Good Morning.
There is belief that those who opt for shorting makes more in
the market.
Shorting is an art. A shorter has to identify a stock that has
given negative breakout.
After selecting stock for shorting, shorter must further
identify its support and possible 4 to 5 resistance levels.
For example –
If one feels that a stock will fall further below 253.80 and may
touch 249, then shorter has to find out how up it can go above 253.80.
Let us assume that the stock above 253.80 can go up to 258.75.
261.10. 267.50. 273.90.
If shorter had shorted 10 qty at 253 then he/she must short 20
at 258.75, 60 at 261.10,120 at 267.50 and 240 at 273.90.
In the process shorter has to predetermine where to put stop
loss.
Reason for this post is normally shorter do not visualise 4/5
resistance levels.
Try this method of shorting in double qty at every resistance
level, to gain confidence one may short in small qty say – 1,2,6,12,24 etc.
Lastly if in profit cover it without waiting for 249.00.
Regards
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