Learning to catch High Probability Breakouts

[amitrandive]

NR7 High Probability Breakout

Colpal breaking out of NR7 , giving a breakout of 4.6% in Intraday Trade.

Ideal entry for Day trade as Open almost equal to low of the Day.
Open= 1676 and Low=1673.
Up breakout level=1670.

Daily chart of Colpal.

 

[amitrandive]

High Probability Pullback trade

Infosys in a strong bull breakout , breaks 3800 .Comes back and tests the resistance ,which now becomes a strong support.

Buying Infosys at 3805 with stop at 3795 gives a trade of around 40 points at EOD.

Intraday 5 min chart of Infosys on 1/10/2014

 

[amitrandive]

Intraday trade in Bajaj Auto on 14/10/2014.


5 min Intraday Chart of Bajaj Auto

 

[amitrandive]

Fibonacci Levels in NIFTY

Fibonnaci levels have great deal of significance in the markets.

Above spot Nifty Chart shows Nifty reversed exactly around the 50% levels of yesterday's range.Traders who went long around 7815 expecting a breakout must have taken a hit.A close inspection shows that the breakout candle which gave a close marginally above 7815 had a tail indicating selling pressure and a failed breakout.The immediate candle is a bearish candle

A good long would have been around the 23% levels at 7770 with a stop at 7740 (Swing low)and an exit around the 50% levels at 7815 , a trade worth 45 points.A Risk reward of 1:1.5 .

 

[manojborle]

Fibonacci Levels in NIFTY

Fibonnaci levels have great deal of significance in the markets.

Above spot Nifty Chart shows Nifty reversed exactly around the 50% levels of yesterday's range.Traders who went long around 7815 expecting a breakout must have taken a hit.A close inspection shows that the breakout candle which gave a close marginally above 7815 had a tail indicating selling pressure and a failed breakout.The immediate candle is a bearish candle

A good long would have been around the 23% levels at 7770 with a stop at 7740 (Swing low)and an exit around the 50% levels at 7815 , a trade worth 45 points.A Risk reward of 1:1.5 .

Amit you have left previous swing high, try plotting the levels from this high.☺

 

[XRAY27]

Fibonacci Levels in NIFTY

Fibonnaci levels have great deal of significance in the markets.

Above spot Nifty Chart shows Nifty reversed exactly around the 50% levels of yesterday's range.Traders who went long around 7815 expecting a breakout must have taken a hit.A close inspection shows that the breakout candle which gave a close marginally above 7815 had a tail indicating selling pressure and a failed breakout.The immediate candle is a bearish candle

A good long would have been around the 23% levels at 7770 with a stop at 7740 (Swing low)and an exit around the 50% levels at 7815 , a trade worth 45 points.A Risk reward of 1:1.5 .

Bro!!!!!!! Don't think other wise just want to Alert you little pits in your understanding

1.First Fibonnaci levels what you have drawn are not correct..

2.When ever you try to trade Nifty always use NIFTY FUT along with option chain concept of MAXPAIN ... 7850 is the MAx PAIN for yesterday..

3.Risk reward of 1 :1.5 is not good... i have highlighted (yellow line )the breakout candle and it is your risk for this trade and risk reward works out to be 1:2

4.As far as my understanding 38.2 is the bull level and below that is bear level....

Note: iam a PA trader not using above method...

 

[amitrandive]

Amit you have left previous swing high, try plotting the levels from this high.☺

Thanks Manoj !!!
:clapping:

 

[amitrandive]

Bro!!!!!!! Don't think other wise just want to Alert you little pits in your understanding

1.First Fibonnaci levels what you have drawn are not correct..

2.When ever you try to trade Nifty always use NIFTY FUT along with option chain concept of MAXPAIN ... 7850 is the MAx PAIN for yesterday..

3.Risk reward of 1 :1.5 is not good... i have highlighted (yellow line )the breakout candle and it is your risk for this trade and risk reward works out to be 1:2

4.As far as my understanding 38.2 is the bull level and below that is bear level....

Note: iam a PA trader not using above method...

Xray

Thanks for the explanation,that is why the thread name is "Learning to catch high probability Breakouts"


Just need a few clarifications from you,
1)How to get the Max Option pain level everyday?
2)How to use that level in trading?
3)I had drawn the fib levels considering yesterday high and low,you have drawn that considering the intermediate high of 16th Oct and low of 17th Oct.Please elaborate on this.
4)What are the basis for the two yellow lines?

Would surely like to understand fibonacci better.

 

[XRAY27]

Xray

Thanks for the explanation,that is why the thread name is "Learning to catch high probability Breakouts"


Just need a few clarifications from you,
1)How to get the Max Option pain level everyday?
2)How to use that level in trading?
3)I had drawn the fib levels considering yesterday high and low,you have drawn that considering the intermediate high of 16th Oct and low of 17th Oct.Please elaborate on this.
4)What are the basis for the two yellow lines?

Would surely like to understand fibonacci better.

We are all learning from TJ itself...Fibonacci is not better method any ways

Below is my answers for your questions

1)How to get the Max Option pain level everyday?

ans)http://www.traderji.com/software/75035-live-nifty-options-open-interest-monitoring-tool-5.html

2)How to use that level in trading?
Ans) go through My trading system below my signature it acts like a dynamic support and resistance

health raj thread for this concept as a whole
http://www.traderji.com/trading-diary/88670-nifty-options-trading-raj.html

3)I had drawn the fib levels considering yesterday high and low,you have drawn that considering the intermediate high of 16th Oct and low of 17th Oct.Please elaborate on this.
Ans)
1. Fib levels are Drawn for noting down reversal..in the image posted where is the down trend confirmation?? after break of the middle of the day swing point before that, it is a consolidation..

2. Where the DT ended???when the break of the swing high is broken..so we can draw Fib ..for levels..

4)What are the basis for the two yellow lines?

Ans) Risk for this particular trade ...your SL is also not good ...of 30 pts

 

[amitrandive]

We are all learning from TJ itself...Fibonacci is not better method any ways

Below is my answers for your questions

1)How to get the Max Option pain level everyday?

ans)http://www.traderji.com/software/75035-live-nifty-options-open-interest-monitoring-tool-5.html

2)How to use that level in trading?
Ans) go through My trading system below my signature it acts like a dynamic support and resistance

health raj thread for this concept as a whole
http://www.traderji.com/trading-diary/88670-nifty-options-trading-raj.html

3)I had drawn the fib levels considering yesterday high and low,you have drawn that considering the intermediate high of 16th Oct and low of 17th Oct.Please elaborate on this.
Ans)
1. Fib levels are Drawn for noting down reversal..in the image posted where is the down trend confirmation?? after break of the middle of the day swing point before that, it is a consolidation..

2. Where the DT ended???when the break of the swing high is broken..so we can draw Fib ..for levels..

4)What are the basis for the two yellow lines?

Ans) Risk for this particular trade ...your SL is also not good ...of 30 pts

XRay

Thanks for the explanations !!!
:clapping:

If possible, please provide resources for learning how to apply Fibonnaci ratios.