Linkon's Day trading Strategy...!

[sibumajumdar]

Lets look at the same trades aligned with guppy as confirmation


On a 1 min chart,
short at 4498 cover at 4497 = 1-2 = -1
long at 4497 cover at 4530 = 33-2 = 31
short at 4530 cover at 4532 = -2-2 = -4
long at 4532 cover at 4531 = -1-2 = -3
short at 4531 cover at 4535 = -4-2 = -6
long at 4535 cover at 4534 = -1-2 = -3
long at 4540 cover at 4535 = -5-2 = -7
short at 4538 cover at 4544 = -6-2 = -8
long at 4544 covered at 4571 = 27-2 = 25

total = 33


on a 2 min chart,
short at 4498 cover at 4497 = 1-2 = -1
long at 4497 cover at 4531 = 34-2 = 32
short at 4531 cover at 4533 = -2-2 = -4
long at 4533 cover at 4533 = 0-2 = -2
short at 4533 cover at 4535 = -2-2 = -4
long at 4535 cover at 4532 = -3-2 = -5
long at 4540 cover at 4539 = -1-2 = -3
short at 4539 cover at 4544 = -5-2 = -7
long at 4544 cover at 4571 = 27-2 = 25

total = 31

Mentioning time against each trade would have been more beneficial for novices like us. plz consider it in future if possible. Thanks....SMuncle

 

[linkon7]

CUES--

--Nifty August future premium decreased to 1.5 points so cost of carry decreased.
--Nifty open interest decreased by 87 lacs suggests long unwinding. (Total OI now at 2.30 cr)
--Nifty open interest put-call ratio is at 0.95.
--4500 puts had open interest of 21 lacs and 4700 calls had open interest of 29 lacs, so 4500 and 4700 will be important levels to watch for.
--India VIX closed at 37.59, increased by 0.7% suggests instability.

-- SGX nifty trading at 4635, so a lot of shorts will be trapped. Lot of longs might want to unwind. Lot of longs might build up anticipating this to be a breakout....
-- SBI and RIL did not participate and might give the necessary push to the 4780 mark
--S&P 500 at 986, so that might give the global mood a cheer.
-- Taiwan at a 10 month high.

 

[linkon7]

as per crninda

Daily trend of the market is up.
Clearing is over and market is now expected to resume its rise, so the readers who sre long in Nifty bought on 16th July may go on holding them till the trend does not turn to down.
______________________________________________
Percentage above support
Percentage of stocks above support is more than 50% so the long term investors who have created positions in deliveries may hold them till the percentage support remains more than 50%

__________________________________________________________________
Strong Futures
This is list of 10 Strong Futures: DCHL, Patni, MPHASIS, GSPL, Tata Motors, Rolta, Jindal Saw, RECL, Bharat Forg & Maruti
Weak Futures
This is the list of 10 Weak Futures: EKC, SunPharma, ABB, Reliance, RPL, BRFL, IVRCL Infra & National Aluminium

 

[MINITRADER99]

Lets look at the same trades aligned with guppy as confirmation


On a 1 min chart,
short at 4498 cover at 4497 = 1-2 = -1
long at 4497 cover at 4530 = 33-2 = 31
short at 4530 cover at 4532 = -2-2 = -4
long at 4532 cover at 4531 = -1-2 = -3
short at 4531 cover at 4535 = -4-2 = -6
long at 4535 cover at 4534 = -1-2 = -3
long at 4540 cover at 4535 = -5-2 = -7
short at 4538 cover at 4544 = -6-2 = -8
long at 4544 covered at 4571 = 27-2 = 25

total = 33


on a 2 min chart,
short at 4498 cover at 4497 = 1-2 = -1
long at 4497 cover at 4531 = 34-2 = 32
short at 4531 cover at 4533 = -2-2 = -4
long at 4533 cover at 4533 = 0-2 = -2
short at 4533 cover at 4535 = -2-2 = -4
long at 4535 cover at 4532 = -3-2 = -5
long at 4540 cover at 4539 = -1-2 = -3
short at 4539 cover at 4544 = -5-2 = -7
long at 4544 cover at 4571 = 27-2 = 25

total = 31

Taking all the signal may not be possible. Moreover there may be slippage and order execution also may be difficult. Trading both ways also is not advisable on lower time frame because price changes very fast.
Once a High or low is eshtablished trading between them is very difficult even on lower time frame. You can go for scalping only.
My trading set up does not allow this.
Today I would have gone long above opening bar High or low.
Once long is triggered and we have gone up to 4670( as per cash) and closed the trade as per our comfort there is no use of going long. More over price was facing resistance in moving up. So next possible move was downward only and I would have gone Short as per system.
Going long again after 3 PM I would have avoided.
If you are having basic knowledge of 60 minute flow or Miniflow it is helping a lot in taking the decision.
What I am astonished to see that all the system are good. If they are giving early entry your exit will be also early. Mostly there is a difference of 10 or 15 points.
System helps in taking the decision. It helps in taking the decision fast.
The best help is it keeps you out of doubtful trade.
So test your system, test the time frame. Enter only when you are full confident and enter with full qty. Exit early as per trendline and be happy.

