My Trading Plan

1. Review Yesterday's Most actives, Top gainers / losers and any headline news in BS/ ET for zeroing on Stocks in Play.


2. I keenly watch 9.00 am UDAYAN's show on CNBC TV18. Useful insights and synthesis of market action. The way I use this info is writing down all his observations in my note book so that they go through my internal processing. This covers currencies, commodities, asian, US markets and corporate developments.


3. I narrow down to 4 or 5 stocks as possible trading candidates for the day and then look for more info on these stocks.


4. Using websites as vfmdirect , I check for useful indicators like 5DMA,20DMA,50DMA,200DMA, RSI . These indicators are not absolute but has to be used as handles only. Review intraday, weekly, Monthly charts for any eye balling of Support and resistance areas. Remember reading charts is not rocket science. After all it simply tells us where price had travelled in the past. Also remember Victor 's remark " Why the market has to give money for knowing how to draw lines on a chart ".


5. I use NSE website for stock volume, delivery positions and OI data on the futures.


6. I would like to form a tentative opinion on the stocks at the time of market open. I may further narrow down to 1-2 stocks to have more focus in the first half hour.


7. Once this hypothesis is formed, I start observing the market generated data to implement my idea. As Dr Brett often observes market mechanics and execution is very critical part.


8. I watch for ATP, Open price as crucial pieces in my execution.


9. The Chart should be in my mind once I am at my trading terminal.


10. How the price and volume behaves as it approaches Open and ATP is a clue. In my experience Day high and Day Low are not as significant as Previous day high and Previous day low. Day high and Day low are obvious points for shaking out intraday players.


11. I try to assess the likelihood of reversion to ATP or building distance from ATP and try to play the odds.


12. All this information has to be seen in the context of Trend day / range day structure.