Reference Material

By Avny

http://ift.tt/2g9Ly9b

Breakout Pullback and Breakout Failure.


One set up failed and entry created for 2nd setup



My strategy for intraday trade

I am by nature an intraday trader,though i trade positional also,but my heart lays in intraday

REQIREMENTS

: 3M/5M (Chart W/O any indicator)

Addional req : quick fingers,alert mind,total concentration

TRADING INSTRUMENT : NF,BNF,scips with high vol and ATR

STRATEGY

for this strategy we require a support/resistence line/area,so we can take trade decision,based on price action around these line/area.

so, for support/resistence lines/area,i use,HIGH/LOW of first 3M/5M candle of the day

METHOD

1: concentrate only on two set up,
pull back and failed break out

2: wait for the price to break out either side of first candle

3: let the price come back to S/R line,(be alert,when price approaches the
S/R line)

PULLBACk :A: let us assume the price gave a B/O,above the high of first
candle,then,
if price comes near to the S/R line and start reversing(in the
direction of break out),buy above the most recent bull candle,

STOPLOSS: is below the low of lowest bar prior to this bull
candle,or the low of this bull candle,if it is lowest,among the
recent candles

TARGET : it is a difficult part,there are so many variations of how and
where to, book profit,for simplicity i will tell what i was using initially book half the position at a predefined fix target and use TSL for the rest set the fix target as per your comfort,for me it was rs 1 for scrips upto rs300,rs 2,for scrips upto 500 and rs 5 for rest, 10 points for NF and 20 point for BNF



FAILED BREAKOUT

After breakout, if price comes back to S/R line,then either it pulls back,and
resume the pr direction,or it will break the S/R line and will carry on, negating the earlier break out.

ENTRY:entry is at the HIGH/low of the bar which closes ABOVE/ below the S/R
line

STOPLOSS: stoploss is above/below the pr pivot high/low

TARGET:as described earlier

Reference Material