Nifty Midpoint Trading
How to trade.
1. Go long if the Nifty trades above Nifty Midpoint. Go short if the Nifty trades below Nifty Midpoint. Midpoint is SAR.
2. There are some days on which Nifty Midpoint is not touched at all or is quite far from trading price. Intraday players keep away from trading on those days based on Midpoint since SL is big and money management is difficult. Swing/Positional traders continue holding previous positions until Midpoint is hit.
3. Reverse the trade when Midpoint is violated. Midpoint follows the trade direction so as to lock in profits. Use a time filter of 3-5 minutes to judge if Midpoint is clearly violated or not (if it trades on other side of Midpoint). SAR of trades is very important and should be mechanical and not judgemental except for time filter.
Disclaimer : This is only advisory. Trade at your risk.
Nifty Midpoint for 28/7/2010
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1. Go long if the Nifty trades above Nifty Midpoint. Go short if the Nifty trades below Nifty Midpoint. Midpoint is SAR.
2. There are some days on which Nifty Midpoint is not touched at all or is quite far from trading price. Intraday players keep away from trading on those days based on Midpoint since SL is big and money management is difficult. Swing/Positional traders continue holding previous positions until Midpoint is hit.
3. Reverse the trade when Midpoint is violated. Midpoint follows the trade direction so as to lock in profits. Use a time filter of 3-5 minutes to judge if Midpoint is clearly violated or not (if it trades on other side of Midpoint). SAR of trades is very important and should be mechanical and not judgemental except for time filter.
Disclaimer : This is only advisory. Trade at your risk.
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