Systems for three market types- trending, nontrending, volatile

Silentshadow

Well-Known Member
Dear Suri,
How do we gauge vix is falling? Do we go for day to day comparison? Is there any bench-mark ratio for vix -- say if its above this -- go long and below this -- go short

~ Thanks

NO NEED of TECHNICAL ANALYSIS
NO NEED of FUNDAMENTAL
NO NEED of ANY BODIES ADVISE
NO NEED of ANY TIPS
NO NEED to WATCH MARKET EVERY TIME
NO NEED EVERY DAY TRADING
NO WORRY ABOUT STOP LOSS
NO WORRY ABOUT MARKET CRASH
LOSS IS VERY LESS
PROFIT IS UNLIMITED
ONLY 3 TO 6 TRADING IN A MONTH
DO AND SLEEP AND ENJOY

LONG STRATEGY
01.BUY NIFTY FUTURE+BUY PUT OPTION (IN THE MONEY OPTION OF NEXT MONTH WHEN VIX IS LOW OR FALLING)
02.BUY NIFTY FUTURE+SHORT CALL OPTION (IN THE MONEY OPTION OF NEXT MONTH WHEN VIX IS HIGH OR RISING)

SHORT STRATEGY
01.SHORT NIFTY FUTURE+BUY CALL OPTION(IN THE MONEY OPTION OF NEXT MONTH WHEN VIX IS LOW OR FALLING)
02.SHORT NIFTY FUTURE+SHORT PUT OPTION (IN THE MONEY OPTION OF NEXT MONTH WHEN VIX IS HIGH OR RISING)

MOST OF TIME I WILL HEDGE SAME MONTH NIFTY FUTURE AND NEXT MONTH NIFTY OPTIONS(EXAMPLE OPTION PRICE IS AT 200, ONCE NIFTY MOVE 200 POINTS AND ABOVE I WILL ONLY EXIT NIFTY FUTURE, AND NIFTY OPTION I WILL KEEP PENDING BECAUSE THAT IS MY PROFIT. THERE IS MANY CHANCES MARKET TO GO REVERSE THEN I BOOK GOOD PROFIT)

IT IS AN EXAMPLE MY CALL GIVEN IN A FORUM
ENTRY ON Oct 12, 2010 - 01:02 PM
BUY NIFTY FUTURE AT 6100(OCTOBER)+BUY 6200 PUT AT 205(NOVEMBER)
LOSS BELOW 40 POINTS PROFIT 200+ POINTS TIME FRAME OCTOBER EXPIRY

EXIT (01) ON Oct 14, 2010 - 09:22 AM
BOOKED NIFTY FUTURE AT 6310

EXIT (02) ON Oct 14, 2010 - 02:37 PM
BOOKED 6200 PUT AT 155

PROFIT AND LOSS
NIFTY FUTURE GAIN 6310-6100=210 POINTS
PUT LOSS 205 -155 = -50 POINTS

TOTAL GAIN 210-50 = 160 POINTS

INVESTMENT RS.40,000/= MAXIMUM
2 DAYS RETURN 160 POINTS X 50 = RS.8000/=
BROKERAGE RS.300 MAXIMUM
NET GAIN RS 7700/= WITHIN 2 DAYS


Courtesy : Asaraf
 
Last edited:

suri112000

Well-Known Member
Launch your trading career with this strategy.

I am using Supertrend Indicator with settings (7,1) in one minute timeframe.

If you are a novice, start with 10 quantity to trade. My rule is you should not be in profit after 30 trading days. If you are in profit, you lost the game and I win it.

Now how to trade.

Wait for 3 signals to form. Buy, sell, buy or sell, buy, sell.

If the first signal is buy, then wait for sell, when sell signal appears, immediately draw a line highest high of buy side.
When sell signal flips to buy signal, draw a line on lowest low of sell side.

You will enter trade on break of highest high, or lowest low.

