Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 27 June 2012

I am going out of station for a few days. Next update will be on 4th July 2012.

Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 5095
Low risk entry : 5130
Target : 5220

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 9772
Low risk entry : 10000
Target : 10280

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 26 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 5093
Low risk entry : 5130
Target : 5220

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 9772
Low risk entry : 10000
Target : 10280

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 25 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 5070
Low risk entry : 5110
Target : 5200

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 9760
Low risk entry : 9920
Target : 10180

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 22 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 5060
Low risk entry : 5110
Target : 5200

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 9700
Low risk entry : 9850
Target : 10130

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 21 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Down
SAR : 5142
Low risk entry : 5100
Target : 5020

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Down
SAR : 10000
Low risk entry : 9830
Target : 9550

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 20 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Down
SAR : 5190
Low risk entry : 5100
Target : 5020

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Down
SAR : 10200
Low risk entry : 9880
Target : 9600

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 19 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Down
SAR : 5190
Low risk entry : 5100
Target : 5020

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Down [Down again after it triggered uptrend during intraday trading]
SAR : 10200
Low risk entry : 9900
Target : 9630

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 18 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 5045
Low risk entry : 5090
Target : 5180

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Down
SAR : 10150
Low risk entry : 10000
Target : 9730

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 14 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 5045
Low risk entry : 5090
Target : 5180

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Down
SAR : 10225
Low risk entry : 10000
Target : 9730

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 14 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 5030
Low risk entry : 5090
Target : 5180

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 9900
Low risk entry : 10080
Target : 10350

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 13 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 5010
Low risk entry : 5060
Target : 5150

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 9850
Low risk entry : 10000
Target : 10280

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 12 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 4995
Low risk entry : 5050
Target : 5150

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 9800
Low risk entry : 9960
Target : 10250

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 11 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 4940
Low risk entry : 5000
Target : 5080

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 9620
Low risk entry : 9780
Target : 10070

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 8 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 4900
Low risk entry : 4990
Target : 5080

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 9500
Low risk entry : 9720
Target : 9980

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 7 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 4850
Low risk entry : 4920
Target : 5030

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 9400
Low risk entry : 9550
Target : 9850

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 6 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Down
SAR : 4910
Low risk entry : 4850
Target : 4750

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Up
SAR : 9100
Low risk entry : 9330
Target : 9600

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 5 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Down
SAR : 4940
Low risk entry : 4850
Target : 4750

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Down
SAR : 9500
Low risk entry : 9330
Target : 9050

[FREE DOWNLOAD] Position Size Calculator Forex, Stocks And Commodity Trading Using Microsoft Excel

One of the mistakes people commit in trading is to completely disregard the amount of risk to trading account. This is especially the case with fixed lot size in futures and options or otherwise when they take fixed number of shares per trade i.e 100, 200 shares.
Lets take an example, if we buy 100 units of 5$ stock our total value of trade will be 100*5 = 500$. If we buy 100 units of 500$ stock our total value of trade will be 100*500 = 50000$. Profits and losses arising with fixed lots (100 units, in this example) will result in huge swings in the trading account.

Risk Management
Trading is all about preserving capital first and then capital appreciation. Risk management is key to survival in stock trading. One of the golden rules of trading is "cut your losses short but let your profits run". When we say "cut your losses short", it means that we should always be aware of the maximum amount of dollar value that we are willing to risk. This can be for example 1% of total trading capital.

Trading Plan
Coming to the second part. When we take the trades based on technical analysis, we plan them based on support and resistance that we observer on the charts. Basic rule of trading is that we should have an entry, exit and stop-loss (trading plan) before we execute our trade. The difference between our entry and stop is not fixed, it changes with every trade depending on the chart structure.

Position Size
Therefore, we don't  have any control over the above two parameters. Both are to some degree "fixed", based on certain rules, to keep overall losses in check. The only thing that is variable is position size. Depending on our entry and stop this will and should change with each trade. With every trade we will have a different number of shares to buy or sell so that our maximum risk per trade remains constant unlike the case with fixed lots.

You can download the position sizing calculator file, free from here.

Screenshot of  the position sizing calculator below.

How to use the position sizing calculator for online forex, stocks and commodity trading ?
As always, you can modify the "grey cells" rest will get calculated by the excel file. You need to input, your trading account size (will change with every trade), percentage of risk you want to take per trade (will remain fixed depending on your risk profile) and your trade plan (entry, stop-loss and exit level).
You will get the number of shares that you should ideally trade along with reward to risk ratio (how many times the reward is compared to risk) and other details of the trade.

What you should do is experiment with different entries and exits to see how your trade size changes. Tighter stops will allow you to trade more shares hence your "total trade value" will increase. Increasing the risk percentage from default 1% to 2% will also increase the total trade value.

I hope you will find the position sizing calculator useful in your trading, trade and money management.
Good luck with your trading :-)

Nifty & Bank Nifty, Technical Levels For Swing Trading, Update - 4 June 2012

Nifty Spot Rates, Technical Trading Levels
Swing : Down
SAR : 4960
Low risk entry : 4910
Target : 4820

Bank Nifty Spot Rates, Technical Trading Levels
Swing : Down
SAR : 9620
Low risk entry : 9450
Target : 9150