How to Identify Top & Bottom in Share Market – Market Crash -Reversal Trading – Anant Ladha.

If you catch the market crash, in the next blog we will also talk about how to catch the bottom. I told you the exit, so I am going to tell you the entry by tweaking it a little in this formula. Before that, let’s understand how we try to find out that the market has become the top. The first and best way is that someone has an opinion. But the worst thing about an opinion is that it is bad at the time when it is the most required to be right. You will have such a favorite expert who will always be right.

But when you put money, you will lose. Or when the market is about to break, it will be wrong at that time. He will say that I have been right for the last two years. What happened this time? You will also say that nothing, the market has broken 7%, what can we do? You are wrong for the first time. So the first is the opinion.

The second is the economic factors that there is some problem in the economy, what is the-E ratio, what is the P-B ratio, what is going on, the GDP ratio of Warren Buffett Sir has become the economic factors. And this is told very late. The market already breaks 30-40%, then we realize that it was getting overvalued, so it broke.

Or even after being overvalued, the market will continue to increase and you will think that it has become overvalued, we have shorted it, what happened? So that’s why it becomes a little lagging indicator for you.

Technical indicators are very beautiful, I also use them, but they are very favorable in the short term or ultra-short term. When you try to find out the direction of the market, you will find it failing. Elite wave theory is a very good indicator, but it is more like astrology. When will their fourth wave convert to third or fifth? You will be very late and you will not even understand.

You tell me, when we see the stock market, what is the most important thing in the stock market? When we look at the charts, what do you say is the most important? Price action. So, none of the indicators or the points we discussed are based on price action.

These are all external factors. Suppose we want to study a monkey; we have reached the jungle to study the monkey. Studying all this is like you are sitting in the jungle to study the monkey, but you are seeing that today the clouds have increased a little.

The leaves of the tree are moving a little differently. You are seeing that this tree is very big here. You are studying everything in life, but your price and volume action, that is, the monkey you have gone to study, you are not seeing it’ll these indicators have become something like that. And now we are going to talk about the monkey, which will be based on your price and volume action. I will explain a little what we will see.

After that, we will go practically and see the last three major crashes, but after reading this blog properly, you can apply this formula in any world market, it will be perfectly applied. Whether it is the market of Japan or the market of the US, youkan applies it in any market. Now we assume that we are in the uptrend market.

We have to see when the market will go neutral. We have to see when the market will go downtrend. Right. Okay. Neutral from uptrend, downtrend from neutral. Going downtrend means that there is a high probability of a crashing the market.

You have to be safe in your existing portfolio and you will get the opportunities to shorten the market as you said. To reach this point, you have to count 3 to 4 volume distribution days. What I understand so far is that Ananta’s main focus is to explain to you that understand the game of volume distribution. Understand the game of volume distribution. Now what is volume distribution? Volume distribution is a formula of price and volume.

Right. On a day when the formula is so simple, you will say that waist so easy? Why didn’t we know till now? On a day when the market was 0.25% correct and on that day’s volume distribution, the market should have been more than the previous day. Means the volume increased and the market broke.

Volume increased and the market broke. One volume distribution day means a big party has sold. But one day of selling of a party does not mean anything. That’s why we count 3 to 4 volume distribution days, your general market trend will go in neutral and as 3 to 4 increase, your general market trend will go in downtrend.

How much should it be in the time horizon is also a very important question. You have to calculate all this for the previous 30 days. I am talking about 30 calendar days. Leave the working days, you count the normal calendar days and apply this formula in it.That’s it. If we summarize it in short, then you are taking 0.25% per day.

0.25% per day should break. Should break. So, the market broke 1% in going from uptrend to neutral in 4days.1% broke.1% more in going from uptrend to neutral.2% broke plus the volume was more at the time of breaking. More than its average or how much? Here, your volume should be more than the last day of that day.

And it will not happen that it will break only 2%. This formula will tell you from top within 7 to 8%. Because the market will break for a few days, but its volume will not be more, so you will not count i.e. will see it live.

It is important to show that to people. It is very important to show us that. On the basis of this formula, 20th Feb 2020 was the exact date. If you go to my channel, you will know. On 20th Feb 2020, you got exit on the basis of this formula. And it was exit within 5 to 6% from the top. And after that, it is not that we don’t know if we have exited. The second formula that we will talk about in the next blog.

In that, we will pick the bottom. Where is the bottom of the market being made? Where you have to enter. The entry that we will tell you on the basis of the formula, you had got the entry on 1st April 2020.And after that, for the next year, there was no rule of exit. No volume distribution day formula was applied to you.

So what we will do now, let’s see practically.2020, before that we will go to 2008.Before that, we will go to the tech burst in the year 2000.And we will see all these bursts, whether this formula applies or it is just a matter of saying.

So now we have put a chart in front of you of the 2020 crash. Which was our Coved crash, in which the most confusion has arisen. The confusion was also there in this crash because all the investors who had invested from 2017 to 2020.

