Learning to catch High Probability Breakouts

[amitrandive]

Amitji,

In Daily Tornt Pharma chart, there was a breakout from range two days back, then today it is big bearish candle with very high volume. What this signifies?

Regards,

This just seems to be a quarterly result reaction

Like we discussed earlier , it was only a result reaction.Stock continuing uptrend

 

[amitrandive]

How Falling Crude Prices can Help Investors become Rich

http://www.traderji.com/technical-a...high-probability-breakouts-7.html#post1091362

The simplest of Intermarket analysis article was shared here around 8 months back and recently a few days ago.

Crude oil prices started falling in June

That lead to a good gain in the related stocks which are direclty linked to Crude oil.

Check out the expected winners in a 3 month Time frame .

Nilkamal and Relaxo footwear outperforming by a handsome margin .

Daily Chart of Crude Oil

Weekly Chart of Nilkamal

Weekly Chart of Relaxo Footwear

Why do we need any complicated scanners to search good stocks ???

 

[khurshedmanjra]

Realtime 5 min charts available anywhere other than Google finance?

try pivottrading.com

 

[ranjitsingh1974]

dear amitji
please provide a link for free bse eod downloader. I am learning a lot from your different threads. thanks a lot.
ranjitsingh1974

 

[amitrandive]

dear amitji
please provide a link for free bse eod downloader. I am learning a lot from your different threads. thanks a lot.
ranjitsingh1974

Ranjit Ji

Not sure about this but think

Getbhavcopy ,Josh utility, are a few free utilities available.

 

[indianbank]

Amit sir, will you help me in getting MCX historical eod. Any program is available?

please suggest a good program for downloading MCX historical EOD

 

[sumantra]

SunnyRaj

It is sometimes very easy to identify fake breakouts,when the candle does not convincingly close above a particular level.

Most of the times it is very difficult.Better to trade on retrenchments than the original breakout.Still sometimes the stocks breakouts non-stop and does not allow re-entry.At these times it is wise not to chase the stock and search for better opportunity.

High probability trades are always those trades which are associated with low risk and high reward.

Posting some samples for clarity.

http://www.dailyfx.com/forex/educat...5/22/Simple-Way-to-Avoid-False-Breakouts.html
http://forexop.com/breakout-trading-basics/

thanks. but i am unable to give u through traderji link.

 

[newuser_RK]

Hi all,

I need your views regarding this:

Stocks which lead the returns continue to do so for a long time. What I plan to do is to buy top 50/nse200 yearly gainers when market corrects for 2.5k amount per sock. Get out if any stocks falls 10 rank and take in the new entrant and so on. Check/rebalance this on weekly basis.
This way you weed out the underperformers and continue with the out performers.

 

[SaravananKS]

Hi all,

I need your views regarding this:

Stocks which lead the returns continue to do so for a long time. What I plan to do is to buy top 50/nse200 yearly gainers when market corrects for 2.5k amount per sock. Get out if any stocks falls 10 rank and take in the new entrant and so on. Check/rebalance this on weekly basis.
This way you weed out the underperformers and continue with the out performers.

IMHO Frequent (weekly) re balance would create more transaction Costs than performance.

Actually NSE itself maintains an index based on similar strategy that is CNX ALPHA
you can get more information from following link
http://www.nseindia.com/content/indices/CNX_Alpha_Methodology.pdf

Below chart shows Comparative chart

for example
suppose one invested Rs one lakh in nifty 50 Stocks on 1-1-2004
now the value would be 4,46,220(CAGR 15.15%)

if he invest based on ALPHA Strategy the portfolio value would be
9,44,260 (CAGR 23.57%)

all the best :thumb:

 

[newuser_RK]

But how can one invest in such an index?