Trading NR7 setup
- Thread starter AW10
- Start date
- Tags narrow range nr 7 nr4 option trade
- Status
Amit, if you don't have time.. then my sincere suggestion is PLEASE DON't TRADE NR7 stocks, even if you find the list of stocks daily posted here or somewhere else.
It is no shortcut to making money cause breakout trading has high failure rate and it
needs effort to understand when it is working and when it is not.
If you are serious about trading, then you can spend few hours and downloading and installing pirated Amiborker from somewhere, there are many free data provider that will supply data by click of button, and in this thread, Anant has contributed amibroker script that will scan all stocks for you.
Yes, initially it might take few hours/days for you to get above stuff stabilised but after that it will take less time for you to generate your own NR7 list, then logging on to TJ, coming to this thread and reading the right post.
Hope this helps.
Happy Trading
It is no shortcut to making money cause breakout trading has high failure rate and it
needs effort to understand when it is working and when it is not.
If you are serious about trading, then you can spend few hours and downloading and installing pirated Amiborker from somewhere, there are many free data provider that will supply data by click of button, and in this thread, Anant has contributed amibroker script that will scan all stocks for you.
Yes, initially it might take few hours/days for you to get above stuff stabilised but after that it will take less time for you to generate your own NR7 list, then logging on to TJ, coming to this thread and reading the right post.
Hope this helps.
Happy Trading
Just an observation. On budget day we close above 4900 and after that never went below 4900. On 2 March closed above 5000 and after that never closed below that. On 8 March closed above 5100 and for just one day on 9 March went below 5100 for close. On 16 March closed above 5200 and after that in the past 6 days no close below 5200. The round figures acting as support.
Nice observation TT. These round number ending in xx00 always act as psychological support and resistence levels. Aren't they easy to remember by any human being then any other number calculated by fib ratio/ pivot point calculation or moving averages.
In my observation, the band of 20 points above and below these number is quite frequently a war-zone of bulls and bears who try to protect their positions on these numbers. Quite a lot of market reversal takes place in this 20 points band.
Happy Trading
In my observation, the band of 20 points above and below these number is quite frequently a war-zone of bulls and bears who try to protect their positions on these numbers. Quite a lot of market reversal takes place in this 20 points band.
Happy Trading
Today NR7 break out in TCS is faild and both the stoploss hit .Sir can you tell the reason about this false break out.Also explain how to identify this is false breakout
High Low h-l
15.03.10 820 791.15 28.850
16.03.10 831.95 815.8 16.150
17.03.10 845.900 830.000 15.900
18.03.10 845.000 820.500 24.500
19.03.10 834.450 805.250 29.200
22.03.10 833.800 806.150 27.650
23.03.10 833.000 822.100 10.900 Yes
25.03.10 836.800 818.000 18.800
High Low h-l
15.03.10 820 791.15 28.850
16.03.10 831.95 815.8 16.150
17.03.10 845.900 830.000 15.900
18.03.10 845.000 820.500 24.500
19.03.10 834.450 805.250 29.200
22.03.10 833.800 806.150 27.650
23.03.10 833.000 822.100 10.900 Yes
25.03.10 836.800 818.000 18.800
We will never know why TCS has behaved in this way. And answer of WHY is not important, in my view. Rather we should fine-tune our approach to trade the breakout.
And if stop is hit, then let it be. You can never have 100% successful trades in any system. So stopping out is part of this business.
Look at the bigger picture (last 5 days move) of TCS. The upbreak was not really a break. Mkt opened there and that level was immediately rejected. Down break also could not hold and market reversed to yesterday's range, i.e. there is no clear breakout shown by TCS.
Better approach will be to let price break out from the range.. and see how it is behaving during the first retracement/reversal after the breakout. Wait for second entry
point to develop and enter there.
i.e. in case of tcs,
- if it has gone below 822 - no action but be on alert now.
- let price start coming back up again.. and see what is happening now.
