Quadra Safe Trading Strategy - I

[Satyen]

SG
There is 3 type of market
1 Trending
2 Range Bound
3 Volatile
In My opinion it is very difficult to predict which market going to happen in next few session
If one know prior then in forum it self one can get good Trading strategies for each market.
You asked
why can't Traders be patient for a Trend to emerge....!!!
Let us took my own trading experience in last 2 months
I Lost more then 230 Pts in Nifty in Last two months using trend following system because of whipsaws
I expected a bounce back in nifty( up to the broke 200 daily MA and 5135 happened today)
My Trend following system gave sell in 5256 ( if I wait for a trend I would miss the trade)
OK If I Stopped Trading after a couple of whipsaws ( which cost 90 Points) and shorted @ 5125
Let us see the comparison
5256-5125-230= 99 Pts nett Loss
For Patient Trader Loss 90 Points
In this case there is no different between two
But most importantly I stayed along with the system even in very difficult situations which gave me very good confident on that system
If I stayed out side I may not shorted today Expecting some pull back in Monday
If Monday nifty goes down I would happy in both cases
If nifty jumps above 5135
In first case I wont much bother since my entry price is 5256
In second case I would feel some uncomfortable since my entry price is just 5125

I think I have answered your question

Hi SaravananKS

I want to share my views , as a trend trader we have only two option

1- Trending

2- Or Non Trending

We are only interested in Option-1 we will active to trade when there is a Trend

Again to trade the Trend we have two option

1- Reacting to a Trend

2- Or Expecting a trend

I think both approach are valid we decide according to our temprament

we may design a system which will tell us there will be a trend soon this will fall in option 2 catagory or

we will react after trend has already established which is option 1 ......

In my view Quadra is the catagory 1 system ....( I may be wrong )

in this system we will trade the trends after it has been established i.e

50 EMA slope decide the trend

then 3 wilder average get us into the established trend pointing the triger candle

This is my view on the system

 

[Satyen]

@ Gunsho (should I have written it as Shogun... ) & @ GSN The Flying Man ...

There is a lot of thought that has gone into Quadra as a System.....my research on Investing & Trading ...how things have changed in the last 60 years.....Cycles of bear & bullmarket... who benefited from such cyclical events....whether the events were created and then right upto present time in our markets with advent of HFT basically it is Goldman Sach from across the shores and some thought to scenarios in the Future....!!!

One thing, I am clear even HFT access to Retail Traders is going to be of no help......in changing their fortunes....!!!

Someday, will put my thoughts & observations in words...!!!

SG

Dear Sg Sir ,

Please do write a post or more about above mentioned thing .... this will help us enermously ...

we could know the thought behind the system etc.. we lesser mortal just waiting for a AFL with colorful buy/sell signal .....I know which will not help full following a system ......

please elaborate the thought process why you chose 50 EMA why the Wilders 3,5,8 period averages or Why Moving average at all .... why not something other than Moving average

You mentioned about cycle etc we just ( at least I ) know nothing of these things please please do write something on it ...

Hope i am conveying my feling to you ....

Regards

 

[SavantGarde]

Hi SaravananKS

I want to share my views , as a trend trader we have only two option

1- Trending

2- Or Non Trending

We are only interested in Option-1 we will active to trade when there is a Trend

Again to trade the Trend we have two option

1- Reacting to a Trend

2- Or Expecting a trend

I think both approach are valid we decide according to our temprament

we may design a system which will tell us there will be a trend soon this will fall in option 2 catagory or

we will react after trend has already established which is option 1 ......

In my view Quadra is the catagory 1 system ....( I may be wrong )

in this system we will trade the trends after it has been established i.e

50 EMA slope decide the trend

then 3 wilder average get us into the established trend pointing the triger candle

This is my view on the system

Hi Satyen,

Very True it does fall in Category -1 as outlined by you.....You see we allow the Market Makers to create a Trend & we jump in at an appropriate point as Market Followers, keeping our Risks in place hence the use of the word 'Safe'....for anticipating a Trend while there are tons of stuff already available....here at TJ and on Internet....I do have something in mind called Demand Bar & Supply Bar but we are still have some way before I start that Thread on DB&SB...!!!

