Going With The 60min Flow!!!

[milkyblack]

7% I just cannot sleep tonight!
Too much of excitement!

Regards

And as of now....DOW....

5% se bhi jayada ka...

khaaa raha hai "BHAO"

 

[niftychance]

Hello,

Rules to trade the 60 Minutes Flow as I understand them ...

Timeframe

• Use 60 Minutes chart with following setting.
  First candle of 5 minutes 9:55 to 10 AM followed by 5 Hourly Candles/Bars from 10 AM to 3 PM & last one of 30 Minutes from 3:00 to 3:30 PM.

Position Sizing & Risk Management

• Start with position equivalent to 1.0% risk, while adding intraday keep risk below 2.0%, around close adjust the position size to keep risk between1.0% to 1.5%

ENTRY / EXIT

• Go Long as the price moves above the previous hourly Pivot High + Filter and
  
  
• Go Short as the price moves below the previous hourly Pivot Low – Filter

GAPS

• If Long and if the price opens with a Gap below the SL, hold on till the first 5 minutes bar is completed then shift the SL to Low of first 5 Minutes – Filter.
  
  
• If Short and if the price opens with a Gap above the SL, hold on till the first 5 minutes bar is completed then shift the SL to High of first 5 Minutes + Filter.

Sideways Moves

• After a prolonged sideways move, consider the low and high of the congestion as pivot low and high.

V-Pattern

• After a high gradient steep move which may include gaps and/or multiple WRBs, use the 2 bar method to reverse

ADD

• When Long, Add as the price moves above the new pivot high + filter and
  
  
• When Short, Add as the price moves below the new pivot low – filter

Note:
Higher Pivot Highs defines an uptrend. Lower Pivot Lows defines a downtrend

As a Flow Trader, always be with the Flow (Trend) of the Market

To define a pivot “Go with the Eye”, pivots are “Visually Obvious Pivot”

Thanks

 

[niftychance]

60 Mins Flow - Number of Adds & Filter Values

[SIZE="2"]
[B]Ticker		No of Adds	Filter	 ADD	2-Bar/Gap
 	
NIFTY		    3		 15 	 07	    20

ABAN		    5		 20  	 10	    25

LT		    3		 10  	 06	    15

HDIL		    2		 02  	 01	    03

JPASSOCIA	    2		 02  	 01	    03

RELCAPITA	    3		 15  	 7	    20[/B][/SIZE]

 

[niftychance]

About PIVOTS ...

What is a Pivot?

I really don't like defining pivots........it is not about 5 bars or 3 bars....it is not about major and minor,small or big.....to get out of the maze of words solving which one lands only in a blurr of what we are really looking for.

The Dictionary defines a pivot as a "central point around which something turns."And that's all there is to it.

These turning points are there all over the place in our charts,making definite lower pivot highs amd lows,........so that a break is enough for us to get long.Vice versa for getting short.

The only criterion is that this point has to be visually obvious......it is a clear cut point.....not something that you need to see using microscopes,or magnifying glasses.Standing away from your computer,you must be able to make out your pivot.

The Art of Trail Stopping using Pivots,I thought is obvious........but I think one needs to repeat it.It has been discussed at great lengths in the "Teach a Man to...."thread,but just to remind those of us who may have forgotten.

1.An uptrend is made up of higher pivot lows and highs......important is the lows in an uptrend.

2.A downtrend is made up of lower pivot highs and lows.......the focus is on the highs in a downtrend.

3.In an uptrend,everytime we make new highs,we bring our stops to the low of the recent pivot low.

EXCEPTION:Sometimes,in an uptrend,price makes a higher pivot low and does not go to new highs,and instead goes sideways for a period of time,or pulls back up and forms a clear cut lower high,but it must be visually obvious,.........and then falls through.Stops are therefore still at recent pivot lows although newer highs are not made...........But in both instances,the rule and the exception,those points are very visually obvious.

4.In a downtrend,everytime we make new lows,we bring our stops to the high of the recent pivot high.

EXCEPTION:Sometimes,in a downtrend,price makes a lower pivot high and does not go to new lows,and instead goes sideways for a period of time to make it visually obvious,and then breaks out.Stops are therefore at recent pivot highs although newer lows were not made...........But in both instances,the rule and the exception,those points are very visually obvious.

5.In an uptrend,we trail stop upwards using pivots......our job is not to catch some tiny little pivot and reverse........the pivots have to be visually obvious.So too in a downtrend.


Just pivots alone is not enough........therefore the need to bring in other strategies to help when pivots don't work.We must realise the great potential for great profits using pivots.......we must also know its shortcomings and where it fails so that we can put a few things together that will help us in most scenarios.

Most of you see these points clearly already........but keep in mind the visually obvious part......don't micro-analyse.