They never got big returns. Sometimes there was some problem, sometimes GST was coming, sometimes note-blocking was coming. So their pain was there. And as soon as the market started to rally a little in 2020, this crash came. So the pain of this crash was very much. Although, you can say that the size of this crash was less than the old crash.

But the pain was very much, so we study this crash. So now we are checking out first, 2020, that is, the crash ofCovid and trying to apply this formula. Here you check out this formula, first of all, 22nd January is the day of 2020.Where the market has been corrected more than 0.25%. You can see more volumes on the bottom side.

Then if you look ahead, you will also have a candle of 27th January, where the market has been corrected more than 0.25%. But Pushcart, as I was telling you, if the volume is not more than the previous day, then we have to avoid it. If you check out the volumes below this day, then there are comparatively fewer volumes than the previous day.

So this will not be our volume distribution day. But exactly the next day, our volume distribution day has come. Because here we have got more volumes comparatively. So our first volume distribution day was 22nd January. The second volume distribution day was 28th January, 2020.The third volume distribution day was 30th January, 2020, which you can check out. This candle has been done.

The next day we had got another volume distribution day, 31stJanuary, 2020.Whenever you are getting volume distribution days back to back, then you should be cautious in any which way. Look, in this formula, I have given you the liberty that 3 to4 volume distribution days. If you have got 3 back to back, then many times you will have to go to 3 on your neutral trend. Because a big man is selling back to back.

Look, we say that we don’t want to fight with a big man. We don’t want to fight, but we have to stand with him. If a big man is selling, then we have to stand with him lovingly. And we have to get in line with him. So, your 30th January, at max 31st January, because here 4 volume distribution days have been done.

Your general market trend has come in neutral. You are in neutral from uptrend. When you are in neutral, you should wait to buy with aggressive quantity. Until you get double confirmation, you should not buy aggressive stocks in trading. You should be cautious.

You should think that market is in neutral. It is possible that it will go downtrend. There is no confirmation yet. It is possible that market would going uptrend again. But it is absolutely okay. When you are going to face major accident,80% of the time, everyone will earn. I am sure.

Balance 20% of the time, where you will lose a major portion of your wealth, formula will save you. Next, you get volume distribution day10th Feb 2020.Next, you get 14th Feb, Valentine’s Day, where you can see more than the volume below. If you are considering big candle, like this red candle, the reason is that the volume is less.

The volume is less as compared to previous day. Market is broken but not by volume. If big parties sell, we are assuming that they will sell by volume. Here, it is irrelevant. Although, market is correct. But we will avoid it. Next, we get important day 10th Feb.

Next, we get 14th Feb. And finally,18th Feb 2020 was the day where general market trend was 7 volume distribution days and back to back. And your general market trend was in downtrend. It is easy to do post analysis.

But on this day, I told on my YouTube channel that general market trend is in downtrend. If you need money in next 1 to 1.5 years, you should plan to redeem. Because general market trend is in downtrend. You need to be careful. I don’t know if there is a crasher if there is a news of COVID.I have no idea what will happen.

But I am sure thatif big parties are selling, they know something that I don’t know. I don’t have any idea about it. And this is an interesting day because I came here on 12th Feb. counted volume distribution days. I realized that general market trendies in the downtrend.

I told you that you will invest by selling your house. You will get 2 houses in 1 year. I have bought my own Audi. I didn’t want to buy Audi. I wanted to buy Jeep in Feb. It was a car worth 20-25 lakhs. I told everyone that there is a big opportunity in the market after mid of March. If I buy a car, it will be mismatched. I bought a car after that.

I went to buy Jeep but market gave me Audi. In the same amount. People were happy that Anent bought Audi. I went to buy a car worth 20 lakhs. Market gave me everything. In the next crash, Audi will be a rolls-Royce. I am very sure. If you use this formula, it can happen to you. This is my life story. I am not doing post analysis.

General market trend was in uptrend on 1st April. There were noises. Economic factors were negative. We try to work on it. In the second part of the formula, you will get to know where the bottom of the market is. You have understood the top formula. If you are not here, and you want more confirmation, you will get it in 2-3 days.

You all know what happened after this. Nifty was 12,000. When the market was in downtrend, 11,900 was the worst scenario. The market was 7,500. What was the crash? You all know more than meowed will not talk about it. Let’s go to the crash of 2008.Subprime crisis. The crash was twice as severe as the one of 2008.Stocks were like broken leaves.

The market was 60% down. How could you predict it? Let’s go and understand i.e. are in the crash of 2008.You may not be in the market at that time.

But you can see the crash. You will enjoy it. You will realize how much pain you would have to bear if you had not taken exit. The first time is 15th Jan, 2008.You can see the volume distribution. I have marked it for ease. Next, you are getting the next day.16th Jan. Then, you are getting the next day.18th Jan.

When the volume distribution is coming back to back, you have to understand its importance. Because there is a party which is selling in panic.

