BollingerBands

[Raghavacc]

I did use Stoch settings for Fridays trade and in my personal opinion it acts as a additional back up when we are in doubt ( When BB doesn't give signals).

I am also of the opinion that first 30-45 Minutes of trading belongs to novice and hence one should desist from trading in case he wants to make it long.This method produces enough signals to make the day if one has patience to wait for first 1-1.5 hours.

Also I feel little understanding of price action added with BB + StochRSI can produce wonderfull results.Below is the 3 Minute chart for last Friday and below is my version of trade.

I will wait for my first signal.Nifty has run up to 5290.No 1 gives some clue about first resistance of the day .Stoch in OB ( Overbought) zone.

Then little pullback and rerun .At number 2 there is a successfull retest of resistance ( Shooting star).Go short as Stoch is making Lower High.

At consolidation area at point number 3&4 we have 2 green hammer bars having good volumes suggesting a supporting area.at point no 4 Lower BB pierces the tail of hammer and stoch makes higher low .Go long.

Point 6 Nifty meets previously established Res area and the upper BB pierces the shooting star shooting star.If you are aggressive go short with High of shooting star +3-4 points as S/L.Otherwise wait.

Point number 7 we have retest of res for the 4th time. Price as well as Stoch makes lower high go short .

Point number 8 there is a BB piercing as well we have volume with big green bar .Go long with strict S/L as its against the trend.

At Point number 9 we don't have signal from BB end .However Stochs comes out of OB zone as well as drop in price suggests to go short.

Few people told Friday there was no action.But even a day like that can be traded profitably if we learn little things.

I have not added some studies intentionally to keep the chart clean and for better understanding.Also kept it bit large so that the things are readable.

Regards
Raghav

 

[prasadam]

Hi Columbus ji.

Congratulations for the century.:thumb:

Great going. :clapping:

Keep Rocking.

 

[vssoma]

Sai,

Sorry .Small correction.The parameters should read as (8,3,4)
You can see the same on the chart also.I hope you noticed the
change.
Other boarders please try to improvise on it and let us know ,
so that to make the system ROBUST.

dear i am using google finance for charts, so please, give me setting for that. in your setting it is showing 3 values but in google it's only 2.

Uploaded with ImageShack.us

tnx,

 

[columbus]

dear i am using google finance for charts, so please, give me setting for that. in your setting it is showing 3 values but in google it's only 2.

Uploaded with ImageShack.us

tnx,

Dear Swamy,

I am working on Sharekhan's Tradetiger,where you are required to feed 3
settings.More on this subject is found in Stockcharts.com.

 

[kvram]

dear swamy also please see free real time for nifty and bse in gcimt4dot com sir u have good facilities ,

 

[columbus]

Hi Rahav,

Good charts and Write-up also.

I did use Stoch settings for Fridays trade and in my personal opinion it acts as a additional
back up when we are in doubt ( When BB doesn't give signals).
I agree with you 100%.Certainly this graph with Stochastics + RSI will help in
taking a correct decision.

I am also of the opinion that first 30-45 Minutes of trading belongs to novice and hence
one should desist from trading in case he wants to make it long.This method produces
enough signals to the day if one has patience to wait for first 1-1.5 hours.
I wrote many times that it is a good practice not to trade during first for 2
reasons.
1.The first hour trades are mostly emotional trades.
2.It takes time for INDICATORS to develope.For example BB on 3 min TF will take
20*3=60 min to start appearing.
It does not mean that if an overnight position is there and lucrative chance is offered,
DO NOT THROW.

Also I feel little understanding of a price action added with BB + StochRSI can produce
wonderfull results.Below is the 3 Minute chart for last Friday and below is my version of
trade.
If happen to go back to my last 8 or 9 post,there I mentioned that it produced MIXED
result.Certainly it will be wonderful tool provided both day high and day low are recored
in the Morning session itself.I think it difficult expect it so.


