I have few suggestions as below:-
1. generally we exit if 3 EMA is not touched by the candle. Suggetion is to exit only if low of that candle (whose 3 EMA is not touched) is breached next day. This will be "Effective 3 EMA exit" like "Effective Add". Can we backtest this?
2. One suggestion RKK has given to enter only after breaching of high/low of crossover day candle. Is it simply breaching of high/low or close above/below high/low to make it valid. What is the difference in the results if use any of this?
Kindly opine.
Seems I have missed some Post directed at me. Let me say this once again:I do not trade 315 strategy as it is mentioned here!! But in a few strategies that I had a look into it did help to improve the results on taking entry above / belowthe high low with some appropriate filter!!! As said earlier I feel that there is an element of discreation in such set up hence the results may vary from person to person. But to get a general idea I suggest 2 alternatives :
01. Say we get a Long Cross on 2nd Dec. with high at 5094. On next trading day if market opens up with a gap we enter Long above first 5 minutes high Plus filter. If market opens within the range of 2nd Dec we enter Long above 5094 the High of 2nd Dec +Filter.
02.Say we get a long cross on 2nd December with a high at 5094. On Next trading day the TF of the chart is changed from EOD to lower timeframe (intraday) and a Long position is entered when we get a Signal which can be based on 315 or some other strategy one is comfortable with. If this long continues in our direction and High of 2nd Dec is breached with filter we carry long positions otherwise exit the same either on a Short signal in lower TF or at close of the market. (It happend on 5th Dec, Long entry was there around ~5038 as per Lower TF but the same did not cross 5094 hence was exited at close.)
Another thing that we can check is that would it help if we exit the Short and do not enter the long on the day of crossover and then follow either of the above 2 suggestions.
Exiting on 3EMA not touched is again a bit discreationary. Someone had pointed out how on different occassions SH had alsotaken different acions on3EMA non touch and I believe this has to happen. However eye balling the charts I did observe it helps if we can incorporate the "opening levels' while taking the exit decision on 3EMA not touching. Say we are Long, Market opens up with a gap. 3EMA is not touching the Price. Instead of simply exiting we just note the 3EMA level and exit only if the first 5 minutes low (or 10 or 15 minutes, we needto check) is broken by a filter. If it does not and mkt continues to move up we hold on to our long position.
Also in case of the New suggestion by SH two observations seem to add a bit more strength to the strategy :
01. We are long , 3EMA value drops on two consecutive days. We exit only when the low of these two bars where 3EMAvalue droppedis breached otherwise we continue to maintain our Long.
02. We are long, 3EMA value drops for a day and the next day also the 3EMA value is lower, but the difference is very very small we ignore it. GKPC had tried to make an excel Sheet based on this ,I request him to kindly shre the same here or share the parameters on which he made it. If I remember it correctly GKPC said that the 3EMA must move by atleast 0.05% of the close to consider it as a valid adverse move.
