RAJ Trading diary

[healthraj]

Hi Fellow Traders,

I have been a fan of this discussion group. There are a lot of Gurus in this forum. So I thought I will also share my bit of knowledge. It is since two years that I have opened my trading account. Mostly my trading have left me with a lot of losses. That is when I seriously started going into the forum and collected some useful information.

For the next one month I am planning to do some paper trading.
Mostly I want to concentrate on MINI NIFTY Intraday and Positional trading (selective)

Here is my Trading plan

Capital - 1 Lakh
Risk at any point in time - 2% - Rs 2000.
Risk Reward Ratio : 1.75 (Max profit per trade is 3500 Max loss 2000)
Tool for the trade - InvestarIndia NIFTY Special edition

Trade setup
5 minute charts with EMA(3), EMA(13), SMA(26).
Trade only after 10 AM

Note: I am using SMA(26) and not SMA(39) as mentioned in some threads because I want to minimise loss.

Additional indicator - ADX(14).

Entry point for Long

EMA(3) crossing EMA(13), and candle closing above SMA(26) and ADX(14) greater than 20

Exit points
Stop loss = 20 points for MINI NIFTY (40% of 50)
Target 1 - 60 positions of mini nifty = 25 points
Target 2 - 40 positions of mini nifty = 50 points
If Target 1 is met the stop loss would be adjusted to cost

I don't have any targets for Profit. I will stop trading for the day if my loss is Rs 2000.

Let me hope that I could trade with a great emotional content.

Regards,
Raj

 

[healthraj]

Day 1 - So far no Intraday opportunities.
Opportunity for Positional trade.
Two lots of NIFTY bought at 5277.
Targets 5337, 5377
Stop loss - 5237 or candle closing below SMA(26), whichever occurs earlier.
Net profit might be 7500
Loss not more than 4000
Risk Reward ratio : 1.875

 

[healthraj]

Posting the chart for the Entry

 

[healthraj]

Day 1 - Intraday opportunity
Sell 2 lots of NIFTY at 5263
Target 1 - 5233
Target 2 - 5213
Stop loss - 5283

Reason for Trade : In 5 minute charts EMA(3) crosses below EMA(13). Last candle high below SMA(26). ADX at 50

 

[healthraj]

Day 1 - Intraday closing
Closed the Intraday positions at 5270, since the candle closed above SMA(26). Loss of ~700 (excl other charges).

I could have close the Intraday position with profit but my target of 5233 was not met.

Carrying the positional trades....
May be there is a learning here. The hourly chart was showing a UP trend where as the Intraday(5 minute chart) was showing a DOWN trend. Anyway let me see in future... Any expert opinions on the conflicting trends with hourly and 5 minute charts

 

[timepass]

Oh good, Healthraj, you already have a thread about it. I didn't see it before. Hopefully you will post your daily charts here (at least at end of the day), along with a summary of your positions.

Meanwhile, for attaching charts, there is a limit of 100kb and you are likely to run out of space very soon if you use the "attach images" option in "post reply". Please check my signature about how to upload images to an external location and post the link here.

Good luck :thumb:

 

[HARIVEL]

Your Posts are nice Arokyaraj, pls continue daily with your charts
Thanks

 

[gambler]

Best of luck raj!

 

[healthraj]

Day 2: So far no positions for Intraday. On Monday I had a problem with my exit and so did some analysis and planning to use CCI (Commodity Channel Index) as the one more indicator. CCI is based on Simple Moving Averages I hope. I am going to use CCI(14).

To sum it up

For Long Entry:
1. EMA(3) crossing EMA(13)
2. ADX(14) greater than 20
3. CCI(14) greater than 100

For Exit
1. Stop loss reached or
2. candle closing below SMA(26) or
3. CCI(14) less than -100

Note: On Friday's Intraday positions If CCI was applied then I could have exited my position at 5251 and made a profit of 1200 instead of a loss 700. When using CCI, there is no strict targets. Try it to see the benefits...

 

[timepass]

Like today, if the signals are already in place at the opening due to a gap up/down or continuation from yesterday, how do you time your entry ??

Day 2: So far no positions for Intraday. On Monday I had a problem with my exit and so did some analysis and planning to use CCI (Commodity Channel Index) as the one more indicator. CCI is based on Simple Moving Averages I hope. I am going to use CCI(14).

To sum it up

For Long Entry:
1. EMA(3) crossing EMA(13)
2. ADX(14) greater than 20
3. CCI(14) greater than 100

For Exit
1. Stop loss reached or
2. candle closing below SMA(26) or
3. CCI(14) less than -100

Note: On Friday's Intraday positions If CCI was applied then I could have exited my position at 5251 and made a profit of 1200 instead of a loss 700. When using CCI, there is no strict targets. Try it to see the benefits...