Stocks To Keep A Close Eye On

[docvijay4u]

Captain, What Is Happening To Market. Will You Please Throw Some Light? Among My Position Hindalco, Idea, IOB, Satyam, YesBank; S/L For Idea Is Executed. Rest Are Pretty Close.

Bought WockLtd Around 98.70 Holding With Tight SL 88.70.

Thanks.

 

[SavantGarde]

Hi Doc,

Market Has Been Running Very Hard, It Has To Consolidate, Remember I Don't Have Anymore Stocks In My List To Give BUY Trigger

Happy & Safe Trading

SavantGarde

Captain, What Is Happening To Market. Will You Please Throw Some Light? Among My Position Hindalco, Idea, IOB, Satyam, YesBank; S/L For Idea Is Executed. Rest Are Pretty Close.

Bought WockLtd Around 98.70 Holding With Tight SL 88.70.

Thanks.

 

[sameerspjcm]

Hi Savant

I am a newbie to this arena of trading. I found this thread yesterday itself and since then trying to understand the gyan floating around here right from page-1.

In the beginning, you had given the following info about ur strategy:

Query Analysis Report At Close Of Date: 08/06/2007

Files Group : StockList.TXT Output File :SimpleQuery08062007.TXT
Conditions For Query : Price > 20, Price < 5000,Tot.Val > 20 lac.
ROC Days : 3 (Bullish, > 0 ) RSI Days : 9 (OverBought, > 80 )
MACD Days : 5 (Bullish, > 0 ) Stoch : 5, 3, 3 (OverBought, > 80 )

I understand these indicators and m able to create their graphs using the stated numbers as frequencies/intervals.

Now the question is whats the filter used to seperate chaff from wheat?
Kindly explain.

Regards
Sameer

 

[SavantGarde]

Hi Sameer,

Wow..! You Have Really Dug Through The Thread....

That Was Actually In Response To Another Thread....Don't Remember It Now But It Was Regarding ROC, RSI & MACD

Since You Understand, It Is In The Public Domain & I Am Sure You Understand RSI, ROC & MACD How They Relate To Each Other & At What Point It Is Bullish or Otherwise.... But Has Nothing Really To Do With BUY & SELL Triggers That Has Been The Topic Of Discussion Recently Here In The Thread.

Happy & Safer Trading

SavantGarde

Hi Savant

I am a newbie to this arena of trading. I found this thread yesterday itself and since then trying to understand the gyan floating around here right from page-1.

In the beginning, you had given the following info about ur strategy:

Query Analysis Report At Close Of Date: 08/06/2007

Files Group : StockList.TXT Output File :SimpleQuery08062007.TXT
Conditions For Query : Price > 20, Price < 5000,Tot.Val > 20 lac.
ROC Days : 3 (Bullish, > 0 ) RSI Days : 9 (OverBought, > 80 )
MACD Days : 5 (Bullish, > 0 ) Stoch : 5, 3, 3 (OverBought, > 80 )

I understand these indicators and m able to create their graphs using the stated numbers as frequencies/intervals.

Now the question is whats the filter used to seperate chaff from wheat?
Kindly explain.

Regards
Sameer

 

[sameerspjcm]

Hi Savant

I am really delighted looking at the quick reply.

Actually, the previous question stems from another doubt in my mind. I have gone through all the pages in this thread trying to pick up the gyan scattered in between the recommendations and discussions.

I understood the SMA(5,6) and BB(9,2) concept. I tried running a query on my system using SMA(5,6) filter for BUY side but didnt get that crossover happening in last 2 days. So in cases when the markets move up for 7-8 sessions continuously, this might not throw new opportunities and i guess using other indicators will come to rescue.

I wish to understand how to use the indicators like RSI, MACD, Stocs when SMA doesnt work!

Not sure if my doubt makes sense

Regards
Sameer

 

[sameerspjcm]

Hi Savant

I tried running SMA(5,6) looking for fresh opportunitues this morning but it did not show any new stock.

