NEWSLETTER SWING TRADING. 28 Feb Intelligent Analysis to point your decisions in the right direction

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1 NEWSLETTER 28 Feb 2018 Intelligent Analysis to point your decisions in the right direction SWING TRADING Newsletter contains index, stocks and sector recommendations along with market outlook. It also discusses strategies for swing trading.

BANK NIFTY has a big gap down and then made a DOJI candle. The index ABSTRACT may find support at lower levels. We will share SECTOR PERFORMANCE for TRADING VIEW. We will discuss DISHTV and DLF.

2 BANK NIFTY has a big gap down and then made a DOJI candle. The index ABSTRACT may find support at lower levels. We will share SECTOR PERFORMANCE for TRADING VIEW. We will discuss DISHTV and DLF. For each of these stocks, we analyse their technical picture; identify trades with stop loss and target. At the end, in our last segment REVIEW, we will discuss some stock trades where a high or low of a particular stock is likely to be in place. INTRA DAY VOLATILITY HIDES SUPPORT FOR NIFTY; SHARP DIP FINDS SUPPORT ALMOST EXACTLY AT 10450; A BREAKOUT ABOVE WILL BE A BUY SIGNAL; ANY MOVE BELOW WILL SIMPLY KEEP NIFTY IN A RANGE;

3 NiftyWatch Just another day in the Markets! Actually, we can also call this: wow! What a day! Market Today The Nifty fell at the open, thanks to a stunning 35 point decline in the S&P500 in the USA, overnight. Then, the markets fell into a trading range, finally rushing down to make a low of After this low, the Nifty rallied suddenly, to reach a high of 10535, finally closing at 10493, down 61 points (0.58%). Compared to the 1.5% fall in the S&P500, the Nifty showed a fair amount of resilience. Yesterday, we said: Does today's decline mean that the Nifty up move is over? No, it simply means that zone is resistance. So far, we have no signs of exhaustion of the three day up move. Yesterday, in how do we trade: we suggested a trade on a dip to Quote If the Nifty stalls around 10630, we should look for decline towards and then be buyers on these dips. If the Nifty crosses and breaks out, we do not buy the breakout. We will be ready to buy a dip. The levels of that dip will be visible only after the breakout. Unquote Today: The Nifty fell to 10461, almost touching the support where we are buyers. Instead of buying on a breakout at 10630, we have been patient, willing to buy on a dip. This dip and our preferred levels came about today. Traders who have been following this letter should be long around If you have long positions, we suggest you keep a stop under 10415, thus risking about 50 points for a potentially high reward trade. IF you did not buy at 10465, then tomorrow may provide another buying opportunity. Wait for markets to open. After 30 minutes, at 9.45 AM, identify the high made in the first 30 minutes. This high should be above Then, buy if this high is crossed. Your stop should be 50 points below the entry price.

NiftyWatch Yesterday's comments are being repeated as they remain valid: Should we go short? This is a bull market. Money will be made by buying, even when we are in a correction.

4 NiftyWatch Yesterday's comments are being repeated as they remain valid: Should we go short? This is a bull market. Money will be made by buying, even when we are in a correction. Short selling is fraught with risk. Today's view: IF the Nifty crosses 10630, a potentially bullish pattern gets confirmed. We may easily see a rally to 11000, and, then maybe the second correction to 10,000 or lower. STOCK MARKET SPOT PRICE (NIFTY: , SENSEX: 34,445.75)

Short Term Wait for markets to open. After 30 minutes, at 9.45 AM, identify the high made in the first 30 minutes. This high should be above 10465.

Intermediate Term So far, the down trend is intact.

exit of trapped longs. We continue to look for 10000 as a possible downside target. As new patterns emerge, we will be flexible to adjust our view.

5 Short Term Wait for markets to open. After 30 minutes, at 9.45 AM, identify the high made in the first 30 minutes. This high should be above Then, buy if this high is crossed. Your stop should be 50 points below the entry price. Trades Wait for a trading opportunity. Intermediate Term So far, the down trend is intact. Down side corrections are filled with sharp, ruthless rallies that frighten away all short sellers but are often just trading rallies created to facilitate the exit of trapped longs. We continue to look for as a possible downside target. As new patterns emerge, we will be flexible to adjust our view. Position We do not have a clear view. Tomorrow Short trend has changed to sideways. The index is still trading inside a range of or Prices are finding support at lower levels therefore intraday traders should look to take only on long side of the market on dips. Intraday Strategy Take trades on both sides.

NiftyBank BANK NIFTY opened with a huge gap down of more than 250 points at 25116.85 on weak global cues. Prices went down in initial trades and made its intraday low below 25000.

6 NiftyBank BANK NIFTY opened with a huge gap down of more than 250 points at on weak global cues. Prices went down in initial trades and made its intraday low below After that an upside rally started which helped prices to close at but still with a loss of 272 points. On the daily charts, Bank Nifty is making a trading range with a support of and a resistance of The index is finding support at lower levels and went through a rally twice now. Yesterday, we quoted that a trading opportunity should emerge after a dip towards Bank Nifty went below intraday but then a recovery emerged. A buying trade is justified here in Bank Nifty Future. Wait for markets to open. After 30 minutes, at 9.45 AM, identify the high made in the first 30 minutes. This high should be above 25200, if not then wait for the prices to cross for your entry. Your stop should be 250 points below the entry price.

