Trading Mini Nifty Daily Diary

[kdhrubo]

Hi,
I am trying to devise a mechanism to trade mininifty. I intend to start with mininifty due to lower lot size and lesser money risk. Anyways this method should be equally good for trading Nifty as well.
Actually I am paper trading to test this method. The system at present uses 2EMA cross over with some patterns which I will outline for each post if I find any. I will see if we need other indicators or oscillators to make this system robust. Unfortunately in my office I have no access to live terminal as it is blocked. However I utilize the SPOT NIFTY on Google finance which also signals the same trades albeit at a price differential with NIFTY FUT/Mini Nifty FUT.

Comments and feedback are welcome.

BR ...dhrubo

 

[kdhrubo]

Trade - 06-Sep-2011

I observed this on nifty spot on google finance. Here is the chart which I manage to grab from my terminal after returning home.
Long MNifty 4955. Exit at 5055
Points = 100
Notice the big positive candle on crossover. Also a congregation of small postive candles
Also Nifty has formed double bottom pattern.
For the moment ignoring RSI.
Since I could have got more points by holding the position. But I want to exit always profit or loss before 3.15pm. Also I intend to do intraday and not loose my sleep in the night. -- discipline, curb greed.

 

[Debarghya Mukherjee]

Hi,
I am trying to devise a mechanism to trade mininifty. I intend to start with mininifty due to lower lot size and lesser money risk. Anyways this method should be equally good for trading Nifty as well.
Actually I am paper trading to test this method. The system at present uses 2EMA cross over with some patterns which I will outline for each post if I find any. I will see if we need other indicators or oscillators to make this system robust. Unfortunately in my office I have no access to live terminal as it is blocked. However I utilize the SPOT NIFTY on Google finance which also signals the same trades albeit at a price differential with NIFTY FUT/Mini Nifty FUT.

Comments and feedback are welcome.

BR ...dhrubo

Hello Dhrubo,
Will you please share your system here? I am new to F/O sector. Will you please give a numeric example of your trade?
I mean to say buy price, sell price, stop loss and profit and loss calculation. Thanks in advance
Debarghya

 

[kdhrubo]

Debarghya - I am experimenting to develop this trading system. At present the idea is to identify potential trade with this setup. Once it is robust I will reveal more details. Its primarily EMA crossover supported by chart patterns. I may use other indicators to make this stronger (less false trades).
Now how to trade at present. I am just playing for 20 points either side. So SL will be 20 pts below where I enter trade. I will see how trailing SL works and let you know on this forum. I hold on to long or short based on cross over.
The trade details for yesterday are given.

Note - this is a system under development and I am currently just doing paper trading.

 

[kdhrubo]

08-Aug-2011

Non trades today as per this system on 7-Aug-2011

 

[kdhrubo]

Trade on 08-Sep-2011

OK here is the situation here today
LONG at 5116 so SL at 5096 was saved by a whisker as nifty changes position quickly to short between 1pm-1.15pm.
Fresh long triggered at 5118 at around 1.40pm and NIFTY shoots off. We book at 5156. Not to be greedy RSI over the moon. Discipline always lock profits and sleep. Do not carry position overnight to have good sleep.
So points earned today = 40
Some observation
In the first long we made the following mistakes as per me
1> RSI falling
2> Long should be confirmed by atleast 2 green candles. Here we have alternating candles on cross over.

Total profits in 3 days = 150pt

Seniors - please guide is there a tripple bottom kind of pattern on the chart or rectangular range breakout?

 

[trader.trends]

Re: Trade on 08-Sep-2011

OK here is the situation here today
LONG at 5116 so SL at 5096 was saved by a whisker as nifty changes position quickly to short between 1pm-1.15pm.
Fresh long triggered at 5118 at around 1.40pm and NIFTY shoots off. We book at 5156. Not to be greedy RSI over the moon. Discipline always lock profits and sleep. Do not carry position overnight to have good sleep.
So points earned today = 50
Some observation
In the first long we made the following mistakes as per me
1> RSI falling
2> Long should be confirmed by atleast 2 green candles. Here we have alternating candles on cross over.

Total profits in 3 days = 150pt

kdhrubo, your comment on atleast 2 green candle: Take a look at this, might add some inputs
http://www.traderji.com/futures/58731-just-my-2-candles-worth.html

 

[kdhrubo]

Great point.
I just also see that on the first day the break out had 2 consecutive green candles. This is a great pointer. Thanks

 

[kdhrubo]

Trade 09-09-2011

@TT - today your 2 candle trick saved the day
Let us look into the chart for MNIFITY today as usual EMA crossover indicates long at around 12.10pm. But consecutive green candles are not big enough to ensure that the bulls are winning. So let us refrain from trading. Also RSI > 80.
Now trend change confirmed by huge consecutive black candles at 1.10pm we enter short at 5100 and book profits at 5065.Look into falling RSI slope
My goal is only 20 points. Since there is no reversal I wait. Generally on such sudden fall or rise, market pauses at some point. So I wait and close position. I am happy with one winning trade per day.

Points earned = 35

Total points so far = 175

Disclaimer - I am just paper trading.Also same trade is initiated on Google finance on SPOT Nifty too. But somehow the terminal is much more clear and far easy to spot.

 

[ask4ub2b]

Re: Trade 09-09-2011

@TT - today your 2 candle trick saved the day
Let us look into the chart for MNIFITY today as usual EMA crossover indicates long at around 12.10pm. But consecutive green candles are not big enough to ensure that the bulls are winning. So let us refrain from trading. Also RSI > 80.
Now trend change confirmed by huge consecutive black candles at 1.10pm we enter short at 5100 and book profits at 5065.Look into falling RSI slope
My goal is only 20 points. Since there is no reversal I wait. Generally on such sudden fall or rise, market pauses at some point. So I wait and close position. I am happy with one winning trade per day.

Points earned = 35

Total points so far = 175

Disclaimer - I am just paper trading.Also same trade is initiated on Google finance on SPOT Nifty too. But somehow the terminal is much more clear and far easy to spot.

Dear Friend,

This a Good Method to Earn Money from market but There is much risk when market is range bound.

It will makes cross over As per I am seen your post there all volatile trading system.

Try minimize Noise in consolidation zone. Then you can find out the good return on your capital.

Thanks and Regards
Prashant