SH's 315 Strategy - how to use if effectively

[Baloon]

Guys, do we take our profit only when its not going to touch the 3EMA. This is supposed to be a whipsaw and has given ~85 points profit. What do we do?

How do you know this is supposed to be a whipsaw?

 

[achopraa]

How do you know this is supposed to be a whipsaw?

Not predicting but based on past experiences as mentioned all over in the thread. Anywhich way, not supposed to confuse other members. Still Holding the SHORTs.

 

[Baloon]

Not predicting but based on past experiences as mentioned all over in the thread. Anywhich way, not supposed to confuse other members. Still Holding the SHORTs.

I think best is to stick to the system.. It is easy to take profits but hard to ride profits..

 

[tradingcues]

Dear SH,
How cud u enter Shorts at 5155 on 14 Nov before the EOD candle for 14 Nov is not yet completed.

As per your 315 Strategy, the Rule for Short entry states that:

(a) You wait for a candle to close below 15 EMA. (yes, it happened on 11 Nov.)
(b) Next candle to open and see if 15 EMA is above 3 EMA or not. (decision to be taken on 14 Nov)
(c) If the answer is 'Yes' you go Short.

My doubt is, on the next day (14 Nov) when the market opens, how can we determine the condition (b) in Intraday market?

Regards.

 

[Tradewithhunter]

Dear SH,
How cud u enter Shorts at 5155 on 14 Nov before the EOD candle for 14 Nov is not yet completed.

As per your 315 Strategy, the Rule for Short entry states that:

(a) You wait for a candle to close below 15 EMA. (yes, it happened on 11 Nov.)
(b) Next candle to open and see if 15 EMA is above 3 EMA or not. (decision to be taken on 14 Nov)
(c) If the answer is 'Yes' you go Short.

My doubt is, on the next day (14 Nov) when the market opens, how can we determine the condition (b) in Intraday market?

Regards.

Apologies and I agree its confusing. I dont know why I wrote 'wait for next candle to open' 3 years back....maybe I wanted to emphasise on the fact that we need to ensure the current candle has closed so that we dont end up taking a pre-mature entry.

The actual rule is to take entry 2-5 minutes before current day's candle closes..hence entry to be taken on same day when crossover is complete.

Cheers

 

[manoharpillai]

I am trying to figure out the best possible way to trade this great trading system and to avoid whipsaw i am on with some method once i back test it successfully i like to bring it out... may take some weeks... 315 in itself is excellent trading tool no dispute hats off to the founder

 

[timepass]

I am trying to figure out the best possible way to trade this great trading system and to avoid whipsaw i am on with some method once i back test it successfully i like to bring it out... may take some weeks... 315 in itself is excellent trading tool no dispute hates off to the founder

The strategy yields more with the whipsaws because there are minor trends within the larger trend. If you are looking for a single trade on crossover and stop-and-reverse on the opposite side, you may find a trade with lesser headache of maintaining, but also with lesser points.

 

[manoharpillai]

The main problem in any trade is how to maximize profit and exit at minimum lose for example as per yesterday's trade one should have be in short position as per cross over but today just after opening market showed some promise of going up and did tested 5180 (15-11-2011) ..... agreed as per the 315 strategy the stop should have been at 5240 at 3.25 pm (and 3 ema at 5195 15 ema at 5214) for an impulsive trader who went short say at around 5180 yesterday as per the close would have been at the edge to cover his/her position i think in combination of some more technical in put this could be solved also one can minimize lose and can extend the profit to maximum level .
I hope all of our efforts might add to the glory of this technique

 

[rkkarnani]

The main problem in any trade is how to maximize profit and exit at minimum lose for example as per yesterday's trade one should have be in short position as per cross over but today just after opening market showed some promise of going up and did tested 5180 (15-11-2011) ..... agreed as per the 315 strategy the stop should have been at 5240 at 3.25 pm (and 3 ema at 5195 15 ema at 5214) for an impulsive trader who went short say at around 5180 yesterday as per the close would have been at the edge to cover his/her position i think in combination of some more technical in put this could be solved also one can minimize lose and can extend the profit to maximum level .
I hope all of our efforts might add to the glory of this technique

Its a laudable effort to maximise returns in this simple strategy... but I fear Manohar that in trying to maximise we might loose the simplicity!!! My personal opinion is that we should try to maximise without using further "Technicals". As it is the entry and add rules make this strategy quiet strong!! In my view we should aim to make the strategy more 'comfortable' to adhere to the rules. Most of us here are afarid of the whips.. how to overcome or minimise it... I know discipline is the key but what else!!
Look forward to more inputs from all who are using it!! Will be good if we can start a New thread and let the original remain original!!!

 

[rkkarnani]

Starting a new Thread and request SH to give his views there too on the tweaks suggested by others :

SH's 315 Strategy - how to make it more comfortable and profitable!!

http://www.traderji.com/technical-analysis/62601-shs-315-strategy-how-make-more-comfortable-profitable.html