Last Week Analysis  as we discussed the First Week of new financial year do end up on positive note and Nifty did follow the history to close with a minor gain of 0.5%.Next Week we have the Q4 results pouring into starting with Infosys on 13 April   with RBI Credit Policy  on 17 April as the most important trigger for next 2 weeks.
In Continuation with the trend I came out with one more Study  how Nifty trades in the April Month.Results were quiet fascinating and are summarized as below

Time …

Whenever I see people buy lottery tickets in anticipation of making quick bucks or realizing there dream of becoming millionaire on the back of my mind I get the image of an Option traders who buys in anticipation of making his trading capital increase by several folds.. While a few bucks lottery  ticket doesn’t seem to be a lot of money to spend to win millions, the odds of you winning are slim to none due to the millions of different combinations of all the total possible numbers. We will …

Happy Mahavir Jayanti
 
01. Anger over a losing trade – Traders usually feel as if they are victims of the market. This is usually because they either 1) care too much about the trade and/or 2) have unrealistic expectations. They seek approval from the markets, something the markets cannot provide.
2. Trading too much - Traders that do this have some personal need to “conquer” the market. The sole motivation here is greed and about “getting even” with the market. It is impossible to get “even” with the market. Trading too much is also …

Learn to Lose Money to Make Money
Unfortunately, it is the sad reality that the majority of people reading this are not profitable traders. If I could single out the most common culprit for sabotaging your trading it would have to be not being able to take a loss. This is especially prevalent amongst new traders, but I’ve seen this single trading mistake cripple even more experienced traders. In fact, I’ve run across countless traders that are generally successful if not for a few outsized losses. The problem is that these …

Below is my Interpretation of FII OI data Sheet for 04-Apr-12.

1. FII  bought  20014  Contracts of NF worth 541 cores OI also increasing  by 1464 contracts.

2. As Nifty Futures was up  by 32 points and OI has increased  by 1464 ,which basically means small quantity of longs were added  by FII.
3. Nifty  closed above 20SMA@5295 which is bullish sign.Also closed above 5325 which is 50 SMA,closing above 20 and 50 SMA make it bullish in short term.
4. Nifty today’s close had an important significance let me share the …

Below is my Interpretation of FII OI data Sheet for 01-Apr-12.
 

1. FII  bought  7189  Contracts of NF worth 192 cores OI also decreasing  by 10065 contracts.

2. As Nifty Futures was up  by 17 points and OI has reduced  by 100065 ,which basically means Long liquidation by FII. They are using the rise to liquidate there longs.
3. Nifty  closed above 20SMA@5291 which is bullish sign.Next important level comes to 5319 which is 50 SMA,Nifty just closed tad below this level.

4. I have been talking about the range of 5221-5370 NF …

Below is my Interpretation of FII OI data Sheet for 30-Mar-12.

1. FII  sold 19301  Contracts of NF worth 500 cores OI also decreasing  by 24743  contracts.

2. As Nifty Futures was up  by 101 points and OI has reduced  by 24743  contracts means  institutions have covered   shorts in NF .As they have been carrying shorts for March Series.
3. Nifty  on the last day of march closed above 20SMA@5292 which is bullish sign.Next important level comes to 5313 which is 50 SMA.

4.As discussed in Weekly analysis 5130 comes as channel bottom …

From 01 April 2012 marks the fresh start of  Financial Year 2012-13. Wishing all Readers a profitable Financial year 2012-13.Nifty closed the Last quarter with a gain of 10.38%. Venezuela Stock Market closed with a whopping gain of 70%
I did a study how Nifty trades in the first week of a new Financial Year.Results were quiet fascinating and are summarized as below

Time Period:31-Mar-00 to 31-Mar-11
Max Gain :11.28% 31-mar-2009
Max Loss :1.67%   30-Mar-2001

Average Gain :2.4%

So Out of 11 Years only 1 year was negative rest all ended in positive.So Hoping for a …

One of the Best Article I have read in recent memory!!
The mental part of the game. Its an aspect of trading that can easily be ignored, we all choose how we approach this game. Some see failures as opportunities to learn and progress, while others see them as outright failures and road blocks which should be avoided at all costs. Its all about attitude.
I feel that trading should be ‘easy’ It should be effortless and without conflict. If we are going to be in this game for 20+ years. I feel its important …

 
Below is my Interpretation of FII OI data Sheet for 29-Mar-12.

1. FII  sold 21560  Contracts of NF worth 540 cores OI also decreasing  by 412195  contracts.As it was March Future Expiry thats why we are seeing such huge reduction in OI.

2. As Nifty Futures was down  by 20 points and OI has decreased by 412195  contracts means  institutions have exited mostly out of   shorts in NF as net OI has decreased with fall in price.
3. Nifty  for the 4  day was unable to move above 50 SMA@5306. Again saving …