SH's 315 Strategy - how to use if effectively

[rkkarnani]

RK JI
The time frame needs to be followed while observing 3 EMA is DAILY is it not ? If it so then one needs to give continuous screen time. Or you can suggest something else to reduce screen time. Thanks in advance. PR

I have been trying to find a solution to this problem for some time!! Have some vague thing in mind and shall try to share the same as and when I get some extra free time!! Thanks for bringing this up!!

 

[rajesh pawar]

Today Mini nifty high is 5047 and the opening 3ema was around 5070. I am waiting for 5070 to short. But if it continues to fall then 3ema kiss will be around 4990 mini nifty (i.e. 3 ema will touch todays high). Do we short at 4990 or wait for pullback to 5070 ?? If we do short at 4990 and market turns around then any close between 4990 and 5100 will end up with EOD candle not touching 3ema.

Rough calculations... don't get confused... sitting idle and waiting for a trade....

 

[srfelixmca]

Hi Rajesh

Might be Market can bounce back up to 5070. Yesterday also Market tried to bounce. US markets are down . So that it is showing down. If you want to buy, keep SL 4990.

 

[trader_boy]

We should have entered shorts yesterday when the value of NF was 5075...(which was the 3ema value when we booked profits)....or are we supposed to wait for 3ema touch todays eod candle(which sort of already did today when NF was trading @5020 but i guess we gotta wait till 3:25 to be sure because markets seem volatile)

 

[achopraa]

Today Mini nifty high is 5047 and the opening 3ema was around 5070. I am waiting for 5070 to short. But if it continues to fall then 3ema kiss will be around 4990 mini nifty (i.e. 3 ema will touch todays high). Do we short at 4990 or wait for pullback to 5070 ?? If we do short at 4990 and market turns around then any close between 4990 and 5100 will end up with EOD candle not touching 3ema.

Rough calculations... don't get confused... sitting idle and waiting for a trade....

Absolutely, I was about to post the same doubt.
Also, y'day I re-entered SHORTS at 5080 (which was the 3EMA value when I covered my SHORTS in the morning on non-touching of Candle).
Now, I knew (kinda) that today again while market opening the candle won't be touching the 3EMA, so covered the shorts again at 5036. The 3EMA value at that time was 5063.

So Ideally, as per strategy, I should re-enter either at 5060-5065 levels or at 3EMA touching today's candle, which ever is earlier.

QUESTION 1 Now, the problem is that if Market crashes, then as posted earlier, the 3EMA will touch the candle at 5050 (if the NIFTY FUT. value goes down to 5010). So should we enter SHORTS at 5010?

QUESTION 2 If it goes up, then ideally it has to touch the candle at 5090 which seems distant at the current moment. So if it doesn't touch till 3.25 PM, should I go LONGS as it will be 2nd day of candle not touching 3EMA?

QUESTION 3 If at all it manages to go UP till 5090, should we re-enter SHORTS?

Edit
This is what I am thinking of doing:
Wait till 3.25 PM. If candle is touching 3 EMA, enter SHORTS.
If it is not touching, Enter contra trade (LONGS) with target as 3EMA
Sounds Correct?
Edit End


Thanks.

 

[rajesh pawar]

Absolutely, I was about to post the same doubt.
Also, y'day I re-entered SHORTS at 5080 (which was the 3EMA value when I covered my SHORTS in the morning on non-touching of Candle).
Now, I knew (kinda) that today again while market opening the candle won't be touching the 3EMA, so covered the shorts again at 5036. The 3EMA value at that time was 5063.

So Ideally, as per strategy, I should re-enter either at 5060-5065 levels or at 3EMA touching today's candle, which ever is earlier.

QUESTION 1 Now, the problem is that if Market crashes, then as posted earlier, the 3EMA will touch the candle at 5050 (if the NIFTY FUT. value goes down to 5010). So should we enter SHORTS at 5010?

QUESTION 2 If it goes up, then ideally it has to touch the candle at 5090 which seems distant at the current moment. So if it doesn't touch till 3.25 PM, should I go LONGS as it will be 2nd day of candle not touching 3EMA?

QUESTION 3 If at all it manages to go UP till 5090, should we re-enter SHORTS?

Thanks.

Well said and questions nicely framed... Awaiting seniors to reply..

Sitting idle and glued to the screen was boring so therefore I have taken a contra long trade at 5020 mini nifty with target 5070 bcoz any way we expect a pullback upto 3ema to short.

 

[SACH2000]

Dear SH

Ii it right time to renter shorts at 5017, as candle appears to touch 3 ema.

waiting 4 ur response

 

[NTrader42]

Well said and questions nicely framed... Awaiting seniors to reply..

Sitting idle and glued to the screen was boring so therefore I have taken a contra long trade at 5020 mini nifty with target 5070 bcoz any way we expect a pullback upto 3ema to short.

Hello

I am trying to understand the 315 system, the basics are very simple, the adding to position when in profit and final exit and reverse is also simple enough.

The only grey area for me is this profit booking and re-entry.

We need to do exit full when the daily candle does not touch the 3EMA and re-enter on a pullback (touch), this is an ideal situation.

Just reading it, the above also looks quite simple but looking at various scenarios everyone is asking about on this thread looks like its not that cut-&-dry when implementing it, this will need some practice.

From whatever I have read on this thread (focus on posts by TwH) this full exit with profit needs to be done when during the day one feels the price is reaching extremes.

My solution will be I will try to book when the price has not touched the 3EMA line and the price is away from the 3EMA by about the distance of daily ATR.

For re-entry various scenarios are discussed on this thread, trying to learn from them, thanks for these discussions.

If some one can, please confirm my understanding about the position size on re-entry; ==> we re-enter with only the initial quantity and not the scale-ins, the scale-ins if any are booked for good and we get them in when we again get into a more profitable situation after the re-entry.

Thanks

 

[SACH2000]

i shorted NF around 5018 , as candle appears to touch 3 ema. now in profit. thanks to SH. 315 rocks :clap:

 

[rkkarnani]

Yesterdays Closing value of NF had a lot more difference than usual is in actual closing and 'weighted average' closing!! People using RT chart converted to EOD would get a close of ~5078 and people using EOD data would get the close ~5044.90 thus creating a difference in yesterdays 3EMA values!!!