In the chart i am enclosing VEDL chart with lines. Highest high is broken, we are in the trade. Then you immediately place a SAR order below lowest low. when the trade moves in the direction of your trade, you need to trail your SAR systematically as explained.



Feel free to ask your doubts. But my request is donot trade without understanding it.
 

copypasteaee

Humbled by Markets
Great thread :)
 
Launch your trading career with this strategy.

I am using Supertrend Indicator with settings (7,1) in one minute timeframe.

If you are a novice, start with 10 quantity to trade. My rule is you should not be in profit after 30 trading days. If you are in profit, you lost the game and I win it.

Now how to trade.

Wait for 3 signals to form. Buy, sell, buy or sell, buy, sell.

If the first signal is buy, then wait for sell, when sell signal appears, immediately draw a line highest high of buy side.
When sell signal flips to buy signal, draw a line on lowest low of sell side.

You will enter trade on break of highest high, or lowest low.

In the chart i am enclosing VEDL chart with lines. Highest high is broken, we are in the trade. Then you immediately place a SAR order below lowest low. when the trade moves in the direction of your trade, you need to trail your SAR systematically as explained.



Feel free to ask your doubts. But my request is donot trade without understanding it.
Hi Suri,

I have some questions..
What is the time frame used ?
It is positional or intraday strategy ?

Regards,
Parag
 

suri112000

Well-Known Member
Hi Suri,

I have some questions..
What is the time frame used ?
It is positional or intraday strategy ?

Regards,
Parag
Buddy.....look for answers in your quoted post itself. Every answer is there. Good luck.
 

suri112000

Well-Known Member
..........................
 
Last edited:
Launch your trading career with this strategy.

I am using Supertrend Indicator with settings (7,1) in one minute timeframe.

If you are a novice, start with 10 quantity to trade. My rule is you should not be in profit after 30 trading days. If you are in profit, you lost the game and I win it.

Now how to trade.

Wait for 3 signals to form. Buy, sell, buy or sell, buy, sell.

If the first signal is buy, then wait for sell, when sell signal appears, immediately draw a line highest high of buy side.
When sell signal flips to buy signal, draw a line on lowest low of sell side.

You will enter trade on break of highest high, or lowest low.

In the chart i am enclosing VEDL chart with lines. Highest high is broken, we are in the trade. Then you immediately place a SAR order below lowest low. when the trade moves in the direction of your trade, you need to trail your SAR systematically as explained.



Feel free to ask your doubts. But my request is donot trade without understanding it.
Hi Suri,
Thanks for sharing this set up using Supertrend (7,1). Since it is 1 min TF, there must be lot of buy /sell setup being thrown up during the day/ Can you explain, how to identify the subsequent trade setup after the initial one is done.
Also throw more light on how to trail and what is the exit situation.
Once again, thanks for throwing light on this
Sri
Launch your trading career with this strategy.

I am using Supertrend Indicator with settings (7,1) in one minute timeframe.

If you are a novice, start with 10 quantity to trade. My rule is you should not be in profit after 30 trading days. If you are in profit, you lost the game and I win it.

Now how to trade.

Wait for 3 signals to form. Buy, sell, buy or sell, buy, sell.

If the first signal is buy, then wait for sell, when sell signal appears, immediately draw a line highest high of buy side.
When sell signal flips to buy signal, draw a line on lowest low of sell side.

You will enter trade on break of highest high, or lowest low.

In the chart i am enclosing VEDL chart with lines. Highest high is broken, we are in the trade. Then you immediately place a SAR order below lowest low. when the trade moves in the direction of your trade, you need to trail your SAR systematically as explained.



Feel free to ask your doubts. But my request is donot trade without understanding it.
Hi Suri,

Thanks for sharing this set up using Supertrend(7,1). Since it is a 1 min TF strategy, there must be many buy/sell setup occurring during the trading day. Can you explain in detail how to identify the next trade opportunity after the first one is done.
Also can you throw more light how to tail / exit the trade in profit.

Thanks once again for sharing this set up.

Sri
 

Similar threads