Saint

 

[niftychance]

About 2 BAR Method, Steep Gradient Moves n WRBs ...

Basically NF moves in pivots and best to let it do so without us getting involved........but then when there is the WRBs, then of course the 2 bar method....but cannot remember the last time where the 2 bar triggerred a reversal in NF.......very frequent on ABAN,HDIL.....but we have no choice if WRB make a vertical move to the up.

Also, not just for WRB.....also a move that has no pivots will kick in the 2 bar method.

Saint

A vertical move is a move where we get a sudden gradient change in steepness either direction.........

Few words of advice:

a.Go with the EYE .....and you will soon see what I mean jumping out of the charts and grabbing you by your neck.

As I had said once,I will not define how vertical,vertical is.....or how many bars make it a vertical move.Zoom out the charts,or go to the end of your room and have a look at your charts and decide for yourself.

If wrong,change back and return with the Flow.

b.NF usually works better with pivots although it does have occassions when the multiple high gradient bars with no pivots happen.

c.This is the 60min Flow thread......you are putting lots on the table to make much more.And when made,you continue to keep lots on the table in a bid to get the maximum juice out of that trade.As said before,only the person who does not focus,minute by minute,on the gains made can succeed in this over the long time.You need capital too.

d.Science brings with it absolute parameters that have to be followed.It brings with it rigidity.To go with the Flow,you need flexibility,fluidity of motion......it's a Dance.This thread is all dance,.........we need certain parameters,not too many,and not too many absolute parameters.Else we destroy the Flow,and that destroys the very purpose of this thread.

Saint

 

[niftychance]

The Latest Post by Sir about Rules

Unable to change the way I trade ...... although find the visual gap way juicy.........as I had said these are times when we are still adjusting to changing ways....

As you may well know,we already trade and exploit the Intraday NF using a slightly different strategy......and in staying intraday,we exploit the gaps and its directions.

In trying to bring together many things,I probably may have overreached myself........Therefore a few changes with sincere apologies.

a.Reversals at Pivot points only......Pivots as Rakesh would call it are the aggressive pivots,now don't get into 30min and 60min debates......these pivots are obvious on the 60 as a narrow range bar sideways,etc

b.Reversals using 2 bar methods only in few stocks.....ABAN,HDIL,etc

c.No reversals with Visual Gaps till an aggressive pivot is formed.....and these pivots form most of the times before prices march along.Have to find some way around a short trade that goes in our favour and gaps down big and blasts upwards with no pivots.As MJ would say it,back to the drawing boards........


Sorry for coming across as confused or insane........but the Flow Method was devised not just to pull out great profits,but also to do so with a peace of mind.And simultaneously attack the intradays.......The method in its present form gives too many heart stops,too many turns,it adds turbulence to an otherwise peaceful Flow........Accepting the mistake and returning to what was previously called as Aggressive,with no real answer other than the Gap strategy that we had previously,......but can sense we are nearly there in figuring out how to trade it.

In a nutshell,.......Aggressive Pivots,2 bar method on a vertical move,15/7,and the only thing we bring from the visual gaps method is:On a day when price goes down LH-LL on the 60,and gaps down big the next day,we will add the Rs20MovFilter to the first bar and go long if triggerred.

Once again,apologies.....

Saint

 

[SamFisher]

With reference to the above picture I have a very basic question...

1. Assuming that at this point we are on a SHORT trade.
2. Next pivot high so our SAR.
3. Is this point a valid new pivot high as per our current rules?
4. If so should I set my SAR at the high of bar 12 pm (point 3), at the beginning of this bar (point 4) or do I need another bar to confirm the pivot high?

Thanks

 

[vinst]

With reference to the above picture I have a very basic question...

1. Assuming that at this point we are on a long trade.
2. Next pivot high so our SAR.
3. Is this point a valid new pivot high as per our current rules?
4. If so should I set my SAR at the high of bar 12 pm (point 3), at the beginning of this bar (point 4) or do I need another bar to confirm the pivot high?

Thanks

Sam
You are long at (1) but how SAR can be at pivot high? For long trade, SAR should be at pivot low (in case this scrip follows pivots).

regards,
vin

 

[SamFisher]

I know almost all of us are short and must be cheering the fall on Dow and world markets, but in my humble opinion this is the time to be sad. The forecast for all of us is not good. It is the total failure of finance and economy. I am worried about the future.
Sorry not posted at anyones post or view, but just the other side of the coin.

 

[SamFisher]

Sam
You are long at (1) but how SAR can be at pivot high? For long trade, SAR should be at pivot low (in case this scrip follows pivots).

regards,
vin

vin
I am sorry the the trade is SHORT..
My mistake!
Thanks for pointing it out

Corrected now