Pivot Based Trading - 1:2 risk reward ratio (Risk less Profit more)

[radha55]

this method sounds great radha.can you please post some backtest results?
thank you

I dont have any backtest result.

I am very lazy and hence could not take much effort to note everyday.

However i m putting the Nifty Futures position here since last 2-3 weeks.

You can do paper trade for some time and then enter market.

 

[radha55]

hi,
i m very new to "traderji" but dont know pivot caculation for stock 's resistance and s/l. can anbody pls tell me with example of any stock price ex RNRL cmp 52.45 eg.
waiting eagrly...
thanks in advance.
S.Kumar

You can read first post of this thread if you really meant to understand this theory.

For your RNRL query lets say you start trading today 8th April 2009.
To begin, you will calculate Pivot using this system.
To calculate you will need previous day high, previous day low and previous day close.

Now enter this three value on the website mentioned in first post, you will get all Pivot values.
H:53 L:48.85 C: 52.25

Pivot: 51.37

Today, you will look at the price of RNRL at 10:30 am.

Today at 10:30 am it was 50.50 - 51.50.

Now as per rule this value is very close to Pivot (+/- 0.02%).

So as per rule we should buy only above R1 and sell below S1.
R1: 53.89 S1: 49.74

We buy at 54 (11:00 am)
0.75% Target = 54.405 (achieved in 5 min)
1% Target = 54.54 (achieved in 5 min)
2% Target = 55.08 (achieved after 2 hours)

But trade in high price stock.

Hope you were asking about this system only.
If i didnt answered ur question, sorry....

 

[doctorrahul]

here are some pivots for Monday 13-04-2009 trading in equities.


NAME PIVOT S2 S1 R1 R2


RELIANCE 1736 1673 1704 1767 1798

SBI 1138 1089 1115 1163 1187

ICICIBANK 390 359 378 409 421

L&T 829 783 807 854 876

 

[radha55]

Hi Radha,

is your system only for Nifty or can it be used for MCX also ?

I didnt tried with MCX.

I infact dont know what MCX is.

But i am sure this system will work in Equities, Futures, Commodities, Forex.

 

[radha55]

Today no calls got trigerred for April Nifty Futures.

Price remain between S1 and Pivot.

For all those who want to know how this system works please refer to the first post of this thread.

 

[radha55]

here are some pivots for Monday 13-04-2009 trading in equities.


NAME PIVOT S2 S1 R1 R2


RELIANCE 1736 1673 1704 1767 1798

SBI 1138 1089 1115 1163 1187

ICICIBANK 390 359 378 409 421

L&T 829 783 807 854 876

Good to see the initiative taken by you. But why not R3 and S3. Have u calculated using this method or some other method.

 

[doctorrahul]

PIVOTS FOR 13-04-09 EQUITIES


Name pivot s3 s2 s1 r1 r2 r3



reliance 1736 1642 1673 1704 1767 1798 1829

sbi 1138 1066 1089 1115 1163 1187 1212

icicibank 390 347 359 378 409 421 440

l&t 829 761 783 807 854 876 901


happy trading !!

 

[columbus]

PIVOTS FOR 13-04-09 EQUITIES


Name pivot s3 s2 s1 r1 r2 r3



reliance 1736 1642 1673 1704 1767 1798 1829

sbi 1138 1066 1089 1115 1163 1187 1212

icicibank 390 347 359 378 409 421 440

l&t 829 761 783 807 854 876 901


happy trading !!

The above data using # symbol (third symbol from RIGHT on edit panel)
will look like this:

Name       pivot    s3    s2    s1    r1     r2    r3



reliance    1736     1642  1673 1704 1767 1798   1829

sbi          1138       1066   1089 1115 1163 1187   1212

icicibank    390      347     359   378   409   421    440

l&t             829       761    783    807   854   876   901

Certainly it is better looking one.

 

[doctorrahul]

Many thanks Columbus for technical help. this really looks nice.

 

[radha55]

Hi,

I have completed the small version of the tool which gives you Support and Resistance And Pivot for next day.

I am attaching the tool in a zip file.

You will need to follow the below steps to use it.

1. Extract the zip file. Copy the pivot-Trading.htm file at your preferred location.
2. Open the pivot-Trading.htm file. If IE says, popup blocker, you need to click on the popup blocker and select allow blocked content. (This is optional. If you use XP and if your popup blocker is enabled, you will get this message.
3. Now select the 10 scrips or less of your choice which you wish to watch.
4. Click on the start button.
5. Once you click on the start button it will take 5 seconds to calculate all prices and show it in other page.
6. If you get the message "An activeX control on this page might be unsafe."
Select "Yes" option. The activeX control is required to read the prices from bhavcopy.
7. If you wish to watch some other scrips during the day you can select those scrip from (pivot-Trading.htm) file and click on Start button.
8. You will also need to copy the nse bhavcopy from nse website
http:// www.nseindia.com/archives/archives. htm (remove space)
9. Save the bhavcopy at C:\ drive and rename it to nse.csv.

The tool is capable of doing only below things.

1. The tool now calculates prices for selected scrips. You will have to select your wish of 10 scrips out of them. (Total scrips added are 47 - mostly traded scrips.)
2. This tool has a dependency on nse equity bhavcopy. (you need to download it and save it at C:\drive with name as nse.csv.
3. No dynamic alerts are shown at present. I am working on it and will try to do this in few days.
4. You can select only 10 scrips at a time because if you select more scrip, the performance gets affected.

I am attaching the new zip file also. The difference between this new file and old file is, this new file can calculate prices for camarilla system as well. There is already one thread in this forum which speaks about camarilla based trading. There is no other difference between these two zip files.