Specifically I want to mention about Point.8.At that point we had a red bar piercing
the bottom,with good volumes and LOW stochastic value,I went LONG at that point
with target 5282. It went to 5281 (point.9) and thereafter it went down to 5259.
I missed my target by 1 point.
I was rather unhappy but happy for one reason that the system is working OK.Had my
target achieved then I would have gone short at Point.9.

 

[Raghavacc]

Hi Rahav,

Good charts and Write-up also.

I did use Stoch settings for Fridays trade and in my personal opinion it acts as a additional
back up when we are in doubt ( When BB doesn't give signals).
I agree with you 100%.Certainly this graph with Stochastics + RSI will help in
taking a correct decision.

True .Example. It tells us when not to buy( OB Zone) and when not to sell ( OS Zone).Market punished me several times for not following this discipline.I know how hard it is to bear that pain.

I am also of the opinion that first 30-45 Minutes of trading belongs to novice and hence
one should desist from trading in case he wants to make it long.This method produces
enough signals to the day if one has patience to wait for first 1-1.5 hours.
I wrote many times that it is a good practice not to trade during first for 2
reasons.
1.The first hour trades are mostly emotional trades.
2.It takes time for INDICATORS to develope.For example BB on 3 min TF will take
20*3=60 min to start appearing.
It does not mean that if an overnight position is there and lucrative chance is offered,
DO NOT THROW.

Do agree.This is one of the hardest task for a new trader in his initial stage. Market looks so colourfull and juicy that its hard to resist.

I READ SOME STORY IN BOOK. IN ancient times there was king and he used to ship his commercial commodities abroad.When sailing in the middle of the ocean some creatures called "lilly's used to sing beautifully and it was so sweet that these boarders used to jump to the sea resulting in swollen by those lilly's.

Then one day king heard about it and he wanted to experience it and his misnister was very intelligent one. He told king that he can go to ocean but with the condition that he will be tied with the rope to the pilller on board the ship. While sailing he heard the sweet songs of lilly's and wanted to jump but those rope and pillar saved him.!!

Traders also hear the same sweet song early in the morning and jump ....



Also I feel little understanding of a price action added with BB + StochRSI can produce
wonderfull results.Below is the 3 Minute chart for last Friday and below is my version of
trade.
If happen to go back to my last 8 or 9 post,there I mentioned that it produced MIXED
result.Certainly it will be wonderful tool provided both day high and day low are recored
in the Morning session itself.I think it difficult expect it so.


Specifically I want to mention about Point.8.At that point we had a red bar piercing
the bottom,with good volumes and LOW stochastic value,I went LONG at that point
with target 5282. It went to 5281 (point.9) and thereafter it went down to 5259.
I missed my target by 1 point.
I was rather unhappy but happy for one reason that the system is working OK.Had my
target achieved then I would have gone short at Point.9.

Columbus I suppose we can lock the profit ,atleast 50% of the profit when we have a successfull trade considering the fact that in such lifeless market 10-15 points is what we can expect per trade from scalping point of view.

whatever big people say and quote . I firmly believe that trading is all about simpllicity.In other words repeating the simple things with rigorous discipline .But I will tell you that itself is the hardest part.Why ? Below is the quote from Osho:

"You tell a person to climb big mountian even for that matter the mighty everest.Even a moderate person will do it. You ask the same a person to sit for 30 minutes without allowing any thoughts to appear in his mind .HE CAN'T[/B] Because the people cant do simple things consistently.

I am proud to say that Columbus has done that simple thing day by day ,week by week and month by month for more than a year and then shared with every one here.

Regards
Raghav

 

[Raghavacc]

Hi Rahav,

Good charts and Write-up also.

I did use Stoch settings for Fridays trade and in my personal opinion it acts as a additional
back up when we are in doubt ( When BB doesn't give signals).
I agree with you 100%.Certainly this graph with Stochastics + RSI will help in
taking a correct decision.

