Professional Documents
Culture Documents
Bank Nifty
Bank Nifty
Kirubakaran Rajendran
Kirubakaran Rajendran
May 19, 2018 · 5 min read
Many a times we would have noticed the market trading range bound without much
movement, however post 2 PM we have seen many times, market move in one sided
direction when the day high or day low is broken.
It could be due to various reason like, the news that comes in during market hours,
Geo political events that affect other international markets which in turn affects
Indian markets or its the time European markets opens up and fresh inflows occur.
What if we could ignore all the noise till 2 pm, and then trade the day high or low
breakouts. It would be much easier for traders, as we don’t need to sit in front of
terminal all the time, we just place the orders at 2 pm and carry on with our work.
Here’s another example, on March 6th 2018, Bank Nifty broke its day low after 2 PM
and ended up with huge profits by 3:20 when we closed the intraday position.
And remember, not every trades end up in profits. Sometimes, you need to face
losses as well but those are limited. In the below trade, after initial buy
trigger, it hit stop loss and short trade was triggered which ended up in minimal
loss by end of the day when position was squared off.