SG

 

[SavantGarde]

Hi TP,

Please find the following Nifty 5 Min. GCI with Quadra Tweak for Intraday where the 13 WWMA is done away with and 50 EMA replaced by 21 EMA.... Let's not get carried away by the Chart posted below...because we just had a steady Grinding down on Friday.....!!!

We shall wait for another 10-15 sessions to put this through its initial paces....thereafter will start a new Thread only for Intraday.... while I have only GCI for Intraday.... somebody with Amibroker Charting with Intraday will need to post the charts for me to Annotate....!!!

SG

 

[nicktrader]

COPPER EOD 05-05-12

QUADRA with FIBO AND ELLIOT WAVE
Experts Comments Need...

I think u should rather look at International copper charts than the MCX copper charts. Because USD/INR fluctuations result in massive changes. and Copper dsnt behave as per MCX rates but on international rates. so it wud b better if u wud post ur analysis or predictions based on International rates...

 

[Satyen]

Hi Satyen,

Very True it does fall in Category -1 as outlined by you.....You see we allow the Market Makers to create a Trend & we jump in at an appropriate point as Market Followers, keeping our Risks in place hence the use of the word 'Safe'....for anticipating a Trend while there are tons of stuff already available....here at TJ and on Internet....I do have something in mind called Demand Bar & Supply Bar but we are still have some way before I start that Thread on DB&SB...!!!

SG

Thank you Sir ... yes was going to ask what is DBSB in next post but you wrote before mine .....

Even Pmed TP to know what does it mean searched but could not find

Any way comming weeks/months going to be great learning phase to us with your different threads

Thanks sir .... i missed before as did not know where was discussion going on

Waiting your new threads Sir

 

[SavantGarde]

I think u should rather look at International copper charts than the MCX copper charts. Because USD/INR fluctuations result in massive changes. and Copper dsnt behave as per MCX rates but on international rates. so it wud b better if u wud post ur analysis or predictions based on International rates...

Agree completely for Copper, Crude, Gold, Silver & NG we should follow the International Prices....!!!

SG

 

[SavantGarde]

Thank you Sir ... yes was going to ask what is DBSB in next post but you wrote before mine .....

Even Pmed TP to know what does it mean searched but could not find

Any way comming weeks/months going to be great learning phase to us with your different threads

Thanks sir .... i missed before as did not know where was discussion going on

Waiting your new threads Sir

Hi Satyen,

Did a few posts regarding DB&SB in ST's thread 'Thoughts On Day/Swing Trading.....that might give you a glimpse of DB&SB... let me locate the Posts....think Aditya has the posts bookmarked.....because he also did the AFL for it......and several posts done in ST's thread was merged together.....!!!

Satyen if you or anybody else doesn't stop addressing me as 'Sir' I am going to start calling you all 'Sir'.....

SG

 

[Satyen]

.........how things have changed in the last 60 years.....

After this statement about cycle research of 60 years .huh i dare not to go beyond 5/6 years of nifty data ....

and you have done research on the period which is around double the my age

then is it possible to call you anything other than Sir

Any away if you are not comfertable with Sir then will call with ' Ji ' etc

Hope you dont mind

 

[adityasaraf007]

Hi Satyen,

Did a few posts regarding DB&SB in ST's thread 'Thoughts On Day/Swing Trading.....that might give you a glimpse of DB&SB... let me locate the Posts....think Aditya has the posts bookmarked.....because he also did the AFL for it......and several posts done in ST's thread was merged together.....!!!

Satyen if you or anybody else doesn't stop addressing me as 'Sir' I am going to start calling you all 'Sir'.....

SG

It's Post No. 801... Link to the post...