Trading Nifty with Camarilla Pivots...!

[rajputz]

dear anonymous "loser"

kutha katega

wo bhi aaj kal bahut frustrated hai nifty se.. kuch bhi karega..

:d "kutha katega!!!"

 

[linkon7]

I'll do a frame by frame analysis of nifty from 1st september'09 to till time and energy permits...

Bar by bar manual back testing gives us a good insight about what and how to approach a system for live trading....

 

[veekay304]

I think keeping guppy count back out of this would be advisable. we can use that as additional confirmation, but we cant filer any trades using that. LIke wise fibonacci retracement and floor pivots too provide us guidance about direction and strength, but we will use them separately to give us additional info. Keeping the trading terminal simple and clear is very important. I would prefer using a colour to the top and bottom channel, as that dictates how we trade and is important for our profit expectation from the trade.

Cam levels are important and trade initiated between the levels of L3&L4 or H3&H4 gives us higher average profit to average loss ratio. Average range is also important. Day after a huge range expansion normally ends with false break outs. Break out of the H4 / L4 normally gives us a tgt of 0.5% on NF (70-80%) of the time. So that can be a target for partial profit booking.

Just some random thought on area of improvement.

Are we looking for long ONLY when price reaches above H3 (and below H4) or both long/short

same for L3

 

[linkon7]

1st September...!

previous day's high is 4708. H4 is at 4709.

We gap up, open at 4695 and it is also the low of the day so far. hit yesterday's high, and then next bar we open between the high and low of the previous bar.

trade : long at 4708
SL : 4695
lots : 2

CCI makes a dash for 200 plus slowly settles down. Price never closes below the channel and makes a hook at 11.05. we exit 50% of our positions here...

exit : 4737
longed at : 4708
lots : 1
profit : 29 points.
SL for balance : 4695

At 11.35, we have the second hookon cci, but the high made is much lower than the previous high. The divergence is a short signal, but since we are above the H4 levels, we simply exit the long at 4730 and avoid shorting.

exit : 4730
longed at : 4708
lots : 1
profit : 22 points.

at 12.10, bands go flat. price is still above H4. cci makes a hook and previous bar had touched the lower BB. So thats entry on the long side again.

entry : 4726
lots : 2
SL : 4720 ( low of the previous bar.)
tgt : opposite end BB

 

[linkon7]

1st September...contd...2

at 12.40, channel still remain flat. We have a hook in CCI. Opposite band touched at 4737, which was the exit for 1 lot and the hook ensured exit for the other at 4736 since bar closed below the top channel.

entry 4726
exit1 : 4737
exit2 : 4736
total profit : 11+10 = 21 points.

At 13.30, we have a Big B (wide bar) with 600% normal volumes. we place our entry trigger at 4697 (2 points above the LOD as plenty of SL will be placed at LOD and this might give us 10 points tgt for exit of 50% of total)

At 13.35, next bar fills our order

and at 13.45, we see huge volumes of 520%. at 4631 we exit 1 lot looking at the divergence in CCI. and hold the with SL of 4648 (H3)

At 14.20, price finally exits the lower channel and we exit the other lot at 4618.

trade : short @ 4697
exit 1 : 4631
exit2 : 4618
profit : 66+79 = 145

 

[linkon7]

2nd sept...!

LOD of the previous day was 4597. We opened between H3 and L3 and traded there for most of the morning.

at 12.00, price hits H3, we see a nice divergence at go short...

trade : Short@ 4645
lots :2
SL : 4665 (BB top)

at 12.40, we get a CCI hook and price climbs of the lower channel. We exit both lots as band is flat and direction is back to neutral.

exit1 : 4631
exit2 : 4631
profit : 14+14 = 28

rest of the day is spent between H3 and L3. so no trade.

 

[rajputz]

Re: 1st September...contd...2

trade : short @ 4697
exit 1 : 4631
exit2 : 4618
profit : 66+79 = 145

what charting software or terminal are you using for the charts shown above????

 

[linkon7]

3rd sept

LOD : 4583 of previous day
HOD : 4660 of previous day

We open at 4637, next bar is also a CCI up bar making a high of 4544, our H3 is at 4539 and then cci falls giving us a good entry on the short side.

trade : short @ 4629
lots 2
SL : 4544
tgt : since the channels are flat, we tgt opposite BB ( 4607) or cci hook


at 10.25, we get our hook. BB bot was pierced. our tgt 1 achieved. then the next bar was a rise above L3, so we exit 1 lot at 4607, reverse trade on the other @ 4610.

trades : exit1 : 4607
exit2 : 4610
profit : 22+19 = 41
enter long @ 4610
lots 2
SL Low of the penetration bar (4589)

at 10.40, we got our first hook, we exit 1 lot @ 4622, second hook at 4640 near H3. 2 bars later at 4636, we close below the upper channel. we exit the second lot and reverse direction. for a tgt of 4596 (BB of opposite)

trades : exit1 : 4622
exit2 : 4636
profit : 12+26
enter short @ 4636
lots 2
SL : 4651 (high of BB)

at 12.10, we get our first hook at 4633. bands remain flat, we exit both lots since direction is neutral.

exit : 4633
profit : 3+3

 

[linkon7]

We get a hook at 12.30 and price moves Below the upper channel and thats our entry again on the short side @ 4640

trade : short @ 4640
SL : 4653 (BB top)

at 12.50, we get our first hook, we exit 1 lot at 4631. second hook at 13.05 and channels are neutral. we exit second lot at 4637

trade : exit1 - 4631
exit2 - 4637
profit : 9+3

we did get a good sell off, but we didnt get a good entry. price traded near H3 for some time and that was the demoraliser for us to exit our 2nd lot. if we would find a reason to hold, then we wouldnt miss the short trade.

 

[bandlab2]

great work linkon, looks like a long night for you.

you are doing a marvellous job here , giving away all your valuable knowledge and techniques...