BollingerBands
- Thread starter columbus
- Start date
Today was a huge trending day and also a testing day for our system. I do not want to comment its self explanatory below.
HDIL
ICICIBANK
Also there are few observations which I am sharing with you and can be test on your own for finding out the wiinning %.As per my observation it works 8 out of 10 times
1. If the first bar of the day happens to be red and top band pierces that bar it will give some good moves for next 20-30 minutes downwards. Viceversa if the lower band pierces a green bar. I am posting this as some people cant desist from trading for first half an hour. Anyway a system should be flexible!!
Everyday you get these kind of signals in one or the other scrips on opening bell.Try it out and let me know the result.
Chart with example.
2. In down trend when the SMA20 pierces a red bar either in the middle of the body or say the upper tail of a shooting star it signals the big move ahead.Viceversa in an uptrend.
Chart with arrow marks. This will help those who might have missed innitial signal but want to catch up the trend later.This one also you can experience very often during intraday.
Regards
Raghav
HDIL
ICICIBANK
Also there are few observations which I am sharing with you and can be test on your own for finding out the wiinning %.As per my observation it works 8 out of 10 times
1. If the first bar of the day happens to be red and top band pierces that bar it will give some good moves for next 20-30 minutes downwards. Viceversa if the lower band pierces a green bar. I am posting this as some people cant desist from trading for first half an hour. Anyway a system should be flexible!!
Everyday you get these kind of signals in one or the other scrips on opening bell.Try it out and let me know the result.
Chart with example.
2. In down trend when the SMA20 pierces a red bar either in the middle of the body or say the upper tail of a shooting star it signals the big move ahead.Viceversa in an uptrend.
Chart with arrow marks. This will help those who might have missed innitial signal but want to catch up the trend later.This one also you can experience very often during intraday.
Regards
Raghav
Often we tell that first hour belongs to novice and one should desist from trading. Here is example.Infact I did traded today with this scrip with our system and it gave me phenominal return by eod.
Scrip is TISCO. just open daily chart .Its in down trend.Yesterday was a rangebound day and was a kind of doji. So we look for the doji to be broken on the down side to go short.
Come to intraday chart.Gap up open.Novices go long and brokers smile. Instead if wait for an hour you got a signal @608 with our system. at 602 it breaks yesterdays low which is a kind of doji.Just see where we ended the day.
Regards
Raghav
Scrip is TISCO. just open daily chart .Its in down trend.Yesterday was a rangebound day and was a kind of doji. So we look for the doji to be broken on the down side to go short.
Come to intraday chart.Gap up open.Novices go long and brokers smile. Instead if wait for an hour you got a signal @608 with our system. at 602 it breaks yesterdays low which is a kind of doji.Just see where we ended the day.
Regards
Raghav
Dear ragav,
Boss i failed to understand this theory as per the theory one has to go long when red and green pierced lower band as i see in your chart of bharti it gives many times chance to go long but every time stoploss trigger as per theory how one can judge when to go long.i am confused plz explain how to trade today i iniate the trade in nifty my stoploss hit after 15 min
thanks in advance i am new plz bear with me,
ss dhiman
Boss i failed to understand this theory as per the theory one has to go long when red and green pierced lower band as i see in your chart of bharti it gives many times chance to go long but every time stoploss trigger as per theory how one can judge when to go long.i am confused plz explain how to trade today i iniate the trade in nifty my stoploss hit after 15 min
thanks in advance i am new plz bear with me,
ss dhiman
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.
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.
Dear dhiman,
I will take the liberty to answer on behalf of Ragav.
go long when red and green pierced lower band is correct ONLY
for choppy market.
Once a trend is established we go as per STRONG MARKET based on presence
of candles in a particular band.But in the morning we assume Choppy Market
only.
I will take the liberty to answer on behalf of Ragav.
go long when red and green pierced lower band is correct ONLY
for choppy market.
Once a trend is established we go as per STRONG MARKET based on presence
of candles in a particular band.But in the morning we assume Choppy Market
only.
Dhiman,
Its quite natural that there will be confusion in the beginning for every one .Once you grasp this method to its full you will be in a position to grasp the things instantly.
What I have stated is clear. Its an observation and not the rules as per original method.
Below is what I said:
If the first bar of the day happens to be red and top band pierces that bar it will give some good moves for next 20-30 minutes downwards. Viceversa if the lower band pierces a green bar. I am posting this as some people cant desist from trading for first half an hour. Anyway a system should be flexible!!
The chart I have posted of Bharti has a red bar first up. Then Top BB pierced that red bar and then Bharti slided for next few Minutes.
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Pls don't confuse it with original method. Initially do follow the rules posted by Columbus religiously.Once you get expertise with original theory you will be able to apply these observations to your trade.
However also can you just elaborate about the trade that you did. I mean Your entry,S/L etc.so that we can clarify the doubt.
Regards
Raghav
Its quite natural that there will be confusion in the beginning for every one .Once you grasp this method to its full you will be in a position to grasp the things instantly.
What I have stated is clear. Its an observation and not the rules as per original method.
Below is what I said:
If the first bar of the day happens to be red and top band pierces that bar it will give some good moves for next 20-30 minutes downwards. Viceversa if the lower band pierces a green bar. I am posting this as some people cant desist from trading for first half an hour. Anyway a system should be flexible!!
The chart I have posted of Bharti has a red bar first up. Then Top BB pierced that red bar and then Bharti slided for next few Minutes.
-------------------------------------------------------------------------
Pls don't confuse it with original method. Initially do follow the rules posted by Columbus religiously.Once you get expertise with original theory you will be able to apply these observations to your trade.
However also can you just elaborate about the trade that you did. I mean Your entry,S/L etc.so that we can clarify the doubt.
Regards
Raghav
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