You have to know that this is a big party. You got the third volume distribution on 18th Jan. You got the next volume distribution on 21st Jan. This is a big candle. Either you get it on 18th Jan. Or at max, you are getting 4 volume distribution on 21st Jan, 2008.The market is in neutral. You have already started being safe.

I am not saying that you have to exit because the market can run from here. But you are in a safe mode with your new purchases. Next, you can see a beautiful day. On this day, on 22nd Jan, there is no volume distribution because the volume is less. In extreme situations, you can count it as volume distribution day because it is more than the average. You will get used to it and you will get used tithe exceptions. We will not count it.

You are getting the next volume distribution on 30th Jan. Next volume distribution on 31st Jan. Finally, you are getting the 7th volume distribution on 8th Feb. You have to plan to exit. You need lightning fast action. We play a hoping game after the downtrend. Sometimes, the market will come in downtrend and bounce back for a few days.

We have a formula. It is not a formula that it is made in a day. You can apply this formula in any market for 20-25 years. You have already exited around 5200 in this market. We cannot exit immediately because we think that we cannot exit immediately.

Let’s assume that you have exited around 5400.The market gives a little pain. It comes to 4500.It makes a little pain. You don’t know the pain. It comes below 2400.You have already faced crash of more than 50%in this market. Your formula never gave you an entry. You were out of the marketing this complete crash.

The bottom of the market is in front of you. The bottom of the market is in front of you.50% crash after your formula. I don’t need to say much. Let’s go to the third and final example which we want to see in the tech bursting the year 2000.At that time, many of you may not have been born yet. But, you can see that crash. By the way, It’s India’s top company which is your favorite even today, its prices were not even 10 years if someone had bought it in the tech burst.

The useless company which was K10, even Kegan Parikh’s top 10 favorite companies were zero. At that time, you can bring any company which has a bumper listing and people will invest a lot of money whether it has anything or not, no one cares. We are back in the year 2000.By the way, you will notice one thing in all three crashes.

This crash happens again and again in January, February, and March. This is again the time of Feb. don’t know if it is a coincidence or what. This is your back testing.

This is the back testing of the market that it crashes every time in Feb. Then, the financial year comes. You can make all the adjustments. This is the year 2000.On 29th Feb, you are getting the first volume distribution day.

You can check the volume below and the candle above. Next, you are getting the volume distribution day on 2nd March, the year 2000.You are getting the third volume distribution day on 13th March, the year 2000.Before this, the market was breaking back to back for 1, 2, 3 days. But as compared to the previous day, the volumes were less here.

This is the fourth volume distribution day on 16th March. Here, the general market has come to neutral. I have counted three back to back volume distribution days. After these three back to back, you are compulsory to go to the downtrend.

If you don’t go to this point, the market has given you more volume distribution days. You should go here according to the formula. You should sell here. If you say that you will wait, you can take more margin. But still, you are around 1500 nifty.

By the way, 1500 nifty, if we talk about 15,000, many people will get scared. But you have exited around 1500 nifty. What happened after this? It is important to see. Let’s go to weekly candle. Let’s see what happened after this. How much volume distribution has happened and how much market has crashed? Let’s check out.

I am taking you back to the year 2000.You have exited at the top. This is the market. If you are exiting there and the market is going there, how much benefit you can get? You are in front of the complete candlestick and you are out of the market.

I hope you have understood the formula of volume distribution. It is simple. If you want, I can give you very difficult and complicated formulas. I will give you models like this. I am not boosting you. I am a CA rank holder.

I can explain youth complicated formulas. I will give you such complicated strategies that you will enjoy. And you won’t make money. You can earn money on the basis of simple price volume.

And the actual money will be made on these simple strategies. Along with that, if you want to understand my detailed strategies, what are detailed strategies? What is the complete process in the market? See, this is the formula, but you won’t understand. You got the benefit, it’s a good thing.

But a dedicated process, which we have developed in 3 generations, in which you have to decide when to take entry, where to take entry and where to exit. This is related to complete stock picking, if you want to understand the complete formula. We have made a very interesting course. You can contact for that course.

You can see a help in number on the screen. And we will give a special offer to the first 200 people to enroll in that offer.

See, to enroll in the course, first 200 people have a special offer. I am not telling the offer here. Because if I tell here, it will be a mess. The offer will be filled in 5 minutes. But I genuinely want a person who puts some effort. The number is given, you call.

You ask there what is the offer, tell me. Only first 200 people will get that offer. So you can go there and purchase that course easily. If you want to learn additionally. See, if you want to learn, if you want to invest, then this course is for you. If you think you will get quick money, that you will become rich overnight, I don’t know that.

I can talk about the process; I can explain the process in detail. Such a process that we have been doing for 3 generations, will be very detailed and course short. See, I am telling you the experience of 3 generations. If you take the experience of 20 years, it will take 20 years. But if you can learn the same 20 years’ experience in 20 hours or 40 hours, then you will get that in this course. You can connect.