Most traders tend to attach a lot of importance to (supposedly) important events and then anticipate how nifty will behave.
Now almost 8 months into this year, I tried back reading to see what "significant" events happened.
From a trading perspective, I have plotted 3 events... these are shown in circles. The first one, I don't remember what really happened, the second one was a Brexit vote... this was bad bad news but for markets it was a 'buy-on-dips' opportunity. The third "big" event is passing of the GST bill which is "non event" as far as the charts are concerned.
Apart from these events, there are many more related to inflation data, IIP data, RBI rate meetings, global problems and what not... none of these are registering on the charts. Even the GST event will be forgotten inspite of this being the single biggest (taxation) event in last 20-30 years... I am remembering only because it happened yesterday. Few weeks from now, people will be hard pressed to identify on the charts when it happened.
Summary - ignore all events... leave analysis of all these events to blue channels and the jokers who watch them. It has zero relevance on trading and can actually be counter productive for your profits.
Now almost 8 months into this year, I tried back reading to see what "significant" events happened.
From a trading perspective, I have plotted 3 events... these are shown in circles. The first one, I don't remember what really happened, the second one was a Brexit vote... this was bad bad news but for markets it was a 'buy-on-dips' opportunity. The third "big" event is passing of the GST bill which is "non event" as far as the charts are concerned.
Apart from these events, there are many more related to inflation data, IIP data, RBI rate meetings, global problems and what not... none of these are registering on the charts. Even the GST event will be forgotten inspite of this being the single biggest (taxation) event in last 20-30 years... I am remembering only because it happened yesterday. Few weeks from now, people will be hard pressed to identify on the charts when it happened.
Summary - ignore all events... leave analysis of all these events to blue channels and the jokers who watch them. It has zero relevance on trading and can actually be counter productive for your profits.
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