Bank sector! Sell or hold!!

Bank sector getting to a resistance level. Probability is,we may see some weakness in it….Any short term trader may lock his(there is no ‘her’ in online community of traders….LOL) profits!!! That is a clean and clear cut way!!

See image#1!!

Trade over….Go to home!! 

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However,there is a twist!! For a ‘chance taker’,Bank sector is not a sell(yet). The ‘trailing stops’ has NOT been penetrated yet!!

See image#2!! The yellow line,which is the trailing stop, is far from the top price!!

So,bank sector is a hold(still)….

Well,at least,I am gonna hold bank till I get better confirmation. Even though,I know,I will lose some of my existing profits,but I would like to maintain my ‘rule’ of holding stocks till they penetrate my trailing stops!! I don’t ‘need’ profits! I want to see my profits vanishing…….. 😛

 

What an irony!! Last trading days’ Volume shows that a lot of ‘mango’ traders are entering this sector(what were they doing all this time!!!)….This signifies that the market has now got traps to entrap the traders!!

The irony is,we know that it is high time we prepare ourselves to sell to the new buyers entered. Still,we have to ‘wait’,because of the reason below:

Technically,bank sector hasn’t yet established a mid term uptrend. It needs to pullback and then start to rise again to show that it got ‘strength’!! If it pullbacks and then,start to rise again,that means,this sector has the potential to get to the top….pulling index higher and getting all other sectors ‘lower’!

Only time will now show what is gonna happen!!