I felt other indicators might come handy in those cases. I am wondering how to use other indicators like RSI, MACD etc. to pick stocks which escape from SMA(5,6) fishing net.

Regards
Sameer

 

[docvijay4u]

Ok. Other Way Round When Most Of S/L's Executed Then It's Due To Consolidation. Just Kidding Captain

Don't Know Much About Consolidation, Well I Know The Word But What It Is Doing In Stock Market? Let Me See....

Thanks.

Hi Doc,

Market Has Been Running Very Hard, It Has To Consolidate, Remember I Don't Have Anymore Stocks In My List To Give BUY Trigger

Happy & Safe Trading

SavantGarde

 

[vicky_ag]

Hi Sameer,

Wow..! You Have Really Dug Through The Thread....

That Was Actually In Response To Another Thread....Don't Remember It Now But It Was Regarding ROC, RSI & MACD

Since You Understand, It Is In The Public Domain & I Am Sure You Understand RSI, ROC & MACD How They Relate To Each Other & At What Point It Is Bullish or Otherwise.... But Has Nothing Really To Do With BUY & SELL Triggers That Has Been The Topic Of Discussion Recently Here In The Thread.

Happy & Safer Trading

SavantGarde

Savant Sir,

I have too much to learn from you. My knowledge might seems a nothing in front of you.
Can you throw some light on the relation between RSI, MACD and ROC?? Does it has something to do with the MA calculation involved??

 

[vicky_ag]

Hello Vicky,

Welcome!!! And Thanks For Participating In Discussion.

Ok, Here Is AFL Code:-

I. First Part:-

================================================== ==

_SECTION_BEGIN("Price MA BB");

Plot(MA(C,5),"MA C 5", colorRed,styleLine);
Plot(MA(C,6),"MA C 6", colorBlack,styleLine);
Plot(BBandTop( Close, 9, 2 ), "BBandTop 9 2", colorBlue,styleLine);
Plot(BBandBot( Close, 9, 2 ), "BBandBot 9 2", colorBlue,styleLine);
Buy = Cross(MA(C, 5), MA(C, 6));
Sell = Cross(MA(C, 6), MA(C, 5));

_SECTION_END();

================================================== ====

What Does It Tells?

a. Plotting SMA 5
b. Plotting SMA 6
c. Plotting BB 9, 2 Top
d. Plotting BB 9, 2 Bottom
e. Buy- where 5 SMA crosses 6 SMA
f. Sell- where 6 SMA crosses 5 SMA

Here I Didn't Find BB Array Method To Choose It As SMA( For Plotting Only, Nothing To Do With Trigger). But If You Use Above Code And Additionaly Check BB With Drag 'n' Drop Method Choosing Price Field With 'Average' You Will Get Exactly Same Picture. So I Think You Can Use It Safely. If I Find Any Update, I Will Definately Post It.

II. Second Part:-

Let Us Say We Want To Check Highly Liquid Stock Only(Of Course For B/S Trigger), You Can Use Following Code. Whatever Little I Know, It Uses Value(Vol.) For The Day You'r Scanning:

================================================== ==

_SECTION_BEGIN("Price MA BB");

Plot(MA(C,5),"MA C 5", colorRed,styleLine);
Plot(MA(C,6),"MA C 6", colorBlack,styleLine);
Plot(BBandTop( Close, 9, 2 ), "BBandTop 9 2", colorBlue,styleLine);
Plot(BBandBot( Close, 9, 2 ), "BBandBot 9 2", colorBlue,styleLine);
Buy = Cross(MA(C, 5), MA(C, 6)) AND V > 250000;
Sell = Cross(MA(C, 6), MA(C, 5)) AND V > 250000;

_SECTION_END();

================================================== ====

Here In This Case It Uses Value More Than 2.5 Lakh. If You Want To Adjust It Just Change 250000 To Desired Value.