 

[Shreenath]

Linkon,
YOu had asked for my feedback a few days back and here it is but a few questions...

1. What's your win-loss ratio when you back tested it?
2. What's the average risk to reward ratio, theoretical for now....?
3. Knowing the average risk and reward you can gain with the trade, do you FEEL it feels easier to get in the zone to trade this pattern? That means you execute with no hesitancy...you exit with no qualms.......and more importantly you let your trailing stop work........

Some of the problems you have mentioned elsewhere trading this pattern may become clear or be resolved if you get clear with the above three questions.

Now to my opinion FWIW,
1) 1-2 min time frames appears to be so, so small...your mind will constantly be on the run. Maybe you should consider back testing higher time frames......your risk might go up but you can create some flexibility to walk away from the pc every 20 mins. Day trading doesnt mean you have to be in front of the pc all day. When you sit in one place for more than half an hour, your awareness starts to dip....and with a setup so short in terms of time,.....you will always wonder the consequences of moving away from the screen......the seminar I mentioned about in my other thread....did mention about the NECESSISTY for day traders to walk away from the pc every 20 mins to 30 mins.....among OTHER things. So regular break is a must....so why not design a time frame that will help you accomplish this automatically.....?

2. I'm very picky about visuals....you could try to experiment with various back ground and find something lighter and make it easy on your eyes. A dark background with such bright chart is too much of a contrast......this isn't a biggie if it floats your boat......heck sometimes I change my chart background every now and then to keep me aware of things I might miss because we tend to become complacent with the same thing over a period of time.......

If there's anything else that comes to my mind will let you know
Regards
Shreenath

I have been trying to develop a system for some time now.

I have been experimenting with Ichimuku to simple ema cross over to very complex systems like Kwikpop and other recommended systems by friends and well wishers. Somehow, when i back tested them, all system gave beautiful results. Very high strike rate for most system. But when it came to execution of these systems, things fell flat on the face.

The problem was not with the systems. It was with myself. Unless i developed a system i can fully rely on, i wont be able to feel the comfortable holding on to a trade. There will always be fear or greed or hope. I cant dehuman myself. Then the only way out is to keep it simple and stupid. Something that i can trade without thinking.

System tells me loud and clear with blue bars to buy and with red bars to sell and tells me where to place my stoploss. So all i have to do is go through the motion of trade like a machine and law of average will take care of the profit. No discretion - no brain work.

My system

Its a trend following system. Its built on ema of 5,13,21,34,55 and 89. They are the Fibonacci numbers that play a very vital role on our trading life. These ema form the cloud that tells me if the trend is bullish or bearish.

I have plotted at 25 ema of the HIGH and LOW and this acts as my entry trigger and my stoploss.

If prices trade above the 89 ema (of the close) then it's considered bullish and conversely, if it trades below the 89 ema then its bearish.

The rules are :

ENTRY

LONG : close of the bar is above the band and above 89 ema.
Trailing Stoploss : lower band or 89 ema (if you are in deep profit and you want to ride the whole trend.)

Target : ride till stoploss is hit.

Visual indication : The cloud is blue and the bar is blue.


SHORT : close of the bar is below the band and below 89 ema.
Trailing Stoploss : upper band or 89 ema (if you are in deep profit and you want to ride the whole trend.)

Target : ride till stoploss is hit.

Visual indication : The cloud is red and the bar is red.

Time frame : any time frame. I prefer 2 min.

 

[praveen taneja]

Rk Global charges way less brokerage. Dont want them to run out of business, hence leaving something on the plate for them always...!

Dont want to go broke by going back to my other broker....!

I trade mostly in Religare and they charge me 30paisa for delivery and 3 paisa for intraday and around 115Rs per lot buy sell in option n nifty

 

[columbus]

as per crninda

Daily trend of the market is up.
Clearing is over and market is now expected to resume its rise, so the readers who sre long in Nifty bought on 16th July may go on holding them till the trend does not turn to down.
______________________________________________
Percentage above support
Percentage of stocks above support is more than 50% so the long term investors who have created positions in deliveries may hold them till the percentage support remains more than 50%

__________________________________________________________________
Strong Futures
This is list of 10 Strong Futures: DCHL, Patni, MPHASIS, GSPL, Tata Motors, Rolta, Jindal Saw, RECL, Bharat Forg & Maruti
Weak Futures
This is the list of 10 Weak Futures: EKC, SunPharma, ABB, Reliance, RPL, BRFL, IVRCL Infra & National Aluminium

ESSDEE Aluminum appears to be good LONG term scrip.

 

[linkon7]

I trade mostly in Religare and they charge me 30paisa for delivery and 3 paisa for intraday and around 115Rs per lot buy sell in option n nifty

breakeven of nifty is 1.75 points and for options is 0.85 to 1 Re....

 

[praveen taneja]

breakeven of nifty is 1.75 points and for options is 0.85 to 1 Re....

with ur brokerage or mine???????????

 

[linkon7]

with ur brokerage or mine???????????

with 3 paisa, breakeven in NF work out 4.5 points in your case. mine is 1.7