Hi,

I want to understand when one should take profits using TICKS. On Monday, there was a chance to take profit on Nifty when it was around 3940. Nifty had retraced to 38% of A, and this was indicated by TICKS in its report few days back. However, what got one confused was the message on ticks: "TICKS expected no bounce back before 12706 on Sensex". One did not take profits in anticipation of greater profits.

However, today the bounceback has made it difficult to hold the position. I was wondering if the C is actualy complete now.

If gap-ups and gap-downs are to be filled sooner or later, I guess the best strategy is to book profits intra-day itself.

TICKS is not looking up yet. A profit taking strategy of 50% is individual. Don't stop yourself from closing half if you are in profit. Till we are sure the downmove is over, we will continue to hold the view even if the potential profit decreases. We always illustrate levels for potential bounce back, resistance or support. Please use respective levels for needed risk management.

Yes Ashish, you are right. Gaps are important profit taking levels, if they get filled. Gaps are also important stop loss levels if you are trading against them.

The very fact that a large open gap was either being retested, partially filled or completely filled should have been atleast used for partial profit booking.