- if it enters above 822.. then breakout has failed and you are still not in trade.
- But if price again starts falling (though it did not happen today), and goes below 822, or below the pivot low made during first breakout i.e. 818 level, then you take the entry.
Though there is no guarantee that it will be 100% success with this approach, but certainly this would keep you away from jumping too early in breakout and getting caught in trap created by smart money.
- lets look at this chart of nifty and see the action on 22-Mar.
Here nifty brokeout below 19-Mar low, it came back up to test the range of 19-Mar.. and failed there. And you can see how clean that entry would have been.
Use the set of rules given in this post to understand if breakout is turning out to be a successful or not.
http://www.traderji.com/advanced-trading-strategies/29825-trading-nr7-setup-45.html#post384035
Rajkumar - trading test our patience to the extreme. And it is not easy to hold us back..but if learn to demonstrate the patience then it shows on our P&L.
Hope this helps.
Happy Trading
And if stop is hit, then let it be. You can never have 100% successful trades in any system. So stopping out is part of this business.
Look at the bigger picture (last 5 days move) of TCS. The upbreak was not really a break. Mkt opened there and that level was immediately rejected. Down break also could not hold and market reversed to yesterday's range, i.e. there is no clear breakout shown by TCS.
Better approach will be to let price break out from the range.. and see how it is behaving during the first retracement/reversal after the breakout. Wait for second entry
point to develop and enter there.
i.e. in case of tcs,
- if it has gone below 822 - no action but be on alert now.
- let price start coming back up again.. and see what is happening now.
- if it enters above 822.. then breakout has failed and you are still not in trade.
- But if price again starts falling (though it did not happen today), and goes below 822, or below the pivot low made during first breakout i.e. 818 level, then you take the entry.
Though there is no guarantee that it will be 100% success with this approach, but certainly this would keep you away from jumping too early in breakout and getting caught in trap created by smart money.
- lets look at this chart of nifty and see the action on 22-Mar.
Here nifty brokeout below 19-Mar low, it came back up to test the range of 19-Mar.. and failed there. And you can see how clean that entry would have been.
Use the set of rules given in this post to understand if breakout is turning out to be a successful or not.
http://www.traderji.com/advanced-trading-strategies/29825-trading-nr7-setup-45.html#post384035
Rajkumar - trading test our patience to the extreme. And it is not easy to hold us back..but if learn to demonstrate the patience then it shows on our P&L.
Hope this helps.
Happy Trading
Last edited:
Hi all i was looking the weekly contraction NR4 in nifty future and after that how market behaves in 60 min chart ....... found we generally hit a trend after weekly NR4 in 60 min ,
My problem is i want to calculate the profit/loss after certain no of trading or after the expansion on weekly .... in this way i wanted to trade around a event in this case NR4 on weekly and indipendent of contineus trading through out the month or quater after which we calculate our profit/loss
And observed if we start trading on 60 min after NR4 detected on weekly after certain no of trading we are in profit , almost every NR4 week from jan 08 gives profit
but problem is When i should stop trading for my calculation ??
My problem is i want to calculate the profit/loss after certain no of trading or after the expansion on weekly .... in this way i wanted to trade around a event in this case NR4 on weekly and indipendent of contineus trading through out the month or quater after which we calculate our profit/loss
And observed if we start trading on 60 min after NR4 detected on weekly after certain no of trading we are in profit , almost every NR4 week from jan 08 gives profit
but problem is When i should stop trading for my calculation ??
- Status
| Thread starter | Similar threads | Forum | Replies | Date |
|---|---|---|---|---|
| R | Learn Forex Trading | General Trading & Investing Chat | 0 | |
| P | afl coding help required for nr7 trading | Algo & Automated Trading | 1 | |
|
Is anyone using NR7 for trading? | Technical Analysis | 28 | |
| B | NR7 Trading help | Advanced Trading Strategies | 6 | |
| J | Trading Straddles using NR7 setup | Options | 5 |