III. Third Part:-

Let Us Say We Want To Use Average Volume For Last Five Days. Then Code Will Go Like This:-

================================================== ==

_SECTION_BEGIN("Price MA BB");

Plot(MA(C,5),"MA C 5", colorRed,styleLine);
Plot(MA(C,6),"MA C 6", colorBlack,styleLine);
Plot(BBandTop( Close, 9, 2 ), "BBandTop 9 2", colorBlue,styleLine);
Plot(BBandBot( Close, 9, 2 ), "BBandBot 9 2", colorBlue,styleLine);
Avg_vol = (Ref(Volume,-4)+ Ref(Volume,-3)+ Ref(Volume,-2)+ Ref(Volume,-1)+ Volume)/5;
Buy = Cross(MA(C, 5), MA(C, 6)) AND Avg_vol > 250000;
Sell = Cross(MA(C, 6), MA(C, 5)) AND Avg_vol > 250000;

_SECTION_END();

================================================== ====

Yes, You Guessed Right It Represents Average Volume For Last Five Days 2.5 Lakh. You Can Adjust This Value For Your Need As Mentioned In 2'nd Part.

IV. Fourth Part:-

If Signals Are Too Many. We Might Need To Stick To Only Stronger One. In Case Of Buy Trigger, Stock Which Closed Above Opening And In Case Of Sell Trigger, Stock Which Closed Below Opening Should Represent Some Strength Than Rest Other. If You Want To Filter Out This Way, Then Here Is A Final AFl Code:-

================================================== ==

_SECTION_BEGIN("Price MA BB");

Plot(MA(C,5),"MA C 5", colorRed,styleLine);
Plot(MA(C,6),"MA C 6", colorBlack,styleLine);
Plot(BBandTop( Close, 9, 2 ), "BBandTop 9 2", colorBlue,styleLine);
Plot(BBandBot( Close, 9, 2 ), "BBandBot 9 2", colorBlue,styleLine);
Avg_vol = (Ref(Volume,-4)+ Ref(Volume,-3)+ Ref(Volume,-2)+ Ref(Volume,-1)+ Volume)/5;
Buy = Cross(MA(C, 5), MA(C, 6)) AND Close > Open Avg_vol > 250000;
Sell = Cross(MA(C, 6), MA(C, 5)) AND Close < Open Avg_vol > 250000;

_SECTION_END();

================================================== ====

V. Fifth Part:-

You Can Always Switch Between Volume, Avg Volume , Open Close Filter. To Find Best Suited Way For You. I Think This Sums Up All Whatever I Know.

- Please Make Sure To Remove Dotted Lines, Code Is In Between Those Dotted Line. Then Go To Analysis > Formula Editor > Paste Code Here > Rename > Save. Now It Should Appear In Custom Folder.

- To Plot SMA And BB Just Drag 'n' Drop AFL File In Custom Folder To Graph. Please Check Rajendrani And PKamlesh Post From This:
http://www.traderji.com/amibroker/27489-help-need-afl-savantjis-system.html.

- If You Want Scan EOD Data For Trigger Then Go To Analysis > Automatic Analysis > Pick AFL > Select Date For Which You Want To Scan Data > Hit Scan. Aaha....!!! Now You Should See Triggers.

Now EveryOne Should Find It Easy To Use. Thanks To EveryOne Especially SavantJi, Dj,Rajendrani, PKamlesh For Guidance, Without Guidance Even Simpler Thing Becomes Difficult.

For Future Update And Easy To Find Code Please Check This Thread:- http://www.traderji.com/amibroker/27489-help-need-afl-savantjis-system.html

Thanks

Doc, thanks for the AFL. Doing that scan thing, does Amibroker scan through the database at the scan behest to give you buy and sell signals ??

Also, somewhere in this thread or maybe other, I think Savant Sir has said that he doesnt believe in volumetric trading. Maybe I am mistaken as my memory isnt so sharp.

Coming to the nifty going down. I think it has do with the Nifty being oversold for a quite sometime on RSI(14). You can check the chart attached.
With that being said,the golden entry rule fails on 2nd April as, it looks like a sell crossover but isnt.

 

[djsan007]

My god u guys r brillient.....
Friends can anybody tell me which is the best& free software.