NIFTY in tight range.

We had stated that NIFTY has a potential to go lower before a long trades comes in. Today on open we have the NIFTY closing above the slow average, but our ratings show that the market is bearish. This happens when markets is in indecisive mood. Now we have a bullish closing with a bearish rating and the prevailing trend is neutral. One-to-one are contradictory, global markets too show the same picture.

Wait on sidelines is also an option for the trader, even that earns money. We had our mentor say this several times. True it is rewarding, we get saved from losing trades. There are no swing trades now as the NIFTY chart is into non-trend on the hourly. Trend trades too are showing contradictory signals, so we wait.

There may be a confusion ruling in the minds of traders who are following this thread. 'When we say NIFTY is in non-trend and we still keep giving trend trade signals.' A clarification on this point, we have a rating system which rates the strength of the NIFTY index and along with that while NIFTY chart too coincides, we give our calls on the trend system. While Swing trades are based only on the NIFTY Chart.

There is bound to be many whipsaw trades on the trend system as we almost all the time in the market. But, that has its own advantages too. Like we have had in the previous winning trade with a 270 points gain. Every system has its own pro and cons, we get accustomed to one system and follow it with discipline, and we are bound to gain in the long run. As we state time and again in this thread that we do not promise a 90% winning system or a triple digit profit percentage. This is a system with an above average returns, but traded with consistency over a period of few years, has a multifold effect on the capital through the power of compounding.