Over markets "
Which way is the market trying to go?
Is it doing a good job in it's attempt to go that way ?
After today's tape, from a day-trader's perspective, we do not have an answer to those questions.We had a neutral day again or a doji with both buyers and sellers involved in the action of the day.Today's action leaves us with no edge for the session tomorrow.Here's why?
Buyer camp : Good job defending value area high and bringing value up from yesterday.However inability to drive it further up after yesterday's momentum was telling.
Seller camp :Seller has showed his inclination to drive prices down from levels of 5380 and upwards.This was evident at the opening itself and later as he cut-off the rally from Value high.However the selling was responsive, not initative.He responded to higher prices only, but could not force prices through value.
So where does that leave us for tomorrow:
Unfortunately not with much, but the takeaway is that we know the seller will be waiting around 5400.
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6 comments:
GM All.
Markets staying 'neutral' this morning too.
Seller has still not shown any intiative to sell.Maybe he will step in only at higher levels of 5400.
5373-5385 is the range so far.
Gm Sir
I place order to Short Nf @ 5395
Is this step right?
Musti,
Though your positioning is right at this point of time, market may spring a big surprise in the afternoon session through a very violent move.
I'll advise you to be neutral and trade it as it comes..
dear viren,
whats ur view now?
has selling stopped?
longs can be re-entered?
KP,
We are range-bound and neutral with both buyers and sellers.
Let's play it this way.below 5352 target 5325 and above 5399 target 5433.
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