TradingOpportunities The sector performance reflects the short term view of different sectors in two different ways: ONE Trend: Sectors in Green are in an uptrend. Sectors in Red are in a downtrend.

7 TradingOpportunities The sector performance reflects the short term view of different sectors in two different ways: ONE Trend: Sectors in Green are in an uptrend. Sectors in Red are in a downtrend. TWO Sector Strength: The sectors are compared with the Benchmark Index (the benchmark is enclosed in a rounded rectangle). Sectors to the left of the Benchmark are relatively stronger, while those to the right of the Benchmark are relatively weaker. The left most sector is the strongest while the right most sector is the weakest. The height of the bars gives an indication of the strength or weakness. If two bars have roughly the same height, it would mean that both are almost on the same strength/weakness level. OUR VIEW: Search for buying opportunity in: IT: KPIT, TATAELXSI METAL: COALINDIA, VEDL

Buy this stock above 74. If this trade executes then place a stop at 72.50 and a target at 77. [Close (Future Price): 227.

8 Trades (in Future Segment) [Close (Future Price): 73.65] BUY Short term trend is sideways in DISHTV. The stock has seen a sharp decline but then built a base. Prices have found support near 70 and moving higher. We may see higher levels here. Buy this stock above 74. If this trade executes then place a stop at and a target at 77. [Close (Future Price): ] BUY Short term trend is sideways in DLF. The stock has seen a sharp correction and then finds support near 220. Prices are now looking for an upside rally. Buy this stock above 228. If this trade executes then place a stop at 224 and a target at 236.

9 Review Levels discussed are for equity instruments. If you trade the corresponding futures, please track the levels on the equity and take appropriate positions on futures.

and take appropriate positions on futures.

10 Review Levels discussed are for equity instruments. If you trade the corresponding futures, please track the levels on the equity and take appropriate positions on futures. FinalWords NIFTY and BANK NIFTY both the indices may find support at lower levels. Chances of an upside rally in these indices are higher.

11 Notes We will give short trade using charts of Futures prices. Levels will then correspond to the actual trades taken. For long trades, many traders use equity (cash) to take the trades since their exposure when investing in cash segment is less than the exposure in futures. For this reason, we will use the cash price as the risk appetite is different for everyone. So for long trades, if you trade the corresponding futures, please track the levels on the equity and take appropriate positions on futures. Sometimes, We like to recommend short term trades in liquid and actively traded stock futures. In such cases, we will offer the chart using futures prices and clearly mention that the levels belong to the futures instrument. Here are some guidelines for trading: Trades are valid for that day only. If the trade does not trigger on the same day then it gets cancelled. For entry avoid first 15 min data. Take the trade from 9.30 AM onward. 1. For buying, price should either (a) be higher than our suggested entry price, or, (b) should cross the suggested entry price after 9.30 AM. If prices are higher than suggested entry price at 9.30 AM, then use the formula: Potential profit = Target - Price at 9.30 AM Potential loss = Price at 9.30 AM - stop loss level If Potential profit is less than the Potential loss, ignore the trade. Enter the trade if prices come down and potential profit becomes greater than potential loss. The formula is not required if price at 9.30 AM is less than suggested entry price. In this case, buy when price crosses above the entry price. 2. For selling, price should either (a) be lower than our suggested entry price, or, (b) should cross the suggested entry price after 9.30 AM. If prices are lower than suggested entry price at 9.30 AM, then use the formula: Potential profit = Price at 9.30 AM - Target Potential loss = Stop loss level - Price at 9.30 AM If Potential profit is less than the Potential loss, ignore the trade. Enter the trade if prices come up and potential profit becomes greater than potential loss. The formula is not required if price at 9.30 AM is greater than suggested entry price. In this case, buy when price crosses below the entry price. For executed trades place a time stop for 5 trading days. Comments by Sudarshan Sukhani, SEBI Registration No INH (The Author and his registration is mentioned In compliance with SEBI regulations) Copyright 2016 by S2 Analytics

12 DISCLAIMER DISCLAIMER: There is a risk for substantial losses trading securities and commodities. This material is for information purposes only and should not be construed as an offer or solicitation of an offer to buy or sell any securities. S2 Analytics Pvt Ltd (hereinafter "The Company") is not a licensed broker, broker-dealer, market maker, investment banker, investment advisor, analyst or underwriter. This discussion contains forward-looking statements that involve risks and uncertainties. A stock's actual results could differ materially from descriptions given. The companies discussed in this report have not approved any statements made by The Company. Please consult a broker or financial planner before purchasing or selling any securities discussed in this Newsletter (hereinafter "The Newsletter"). The Company has not been compensated by any of the companies listed herein, or by their affiliates, agents, officers or employees for the preparation and distribution of any materials in The Newsletter. The Company and/or its affiliates, officers, directors and employees may or may not buy, sell or have positions in the securities discussed in The Newsletter and may profit in the event the shares of the companies discussed in The Newsletter rise or fall in value. Past performance never guarantees future results. S2 Analytics Pvt Ltd 2016 Reproduction without permission is strictly prohibited.

NEWSLETTER SWING TRADING. 26 Feb Intelligent Analysis to point your decisions in the right direction

NEWSLETTER SWING TRADING. 26 Feb Intelligent Analysis to point your decisions in the right direction NEWSLETTER 26 Feb 2018 Intelligent Analysis to point your decisions in the right direction SWING TRADING Newsletter contains index, stocks and sector recommendations along with market outlook. It also