Thoughts on Day/Swing Trading Part 2

[augubhai]

Thinking of closing this thread soon...

Smart_trade

Thanks for being such a good teacher.
Looking forward to more threads from you...

 

[Raghuveer]

ST Da,
Please don't close this thread. I just began reading this thread .
If the load on you is too much maybe others do not mind sharing a bit of this load .

 

[friendforevers0007]

Dear st sir

swift or flow method of trading doesn't talk about target but looks at just being with the flow and rely on SL. Can suggest something on targets.. and not to wait for SL to hit.whats your own approach for collecting profit.. so that one will not be leaving too much of profit on the table for market to take it back from u. I searched for the same and find a method relating to profit taking is AB=CD method on net which will give some clue about target of currrent wave (CD) , based on prev wave (AB) . if you are aware about this too can you share your views about profit taking

 

[augubhai]

Dear st sir
I searched for the same and find a method relating to profit taking is AB=CD method on net which will give some clue about target of currrent wave (CD) , based on prev wave (AB) .

for a method with similar targets, search TD Trendlines from deMark on the net. The material is free.

 

[Smart_trade]

Dear st sir

swift or flow method of trading doesn't talk about target but looks at just being with the flow and rely on SL. Can suggest something on targets.. and not to wait for SL to hit.whats your own approach for collecting profit.. so that one will not be leaving too much of profit on the table for market to take it back from u. I searched for the same and find a method relating to profit taking is AB=CD method on net which will give some clue about target of currrent wave (CD) , based on prev wave (AB) . if you are aware about this too can you share your views about profit taking

I never use fixed targets for booking profits.I use TDST, Power of 9,earlier supports/resistances , End of the Move bar,and buying/selling pressure ( Al Brooks) to book profits.

Smart_trade

 

[VIKAS 21]

http://www.traderji.com/swing-trading/40202-trading-ranges-3.html

Very nice way of trading Breakout failure explained by mr veluri ........

pl. go through the link....

 

[VIKAS 21]

http://www.traderji.com/day-trading/37029-trading-price-rejections-fakeouts.html

one more beautiful method to refine breakout failures......

we can add it as an added indicator with smart sir's suggested rules to us....

 

[Gaur_Krishna]

ST Da,

Thanks for a great thread from a great teacher like you. :thumb:

This thread you have thoroly discussed Day Trading aspect. I have some queries for Swing trading before this closure of thread:

1. Have you covered Swing trading on EOD basis somewhere in this thread?
2. Can this Day trading logic of "Trading in line with Higher TF" work for swing on EOD basis? I guess not as it becomes pretty late if we use wkly chart as higher TF for daily. Plz comment....
3. What are the excellent set ups for swing trades on EOD basis?

Thanks & regards,
Gaur_Krishna

Thanks for being such a good teacher.
Looking forward to more threads from you...

 

[Smart_trade]

ST Da,

Thanks for a great thread from a great teacher like you. :thumb:

This thread you have thoroly discussed Day Trading aspect. I have some queries for Swing trading before this closure of thread:

1. Have you covered Swing trading on EOD basis somewhere in this thread?
2. Can this Day trading logic of "Trading in line with Higher TF" work for swing on EOD basis? I guess not as it becomes pretty late if we use wkly chart as higher TF for daily. Plz comment....
3. What are the excellent set ups for swing trades on EOD basis?

Thanks & regards,
Gaur_Krishna

Thanks for the kind words, Krishna....

1) Most of the times I have discussed daytrading in this thread but the basics are same even for swing trading.

2) Trading in line with higher timeframes is called " Multiple Timeframe" trading and is a very sound concept.For swing trading you can consider hourly bars in the direction of daily bars or even 15 min bars in direction of hourly bars. If one can find small,medium and large trends on same trimeframe, it is great but most people will find it difficult to visualise three trends on one timeframe and hence multiple timeframes give better trades.

3) The following setups are important for swing trading :

a) Re-test of swing low/high

b) Rejections and failures

c) The trend change and deciding the exact point where the trend changes.

d) Trending and sideways phase in any trend.

e) Various stages of a trend

The basics of daytrading and swing trading are same in my view except in daytrades you have to be much faster and the margin of error is very thin. Also profit booking is more important in daytrades than it is in swing trades as in daytrades profits tend to evaporate fast so it is a very delicate balance between taking profits and letting it run.

Smart_trade

 

[VIKAS 21]

Excerpts from albrooks.....( climactic exhaustion bars or EOM BARS)

Although most large trend bars that are with the trend are strong, if a bar is unusally large , it often represents climactic exhaustion, for example in a bull market it often means that last buyer have bought, if there are no more buyers the market will go own, any standard reversal setup can serve up as a signal bar, but a second entry with strongest reversal bar is the safest setup when trading countertrend.