Daily Tryst with Nifty

[WOD]

WOD,

I would recommend you to reconsider your decision of risking 5% of trading capital on one single trade. 5 successive trades of losses, and you will have to start cutting down ur initial positions, which will make the recovery much tougher. I am not saying that you WILL loose 5 trades on the trought, but you still have to play wth probabilities. Some of the best traders and money managers accross the globe use 1-1.5% as the risk capital per trade. Its better to grow rich slowly than become broke fast.

Also, your trading plan has a lot of subjectvity...You have mentioned at many places, "CONVINCING". Now this is something which cant be modelised. Some live days of trading, (may be even paper) and you have to come with a better yard stick than the word convincing. Some days, you , yourself will not be able to find some set up convincing because of so many other factors around. If you have to trust your system and build it robust, you have to remove such subjectivities from it.


Happy Trading

Really appreciate your suggestions and please feel free to give more of them..

Ankit, At this point in time I am ready to take 5 % of risk on one trade and I have prepared myself mentally to face consequences of that. Later when my account will grow I will come back to aroud 2% risk.

Yup you are right there...."convincing" word brings subjectivity to my plan...but then when you are trading with crossovers, crossovers angles are most important and I didnt think it would be appropriate to give measures of angles in trading my trading plan.....do you have any better idea to remove this particular subjectivity from my trading plan?
BTW, from backtesting of my plan I have determined which angles of crossovers to go for....sure it would require for me to have a real trading experience to know which angles works best..

 

[ag_fx]

Really appreciate your suggestions and please feel free to give more of them..

Ankit, At this point in time I am ready to take 5 % of risk on one trade and I have prepared myself mentally to face consequences of that. Later when my account will grow I will come back to aroud 2% risk.

Yup you are right there...."convincing" word brings subjectivity to my plan...but then when you are trading with crossovers, crossovers angles are most important and I didnt think it would be appropriate to give measures of angles in trading my trading plan.....do you have any better idea to remove this particular subjectivity from my trading plan?
BTW, from backtesting of my plan I have determined which angles of crossovers to go for....sure it would require for me to have a real trading experience to know which angles works best..

I would still suggest...5% risk is suicidal....rather u shud start with smaller risk on captial and when u gain capital and exp, increase risk...it SHOULD NOT be other way around.

and regarding angles of BB and all or removing subjectivity from ur trading, I dont think I am the right person...I dont use BB to that high of an extent and thus exp is limited...May be guys like AW10 and Savantgarde can help you on that.

 

[prasadam]

trading singnal given by SMA 3&8 crossover.

Entry rules:
........

Buy if SMA crossover is like 3>8 (crossover angle of 3&8 is convincing but not of SMA 13) and RSI < 50 & bars touching lower BB.Buy on the high of bar + 8.3 on which crossover of SMA 3&8 has happened

dear WOD.

this set up is not possible.

can you post some chart?

cheers.

prasad.

 

[kapilberera]

hello to group

i am beginer nifty trader and wish to get informed decisons .. any comments . thanks .

 

[WOD]

I would still suggest...5% risk is suicidal....rather u shud start with smaller risk on captial and when u gain capital and exp, increase risk...it SHOULD NOT be other way around.

and regarding angles of BB and all or removing subjectivity from ur trading, I dont think I am the right person...I dont use BB to that high of an extent and thus exp is limited...May be guys like AW10 and Savantgarde can help you on that.

AW and SavantG...Can you please help me on this?

 

[WOD]

dear WOD.

this set up is not possible.

can you post some chart?

cheers.

prasad.

Thanks prasad, appreciate your help in improving my trading setup. I know you trade based on crossover and BB, so when you are saying that setup of SMA 3 > 8 and bars touching lower BB is practically not possible then I should accept this fact...As a matter fact I am thankful to you for bringing this in to my attention.....You see, I have included some probabilities in my setup and that was one of them......

What I have noticed is that when crossover of 3>8 happen, some times SMA 13 gives late confirmation for trade and in this case for early entry I need some kind of confirmation......Can you please suggest me how can I achieve that?

Thanks...

 

[scorpio77]

HI WOD,

Been following this thread for some time now. I suggest you look at stochastics as an indicator for early entry and exit. I currently use settings 8,3,4 on the stochs. you can configure it on Icharts easily. It has been very helpful.
Pls refer Pride's thread "pride's intraday strategy" for more info on stochastics.

Thanks prasad, appreciate your help in improving my trading setup. I know you trade based on crossover and BB, so when you are saying that setup of SMA 3 > 8 and bars touching lower BB is practically not possible then I should accept this fact...As a matter fact I am thankful to you for bringing this in to my attention.....You see, I have included some probabilities in my setup and that was one of them......

What I have noticed is that when crossover of 3>8 happen, some times SMA 13 gives late confirmation for trade and in this case for early entry I need some kind of confirmation......Can you please suggest me how can I achieve that?

Thanks...

 

[WOD]

LT, are you here around........I was expecting some comments from you on my trading plan!!

 

[lazytrader]

LT, are you here around........I was expecting some comments from you on my trading plan!!

Hehe..

I didn't even read it. It is too long and hopefully you also know the reason behind my nick. :lol:

On a more serious note, I am not very experienced with trading or trading plans and frankly you will get a lot more and better advice from the experienced traders here.

I will try to read it later in the day and comment on it if I can anything useful. A bit busy right now.

I hope you are still holding on to those CEs.

 

[WOD]

Yup....holding on CE's and charts tellling me that good upmove is in sight..may be 4800 on cards....

Me too having busy day here....a new program has started...