iCharts Discussions

svkum · White Belt Joined: 14 Feb 2007 Posts: 321

Since price moves around a round digit ,figure
I thought if the price in trnding mkt can be used for swing tdg purpose.
basic principle used was ssps , except pivots are slab levels.
AXIS BANK , i just looked into this stk
a good amt of profit can be made .

after reversal , just buy and keep sl as lower slab level, this can act as pvt pts .
untill sl get hits , we can ride the move .

this is reasearch on lighter mood.
ppl shd critisize mildly otherwise Laughing

rameshraja · Expert Joined: 24 Nov 2006 Posts: 1121

Mr Svkum

I hope you mean to trade as per Y scale of chart Linear scaling whose levels are equally distributed to long above one level with Stop at previous level of scaling. Correct me if I am wrong.

C T RAMESH RAJA

twist · Joined: 12 Feb 2010 Posts: 333

good job svkum sir clap

round figures provides good sup/res & can be used along other tools/system

Round Numbers
Another common characteristic of support/resistance is that an asset's price may have a difficult time moving beyond a round price level such as $50. Most inexperienced traders tend to buy/sell assets when the price is at a whole number because they are more likely to feel that a stock is fairly valued at such levels. Most target prices/stop orders set by either retail investors or large investment banks are placed at round price levels rather than at prices such as $50.06. Because so many orders are placed at the same level, these round numbers tend to act as strong price barriers. If all the clients of an investment bank put in sell orders at a suggested target of, for example, $55, it would take an extreme number of purchases to absorb these sales and, therefore, a level of resistance would be created.

Source: http://www.investopedia.com/articles/technical/061801.asp

vinay28 · Black Belt Joined: 24 Dec 2010 Posts: 11748

I would like to imagine that fibo levels and division of prices given by them may work better. e.g. average of 50 and 61.8%, or their 1/3rd divisions, etc.

svkum · White Belt Joined: 14 Feb 2007 Posts: 321

RR sir,

yes levels as mentioned on y axis shd be reffered to .

these slab may vary depending on various time frames.
its implied that follow the same set up.

vinay - this is based on visual levels , fibo levels anyway is routinely adapted by many .
This strategy is to mark a new scheme , and not have any intention to compare with any other strategy, they may be better than this .