Market Moves From High Level To Low Level, From Oversold To Overbought Areas and Then Reverses. As We Are in
Market Moves From High Level To Low Level, From Oversold To Overbought Areas and Then Reverses. As We Are in
Market Moves From High Level To Low Level, From Oversold To Overbought Areas and Then Reverses. As We Are in
Market moves from high level to low level ,from oversold to overbought areas and then reverses. As we are in
market (businessman) we always want to buy low and sell high, but practically it’s very much difficult to
perform. As if market making high after highs emotion don’t let us sell our position same when market is
grinding lower every day our emotion don’t let us buy( situation becomes so fearful). So from long market
experience guruji( NK sir) observed a mathematical condition by following which we can invest(nearly at
market low) and book partial profits(nearly market high areas) of our investment without any moh-
maya( emotion),,
Process and logic-- usually there are 124 to 126 trading days in a year , so we are taking a simple 124 day
moving average on day chart of nifty(only index).. and on a particular day by dividing the nifty spot lavel by
124 SMA we wiil get a value by which we can calculate the max fear and max greed level of Mr market,,
1. Srt value travels from 0.6 ( max fear) to 1.4/1.5(max greed) lavel.
2. 0.6 is very rare and only be found after every 8/10yeras,, and investment made in this level never
becomes red and usually multiply 5/6 times in a year time or minimum gets double in a year..
3. Whenever market reaches near 1.35/1.4 lavel we should start to book 30/50 % of our holding
4. When market starts to trade in 0.9 level we should start deploying 30% of capital, and extra amount
with every 0.1point fall of srt value
5. Short term traders should watch for monthly Hm level to cross over strength line to start investment
for short term..
6. SRT 1 to 1.1 is a average range of market.
Guruji srt 1.45/1.5 lavel,is not showing in day chart but on weekly chart we can found this lavel,, please
check,, my be I am wrong,,,