Trading NR7 setup

[AW10]

Anant

By the way what is your observation regarding a Inside Day following an NR day. I could not find any ID immediately following NR but many cases of NR coming immediately after ID are available.

ID after NR4 will give us the trigger of NR5. and after NR7, it will give the trigger of NR8.
As far as I can undrestand your afl's logic, you are not checking for days other then NR4 or NR7. so for these days, the both NR flags will be FALSE and when u multiply that to set ID flag, that will also go to FALSE status.

if my interpretation is correct, then maybe that's why u are not getting ID days.
Chk out for 9/10 sept, 3/4 sept, 27/28 july, 4/5 march on NIFTY spot chart for this setup.

and do let us know the finding.

Happy Trading.

 

[rohangawale]

NR7 Stocks triggered on 5th Oct:

[B]STOCK		HIGH		LOW[/B]
HDFC BANK	1645		1617
NTPC		209.9		207
POWER GRID	109.55		108.15
WIPRO		616		600

Close of NR7 stocks as on 5th Oct:

		[B]5-Oct			6-Oct	
STOCK		HIGH	LOW		Close	Trigger[/B]
HDFC BANK	1645	1617		1659.65	Up Break
NTPC		209.9	207		208.75	No Breakout
POWER GRID	109.55	108.15		109.50	No Breakout
WIPRO		616	600		599.55	Down Break

 

[rohangawale]

NR7 Stocks Triggered on 6th Oct:

STOCK		HIGH		LOW
CIPLA		280		271.15

 

[rohangawale]

NR7 Stocks Triggered on 6th Oct:

STOCK		HIGH		LOW
CIPLA		280		271.15

Close of NR7 stock as on 7th Oct:

		[B]6-Oct			7-Oct	
STOCK		HIGH	LOW		Close	Trigger[/B]
CIPLA		280	271.15		281.75	Up Break

 

[rohangawale]

NR7 Stocks triggered on 7th Oct:

[B]STOCK		HIGH		LOW[/B]
CIPLA		284		276.5
NTPC		210.7		208.4
TATA POWER	1304.4		1282

 

[AW10]

Just wanted to share my perspective on NR7 setup that we saw on Nifty on
5th-Oct.

Close of NR7 Stocks on 5th Oct:

		[B]1-Oct			5-Oct	
STOCK		HIGH	LOW		Close	Trigger[/B]
[B]NIFTY		5,110.5 5,057.05	5003.20	Down Break[/B]
REL CAPITAL	923.45	906.15		896.60	Down Break
SAIL		170.9	168.1		162.15	Down Break
SUZLON		92.95	91.1		87.10	Down Break

The NR7 day range was between 5057 to 5110.
On 6th, we saw the downside break of this range which gave us opportunity
of almost 130 pts from 5057 to 4920 level.

Market bounced back yesterday from the 4920 level. It was also an attempt to close the big opening gap of Friday as well as to test the breakout from the narrow trading range.

Today, this test of narrow range was rejected and mkt could not sustain above this. Infact, it fell back below Fridays low of 5000 which is also a strong psychological level. This is one of the common phenomena with NR trading i.e. retest of range.

As per my interpretation of of price action, 4920 might get retested 2nd time now. With each test of a price level, it starts getting weaker. Same holds true for 5070 level as well.

Lets listen to the price action and see what market unfolds tomorrow.

Happy Trading.

 

[mfadhd]

Dear asnavale,

gr8 job but would like to have the AFL with exploration and reporting facility keep it up

hope to hear soon
regards

 

[rkkarnani]

Hello Friends,
Was away for quiet some time due to personal reasons. I am back and trying to get updated on most threads that look interesting.
Have read through upto 250 initial posts in this thread. No words to describe the efforts that have been put in here by all and in particularly AW.

I seem to be getting the basics in my head.
My first question is, and it may be a repetion : There is an anomaly in taking which level as High Low , as at times we get a actual close lower than the "official close" which is an average of last 30 minutes trading. Similarly the open value, which at times may be the high or low of the day also differs. We found this when we were following Saints 30 minutes intraday strategy. Which levels do we use here!!???

 

[asnavale]

Dear asnavale,

gr8 job but would like to have the AFL with exploration and reporting facility keep it up

hope to hear soon
regards

By this week end you will have it.

-Anant

 

[AW10]

Karnani Sir, Welcome back. Was missing your presence here and all your posts but now you gave me one more reason to chk TJ frequently.

Regarding your doubt on which Open/Close level to use ?

What I have described here is a setup, not a precise trading strategy with buy pt/sell pt. To get NR7, we are bothered about high/low of the day which
is not impacted by open/close on majority of the days. (I did a quick chk and found that in last 300 days, only for 22% of the time, we had the situation when H/L of the day was
same as either open or close).

While interpreting the contraction, we need to be a bit subjective and look at bigger picture. For example, if last 10 day's average of daily range is 100 pts, and if todays range is 70 pts, then it indicates contraction. If the number comes to 73 or 75, it is still contraction. So as a first check, one can use H - L to get the range for the day and find out if it is NR7 or not.
But smarter way will be to also look at today's range and compare this with 10day (or any other periods) average range and see if it is < 80% then flag today as contraction day.

To take a trade on this, I will certainly support your idea of putting small filter on NR days H/L and then take trade entry.

Satya has been working on using NR7 setup trigger to swing trade on 60m chart. Maybe he could also share his thoughts on precise entry/exit levels.

Hope this helps.

Happy Trading