Software Intraday Trading System

EMP HAUNTS INDIA & TIGHT LIQUIDITY IN STOCK MARKET

After india’s massive Q 3 FY 2013 current account deficit (CAD) of 6.7 per cent of GDP, stock markets have rightly focused on the rupee as only left hope of reviving element. Although CAD is expected to improve in the final quarter of FY 2013, partly due to seasonal effects, it is expected to re-widen through the remainder of the year. The nifty happens to be range bound and technical analysis thus has become tough task without a perfect intraday trading software. The best trading software only help to come out of choppy intraday trade in the stock market where nifty sees volatility of 100 points. With the abundant DM liquidity and reduced tail risk, inflows have been sufficient to finance the CAD thus far, but we decided to take a look at exchange market pressure (EMP) to see rupee might be heading for another significant depreciation episode. The online intraday software tracks this kind of development. It has far reaching impact on commodity market too with commodity tips being clueless of next move.

The RBI is also unlikely to intervene in the given situation for two reasons. One, we currently expect short run depreciation pressures to abate and ultimately forecast INR/USD to end the year around 54. Second, RBI doesn’t have sufficient resources to alter exchange rate fundamentals. Stock market in general and nifty in particular, however expects RBI to intervene to give a direction to the market. The trading strategy shall be also based on those factors. The stock market now expects modest short run depreciation pressures and tight liquidity soon to be fade over. Moreover, political instability / policy paralysis which could undermine foreign investors’ confidence in India’s reform momentum and the government’s capacity to address structural impediments to growth.

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RUPEE PROBLEMS

The Sensex and the rupee are at critical breakdown levels after the stock market fell on Friday and the rupee was retesting its previous lows against the US dollar. The drop in the US equity markets on Friday might provide another downward nudge to Indian equities and the dollar rally could push the rupee lower on Monday. Readers of this column should not be surprised by the moves in the equity market and the rupee. We had mentioned that the Sensex was in a downtrend and was supported by the gap. The same is true of the Nifty. (Click here for charts of Nifty and here for Sensex) In last week’s article we mentioned that price gaps are demand areas and happen when the opening price of a day is higher or lower than the closing price of the previous day. Reuters When there is extreme demand prices open much higher than they closed the previous day. That’s what happened to the Sensex on 31 January when it opened at 16,965 after closing at ...

BANK NIFTY PERFORMANCE ON 10 JUILY 2013

BANK NIFTY SELL TRADE ON 10 JULY MADE 150 POINTS PROFIT

Nifty Live

Nifty buy sell signals using nifty live charts The Nifty is the most volatile tradable index on Nse since it is favourite for the intraday and positional traders. In technical analysis rules and covenants also it is taught that when trading or taking position in any stock , we need to find the direction in which the nifty is moving , so that the trade is entered in that same direction. This will give rise to a high probability trade. The nifty live charts or any intraday software can tell us about the direction of the nifty. The best trend finding strategy can be by checking the direction of any particular moving average, or by drawing a diagonal trend line. The other way is to see if it is making rising Low and Highs or falling. These are little complex to note during live intraday markets. So the better solution is to make your trading strategy more mechanical so that, the buy sell signals are generated on the live nifty charts using the real time data. ...

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