I am also of the opinion that first 30-45 Minutes of trading belongs to novice and hence
one should desist from trading in case he wants to make it long.This method produces
enough signals to the day if one has patience to wait for first 1-1.5 hours.
I wrote many times that it is a good practice not to trade during first for 2
reasons.
1.The first hour trades are mostly emotional trades.
2.It takes time for INDICATORS to develope.For example BB on 3 min TF will take
20*3=60 min to start appearing.
It does not mean that if an overnight position is there and lucrative chance is offered,
DO NOT THROW.

Also I feel little understanding of a price action added with BB + StochRSI can produce
wonderfull results.Below is the 3 Minute chart for last Friday and below is my version of
trade.
If happen to go back to my last 8 or 9 post,there I mentioned that it produced MIXED
result.Certainly it will be wonderful tool provided both day high and day low are recored
in the Morning session itself.I think it difficult expect it so.


Specifically I want to mention about Point.8.At that point we had a red bar piercing
the bottom,with good volumes and LOW stochastic value,I went LONG at that point
with target 5282. It went to 5281 (point.9) and thereafter it went down to 5259.
I missed my target by 1 point.
I was rather unhappy but happy for one reason that the system is working OK.Had my
target achieved then I would have gone short at Point.9.

Hi Columbus,

I forgot to ask.Whats the brokerage that you are getting for intraday for Cash & F&O Segment respectively?

I suppose you make use of sharekhan terminal for placing orders.I am using Indiainfoline .Order execution here is very poor.When S/L gets triggered the status remains in the order book as " SL Triggered" for 5-10 minutes.It happenned so many times that ultimately I had to cancel that order.I did use sharekhan earlier and order execution was really superb.

I am getting 1.5 paisa for cash and 1 paisa for F&O respectively. In case sharekhan can offer the same i am keen to shift.

Pardon me if I am out of topic.

Regards
Raghav

 

[columbus]

Columbus I suppose we can lock the profit ,atleast 50% of the profit when we have a successful trade considering the fact that in such lifeless market 10-15 points is what we can expect per trade from scalping point of view.

whatever big people say and quote . I firmly believe that trading is all about simpllicity.In other words repeating the simple things with rigorous discipline .But I will tell you that itself is the hardest part.Why ? Below is the quote from Osho:

"You tell a person to climb big mountian even for that matter the mighty everest.Even a moderate person will do it. You ask the same a person to sit for 30 minutes without allowing any thoughts to appear in his mind .HE CAN'T Because the people cant do simple things consistently.

I am proud to say that Columbus has done that simple thing day by day ,week by week and month by month for more than a year and then shared with every one here.

Regards
Raghav

Hi Raghav,

Thanks for your kind words.

I am a small person eager to help many.If I am successful in my endeavour
by a small percentage ,I will be happy.

I liked your words, lifeless market.Yes indeed,a scalping opportunity
of 10-15 points is great ,the days of getting 20-25 points have gone.

*****************************************************
Tradetiger is good for charting.But I will put order through RKglobal, they
charge 9Rs/lot for both Nifty and Minifty.Brokerage with Sharekhan is bit
costly ,you can refer to other BROKERAGE threads.

Contract note:
http://www.traderji.com/brokers-trading-platforms/21449-r-k-global-issues-2.html#post429261

 

[columbus]

BB(20,2) of nifty futures on time frame 4/6 min are presented below.

1.Choppy Market:
Go long when Red+Green candles pierce the bottom band and wait for 15minutes
for confirmation after taking position, otherwise come out with stoploss.
Go short when Green+Red candles pierce the top band and wait for 15minutes
for confirmation after taking position , otherwise come out with stoploss.

In case of Verital rise or Vertical fall ,the above rules may not work and have close
look at the central line and outer boundaries always.Perhaps this may qualify for case.2.
A close of candle outside the bands need not necessarily mean termination of trend but it be continuation as well.
Have patience to keep a watch on those situations.

2.Strong Market:

If the candles are concentrated in Top band go Long.
If the candles are concentrated in Bottom band go Short.
The Proximity of candles with respect to Outer boundaries indicates the Strength.
More strength means more closer to Outer boundaries.

Avoid trading when the Bollinger Band is narrow.