Examaple 1 :
ITC in down trend
Ranged during yesterday closing time
Opened near to PDL; followed by nice pin bar with long tail indicating bullish pressure
Professional Entry is above Pin Bar with Stop below DL; easy to scratch if DH not crossed
Another good entry is above BO bar high
Good long entry after yesterday's momentum getting extended
Example 3
Entries with weak pull backs give nice RR than entry below swing points ... confirmation is just Psychological .. with practice and experience we can make this!
Example 4
We can trade momentum moves after news as well; with this kind of setup's trade become high probability winning candidates... if risk is not in limit.. one can trade in CASH as well
Example 5
Fluid always high probable; specially when rejection seen at powerful levels like PDH and PDL
ITC in down trend
Ranged during yesterday closing time
Opened near to PDL; followed by nice pin bar with long tail indicating bullish pressure
Professional Entry is above Pin Bar with Stop below DL; easy to scratch if DH not crossed
Another good entry is above BO bar high
Example 2
Example 3
Entries with weak pull backs give nice RR than entry below swing points ... confirmation is just Psychological .. with practice and experience we can make this!
Example 4
We can trade momentum moves after news as well; with this kind of setup's trade become high probability winning candidates... if risk is not in limit.. one can trade in CASH as well
Example 5
Fluid always high probable; specially when rejection seen at powerful levels like PDH and PDL
Very nice,thnx
ReplyDeleteExcellent examples. What is the time frame of the charts.
ReplyDeleteRegards,
Veer
3 minute
DeleteThanks for the charts. Apt disciple of SMART TRADER. :) Love to have such more charts from U.
ReplyDeleteSourish,
DeleteYou made my day :)
Really helpful
ReplyDeleteSir ex3 pullback setup i always wrongly trade pullback how to improve
ReplyDeleteaditya,
Deleteentering short during PB is some thing very tricky and can be executed only when individual is having highest conviction in trade setup and his execution ability. I rarely get to execute such way, because there is always a possibility it may turn BOF, but when PA convinced me by offering very low risk entry during PB,, i execute it,, else i stick to taking short as usual BOF entry i.e. below swing low made.
Hi Ravii,
ReplyDeleteComments on the setups, as you requested via twitter. Accepting that I'm not too familiar with the nature of the Indian markets, due to having not traded them.
Example 1: Beautiful. Love it. One of my "rules of thumb" is an observation that a false break of one side of a narrow range will often lead to a move to the other side". Another is that "false breaks at the open of a session often create great trading opportunity". This setup is based upon both ideas. And most importantly, both the early and later entry options have a clear place to define "where you're wrong", along with good potential for multiple-R profits. Great setup example.
Example 2: Good. Continuation of momentum combined with acceptance above the prior day's high. Great trade location. Again with clear stop locations and multiple-R potential.
Example 3: Good. Similar to the last but with less immediate momentum. Taking advantage of the acceptance below PDL.
Example 4: Strong news drive breakout, with BPB holding above PDH. Again a trade idea with good R:R potential.
Example 5: Good. I like the recognition of the need of a strong upmove towards PDH. Of note though, this needs to STRETCH price really far. It's the concept of a rubber band, stretched too far, then needing to snap back in the other direction. So with price having stretched so far to break PDH, it's good odds of a snap back lower. Even better, is waiting for that second break. It won't always happen if you wait for it. Sometimes the first break reverses in a v-turn. But when you get the second break, as in this chart example, it's often a much easier trade to take and often (not always) offers tighter risk control.
Summary - I have nothing constructive to offer in terms of improvements. Only the comment that I think this is great. You've identified what I believe to be quality setups. The challenge now is to prove them through quality execution, quality review processes, and monitoring of stats.
Great work. Keep it up.
Thanks a lot Lance, i am delighted to see your comment in my blog.
DeleteWhat ever knowledge i acquire and practicing is derived out of Your YTC and NiftyNirvana.
Yes, as you said finding these setup's in real time require tremendous effort in terms of shortlisting stocks EOD, marking levels, placing price alerts, waiting till our setup emerges, quickly calculating position size, executing and managing trade.. all this we have to do out of multi monitoring of scripts. Frankly speaking, i rarely get such opportunities,, but when i trade them they gave handsome gains.
Once again, thanks for your encouragement.