Open Price Strategy

[siri_sha]

It seems you copied this strategy straight from http://icharts.in

Hi kommacnu,

I joined ICHARTS recently and i do use them for live charts. But donno whether any one posted the same strategy there.

Regards,
Siri

 

[mfadhd]

yesterday i tried ur strategy it worked out for nifty future but wat factor will u use incase of cash segment stocks like sbi, icici, kotak, unitech, fsl, etc.
Hope to hear from u soon

 

[nick721156]

Please see the below chart for the possible trades in yesterdays session

1) open price=4466

2) So place a long order at 4476 & short order at 4456.

3) Long got executed at 10:10. Change the short order to stoploss order with double the quantity.

4) Stoploss got executed at 1:40 @4456.

5) Holding 2lots short at 4456. keeping 15pts as stoploss.

6) Again SL got hit at 2:00 @4471 (No trades will be done after 2 based on this strategy. So closed all the trades for the day)

Profit/loss= 2*(4456-4476)+2*(4456-4471)=-70pts

Regards,
Siri

Dear Siri,

Can't get the profit/loss formula. Would you please explain?

Regards,

Nick

 

[siri_sha]

yesterday i tried ur strategy it worked out for nifty future but wat factor will u use incase of cash segment stocks like sbi, icici, kotak, unitech, fsl, etc.
Hope to hear from u soon

Hi mfadhd,

Yesterday was a good day for this strategy. But u need to accept losses also somedays for this(Thursday session is an example). U test this for one full month and see the results. Do not trade based on single day experience.

And coming to the cash segment, u take the price at 10 as the open price instead of price at 9:55 as the volatality in the cash segments is too high for first 5 mins. I found this strategy good for high volatile stock like DLF, ICICIBANK, UNITECH, SUZLON. But while trading in cash segment u need to trail ur stop losses regulary. Please follow it for atleast and a month and do paper trade and then put forth ur questions. I will try to clarify.

Regards,
Siri

 

[siri_sha]

Dear Siri,

Can't get the profit/loss formula. Would you please explain?

Regards,

Nick

Hi nick,

We need to trade with atleast 2 lots based on this strategy. So i made all the calculations based on the 2 lots.

1st Trade
Long got executed at 4476. SL order for the same got hit at 4456.
Profit loss = 2*(4456-4476)= -40pts

2nd Trade
Since we placed a SL order with double the quantity we are short at 4456 and the SL order for the same got hit at 4471.
Profit loss = 2*(4456-4471)= -30pts

Hope the above explanation clarifies.

Thanks,
Siri

 

[siri_sha]

Please see the below chart for the possible trades in fridays session

1) open price=4412

2) So place a long order at 4422 & short order at 4402.

3) Short got executed at 10:05(todays low was 4402 :annoyed. Change the long order to stoploss order with double the quantity.

4) Stoploss got executed at 10:20 @4422.

5) Holding 2lots long at 4422. keeping 15pts as stoploss.

6) Booked one lot @4442 at 11:30 and moved stoploss to open price for other lot.

7) Booked other lot @4470 at 02:10

Profit/loss= 2*(4402-4422)+(4442-4422)+(4470-4442)=28 pts

Regards,
Siri

PS: Long can be initiated again at 2:10 @4482 and can be booked at 4425

 

[mfadhd]

Dear Sri,

As per ur said article i used the 10 factor in nifty future but for stocks in cash segment like unitech/fsl/sbi/kotak/icici wat factor should be applied hope to hear from u soon also can u attach the list of high volatile stocks which has always large number of volume trader trading it

regards

 

[siri_sha]

Dear Sri,

As per ur said article i used the 10 factor in nifty future but for stocks in cash segment like unitech/fsl/sbi/kotak/icici wat factor should be applied hope to hear from u soon also can u attach the list of high volatile stocks which has always large number of volume trader trading it

regards

I have taken 10 as the base for nifty which comes with in 0.25% of the price. But the volatality in the stocks in much higher. U can take .5% as the base.

Lets take DLF as the example and see the trades for the friday's session.
Open price=367.75. 0.5% of the open price is 1.8 approximately. so we place a buy order at 369.55 and sell order at 365.95. Please see the chart for the possible trade.

I dont have the complete list of the high volume stocks, but i trade only on these following stocks. DLF, ICICIBANK, SBIN, RELIANCE, TATAMOTORS, SUZLON & UNITECH.

Thanks,
Siri

 

[mfadhd]

Dear siri,

i just saw the charts of dlf it too was a buy on friday made a good profit if traded on friday i will paper trade the factor given on cash segment n revert hope u keep in touch n share new strategies on this thread too

regards

 

[siri_sha]

Dear siri,

i just saw the charts of dlf it too was a buy on friday made a good profit if traded on friday i will paper trade the factor given on cash segment n revert hope u keep in touch n share new strategies on this thread too

regards

Sure mfadhd. U are always welcome to ask ur questions here. I will try to reply as early as posible.

One more thing is trailing stoploss is a must in cash segment. Trail ur SL with every .5% movement or u can use the EMA3 crossover with EMA21 in 5min charts as the exit strategy.

Thanks,
Siri