SH's Intraday Strategy - ELH5

[linkon7]

August was very disappointing...

stats:
strike rate : 43%
net loss : 8 points after brokerage
40 trades... 17 positive
risk reward ratio : 1.27
agv profit : 14.4 after brokerage
agv loss : 11.3 after brokerage
expectancy : negative 15

System hit three 20 point stop loss... even though there were no major direction as such... there were instances where we exited and then prices resumed its trend... and we hit tgt...

this scenario highlighted on the box...we have to exit our shorts and reverse to long and get 2 bad trades while ideally it should been a fake up move...

bottom chart needs 3 bars to confirm a trend change which is a major deviation from SH's core concept...

 

[vikas2659]

Dear linkon7,

pl suggest sum changes in dis method..dis method i quite powerful..only we need is to filter out sum bad trades/unnecessary trades to increase the efficiency of dis system.u suggested use of dmis & adx.....pl elaborate with charts..wat if mdi is above pdi & adx value 17 or 18...

 

[Tradewithhunter]

rule says 2 consecutive close above the emah establishes the upward bias... retracement to the emal is the buy... I have added a 1 point filter to get rid of the borderline cases...


In the code 2 consecutive close above emah will give u a green color bar... green arrow will come when the emal is touched by the low... 20 points from the emal is the tgt and 20 point is the sl...

this is just the skeleton of the code.. will dress it up only after SH feels any modification is needed.

Dear Linkon,

Many thanks for your work on this strategy. I believe its a good system and needs some tweaks to make it more effective (ATR based targets, filter out sideways days by ADX etc).

Unfortunately, I am a swing trader and doesnt often have time to trade intraday or to track this method on daily basis to make more tweaks .... I am also naive in using advanced softwares like amibroker or metastock etc so that also limits my ability to create automated scans/backtest reports.

Please go ahead and experiment with your tweaks and share the results here ...I am more than happy to contribute by sharing my views on the suggested changes...

Cheers
SH

 

[lvgandhi]

August was very disappointing...

stats:
strike rate : 43%
net loss : 8 points after brokerage
40 trades... 17 positive
risk reward ratio : 1.27
agv profit : 14.4 after brokerage
agv loss : 11.3 after brokerage
expectancy : negative 15

System hit three 20 point stop loss... even though there were no major direction as such... there were instances where we exited and then prices resumed its trend... and we hit tgt...

this scenario highlighted on the box...we have to exit our shorts and reverse to long and get 2 bad trades while ideally it should been a fake up move...

bottom chart needs 3 bars to confirm a trend change which is a major deviation from SH's core concept...

Dear linkon
I have inserted your afl. I found that continuous buy occurs without sell even though sell targets are met in next few candles in between. Further why shorts were not considered?

 

[linkon7]

2 positive trades so far... 3rd trade under way...!

 

[linkon7]

Dear linkon
I have inserted your afl. I found that continuous buy occurs without sell even though sell targets are met in next few candles in between. Further why shorts were not considered?

bit confused...?
no shorts...?

 

[varun_alld]

Re: SH's Intraday Strategy - ELH5 !!!!!!!!!!!!!!!!!!!!!

stats:
strike rate : 43%
net loss : 8 points after brokerage
40 trades... 17 positive
risk reward ratio : 1.27
agv profit : 14.4 after brokerage
agv loss : 11.3 after brokerage
expectancy : negative 15

First of all thanks a lot to all the people who have started this post and kept it alive !!!!!

now ..... coming to the point .... i would like to thank "linkon7" for getting a very powerful indicator into the picture ... because when its a trending market --- all types of strategies give u profit --- it can be swing, positional or intraday --- but the main POINT is in sideways market you either square of at cost to cost price or suffer a few losses

if i share my experience i love swing trading and i have backtested many swing trading technique's on nifty futures last 5 years data and it gives u consistent profits as well ....

linkon if we talk about july2010 and august 2010 there was no trend in the market --- it was an absolute sideways market and thats the only reason why this startegy did not work out --- i tried to test 3 different swing trade strategies in those two months 1 gave me partial loss the other two were able to give me very less profits

so what we can do on this strategy is --- when we are in sideways market if indicators like ADX can minimise our loss --- that will really be a good boost to this strategy

can you test this strategy for a consecutive six months ??? -- lets say january to june 2010 and then july to december 2010 with this adx indicator --- then check the profits and then lets see --- IF this strategy can be used on a regular basis or not ???!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

thanks once again to all the senior members of this fourm who have really given a very good idea for intraday trading!!!!!

 

[linkon7]

system has just give a short bias... with a sell trigger at 5430...

going by the strength of the MA and the depth of the cloud... i will safely ingore the sell...

 

[linkon7]

Re: SH's Intraday Strategy - ELH5 !!!!!!!!!!!!!!!!!!!!!

stats:
strike rate : 43%
net loss : 8 points after brokerage
40 trades... 17 positive
risk reward ratio : 1.27
agv profit : 14.4 after brokerage
agv loss : 11.3 after brokerage
expectancy : negative 15

First of all thanks a lot to all the people who have started this post and kept it alive !!!!!

now ..... coming to the point .... i would like to thank "linkon7" for getting a very powerful indicator into the picture ... because when its a trending market --- all types of strategies give u profit --- it can be swing, positional or intraday --- but the main POINT is in sideways market you either square of at cost to cost price or suffer a few losses

if i share my experience i love swing trading and i have backtested many swing trading technique's on nifty futures last 5 years data and it gives u consistent profits as well ....

linkon if we talk about july2010 and august 2010 there was no trend in the market --- it was an absolute sideways market and thats the only reason why this startegy did not work out --- i tried to test 3 different swing trade strategies in those two months 1 gave me partial loss the other two were able to give me very less profits

so what we can do on this strategy is --- when we are in sideways market if indicators like ADX can minimise our loss --- that will really be a good boost to this strategy

can you test this strategy for a consecutive six months ??? -- lets say january to june 2010 and then july to december 2010 with this adx indicator --- then check the profits and then lets see --- IF this strategy can be used on a regular basis or not ???!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

thanks once again to all the senior members of this fourm who have really given a very good idea for intraday trading!!!!!

Its a momentum based system and its true test is when we have very little monemtum / direction. Just a addition of a simple filer can change the strike rate to above 50% the RR ratio is near 1.5 on a bad month.... so there is hope...

I do a bar by bar replay so my back testing is a bit more tedious but i get to see how the system behaves.

my plan is to test the sept-dec qtr next... and that should give enough confidence...
its a matter of few weeks before we can get a dependable filter...

 

[linkon7]

so far no regrets for not taking the short trade...

already have 3 posive treades from the system and avoided a bad one...!