SH's 315 Strategy - how to use if effectively

[Tradewithhunter]

Dear all,

After several years of using this strategy, I am making a small change in the rules to reduce whipsaw trades significantly. Please note this change is to reduce whipsaw trades but not to eliminate it completely. However this simple change should reduce fake crossover trades by almost 50% or more.

The flip side though is that it will delay the entries/exits slightly and reduce profits marginally on profitable trades but I would rather have more 70% profitable trades (with less average profit points per trade) instead of having 50% profitable trades with slightly higher profit points on them.

The change is simple:

Previous rule of entry : enter when 315 crossover is confirmed at day end.

New rule of entry : enter only when the highs (in case of bullish crossover) or lows (in case of bearish crossover) of the crossover candle are taken out. Do not stop and reverse until high/lows of the crossover candle are intact.

Cheers
SH

 

[anilnegi]

Dear all,

After several years of using this strategy, I am making a small change in the rules to reduce whipsaw trades significantly. Please note this change is to reduce whipsaw trades but not to eliminate it completely. However this simple change should reduce fake crossover trades by almost 50% or more.

The flip side though is that it will delay the entries/exits slightly and reduce profits marginally on profitable trades but I would rather have more 70% profitable trades (with less average profit points per trade) instead of having 50% profitable trades with slightly higher profit points on them.

The change is simple:

Previous rule of entry : enter when 315 crossover is confirmed at day end.

New rule of entry : enter only when the highs (in case of bullish crossover) or lows (in case of bearish crossover) of the crossover candle are taken out. Do not stop and reverse until high/lows of the crossover candle are intact.

Cheers
SH

Sh Bhai

pls

if possible pls explain with an example of the same, moreover, pls tell us some of the stocks you trade with this pattern or are more accurate to trade with this 315

thanks
anil negi

 

[Sammy.Young]

Yes a chart speaks thousand words....pl explain Alchemist SH sir

 

[Krushna]

Hi SH,
please see if I have understood it correctly:

New rule of entry : enter only when the highs (in case of bullish crossover) or lows (in case of bearish crossover) of the crossover candle are taken out.

Bullish EMA crossover happened. The next day ( or may be at a later day) the high of the crossover candle was broken at anytime during the day, so I went long.

Do not stop and reverse until high/lows of the crossover candle are intact.

Now that I am long, what if the high of the entry bar is cracked on the downside on the same day? And you say "Do not stop and reverse until the high/lows of the crossover candle are intact." -- this is confusing a little bit -- as in the case I have said, if the high of crossover candle is broken to the downside after giving a long entry, do we "stop and reverse" without waiting for EMA crossover to the downside?

Regards
Krushna

 

[prst]

Dear all,

After several years of using this strategy, I am making a small change in the rules to reduce whipsaw trades significantly. Please note this change is to reduce whipsaw trades but not to eliminate it completely. However this simple change should reduce fake crossover trades by almost 50% or more.

The flip side though is that it will delay the entries/exits slightly and reduce profits marginally on profitable trades but I would rather have more 70% profitable trades (with less average profit points per trade) instead of having 50% profitable trades with slightly higher profit points on them.

The change is simple:

Previous rule of entry : enter when 315 crossover is confirmed at day end.

New rule of entry : enter only when the highs (in case of bullish crossover) or lows (in case of bearish crossover) of the crossover candle are taken out. Do not stop and reverse until high/lows of the crossover candle are intact.

Cheers
SH

Great suggestion.
One confusion though.
Does the high of candle refer to the wick of candle?
does the next candle have to close above the wick of crossover candle?

 

[Krushna]

does the next candle have to close above the wick of crossover candle?

I dont think he meant candle has to close above the wick of the crossover candle. Let us see what he replies.

 

[Tradewithhunter]

Candle includes wick .... basically the day when the bullish crossover happens, the high of the day are to be breached next day to trigger longs.

If 315 gives bearish crossover, then the lows of that day need to be breached in coming days to trigger shorts.

Just a breach by 2-3 points is enough, closing is not a criteria.

Cheers
SH

 

[timepass]

Candle includes wick .... basically the day when the bullish crossover happens, the high of the day are to be breached next day to trigger longs.

If 315 gives bearish crossover, then the lows of that day need to be breached in coming days to trigger shorts.

Just a breach by 2-3 points is enough, closing is not a criteria.

Cheers
SH

In another variation, Santhosh had recommended using 315 crossover for signal generation and 3ema(high) and 3ema(low) for trade trigger.

 

[Sammy.Young]

In another variation, Santhosh had recommended using 315 crossover for signal generation and 3ema(high) and 3ema(low) for trade trigger.

pl share the link of this strategy...tks ! :thumb:

 

[timepass]

pl share the link of this strategy...tks ! :thumb:

Will take too much effort to search, sammybhai. Please search for posts by santhosh2010. He is banned currently, but his older posts should be there ?