M&M Consolidation and Niftnear ORB Trade.

M&M Consolidation

M&M is consolidating between 770 to 820 (a range of 50 points built over a period of almost 1.5 months). This consolidation process is developing near the life time high of the stock. A break of 820 resistance or 770 support should see a big move in either direction.

Niftnear ORB Trade

How do you day trade? I would suggest: have a view on the direction, then use a method for entry and exit. On October 14, our view was for a rally in the Nifty. The method was the ORB – Opening Range Breakout. This is how the trade went: Nifty breaks its first 15 min high with high volume. We buy at breakout (5100) with a stop loss at first 15 min low (5056). Nifty retrace twice near to its low but at the end it closes higher. Exit should be at 3:20 at market price. This trade given us a profit of almost 50 points.