trading system for beginner

[oilman5]

Oilman,
Please post the above trade details through chart, it will help us.
vishnu_1990v

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sir, first of all its HIS trade,not mine -but as i trained him ,so logic is known.
PERSPECTIVE: HR ly chart 60days, background day chart. It means here trend is defined.
Trading style: intraday 15 min timeframe - swing entry taken at expected 1-2-3-4-5 -a-b-c.Trade taken @ 3,5,a,c
Coincidence of support/resistance of 6omin + daily chart =expected reversal pt.
trade is taken for- 3 move at seeing completion of 2.
Similar at completion of 4,entry at 5 is taken.
For fractal - we decide 5 into 1' -2'-3'-4'-5', so easily u get out, where we see (a)- the strong REVERSAL TRADE?
when (a) is forming with opposite direction which crosses 5', SO other part of (a ) is traded.
Again (b) is observed and (c) is taken with strong momentum.
Since (b) has slow upbias ,put value is less,so for C -critical put buy gives good return.
Stoploss is on 5min, so against your trade if 5+5 opposite engulf = getting out of trade.
So entry at start,always look like counter trend, but in one sub-structure u lose,but EARN always full impulse.
Lot size same, exit ,profit book same 500 nifty , move 5 & C taken on call/put directional play.
Move 3 and (a) normally taken on future.
Divergence is also seen for confirmation, below 40 pt potential move no trade taken.( though actual profit book may be 30, maxm loss run = 5min reversal bar.
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i used to trade similar in daily -hr chart , with 10 min bar micro manage, with min 150pt potential nifty move.
But HE trades better ,use for intraday. Extensively strong use of impulse ,
Previously he used to stock trade as DT defined support/resistance turning pt zone,with av 10-20% per month return.
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sorry due to professional believe i never put my trade here, but hints given.

 

[vishnu_1990v]

Oilman Sir,
Please do not call me sir, as I am just a beginner I have not earned anything to be called as sir. Lot to learn from this forum. Based on the above strategy post us a chart even if it is very old trade or give us an example on any charts.
Thanks for your reply.
vishnu_1990v

 

[oilman5]

this strategy is very difficult, but not on Price action.
Background + multiple timeframe, idea given in Kevin Haggerty of tradingmarkets.
1] higher time frame bias.
2] IMP reversal zone- which r nothing but support/resistance or imp gap up/dn start pt.
3] Main theme is counter trend OR turning pt trade.U have many yr seen trend or flow, now at some pt it will diminish and violent opposite direction move shall start. Here actually we take this trade(initiate)
4] now comes idea of fractal or similar behavior in lower timeframe. Based on Elliott we know some REVERSAL pt of 2 end or 4 end to catch IMPULSE. How ? to do that we observe small time play - when that opp direction impulse getting strong ? so we use it.
So always we catch new trend turning, definitely as entry is anticipatory ,u will book loss early. Trend change standard signal of divergence is make us ready . Flatness in lower time MA signals BE READY, SO WITH AGGRESSIVE buy /sell with quick signal= trigger.
5] i trade it in higher timeframe, like day/week and later switched to hr/day ,but friend trades it in intraday -15min.
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basically in high probability transfer of bull/bear power trade is taken. He practices skill for 6month,and at that level.

I do some EOD study ,and with momentum showing take it. Just see Some days back ,when NIfty is not going up, how Rajesh Export starts moving at 402,- soon breaches 550- use Hr chart.
I use Rel comparative strength, and stock trader and happy with now 30% portfolio return per annum, put some observation/ hints to old associates in traderji.
SOME old 2011 trading concept video may be available in corporatebridgeacademy
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wish u best luck

 

[oilman5]

if anything u want to learn,to tackle future market - VOLATILITY.
SPEED at which price change can occur,unpredictable strong surge,equally undesirable opposite order flash. Pl prepare strongly for RANDOMNESS ,price shock due to news-read TONY PLUMMER.
LIES or hypes by media- understand what is objective -which can influence 10% atleast EPS growth, already not factored .
But for mechanically trade-use AROON - which filters trend perfectly,trade less but improve hit rate,use small stop

 

[vishnu_1990v]

Oilman Sir,
Once again thanks for a nice post.
I have received your above post at correct time for me.
I am going through a different phase, but this is important to me.
Please share your experience about price action method.
vishnu_1990v

 

[oilman5]

If someone has time one should read-MY LAST THREAD.
IN TRADING an initial learning phase exists ,where we all rooky mistake- its 1991-2001.Since by nature i risk from profit ,i study an idea and then experiment with some written habit,so a single sentence - I AM NOT PROFITABLE TRADER.
Next - enough is enough - MY LAST TRY (some guidance hint from tradingmarkets) in one yr i understand and trade 2002 - its flat market where i mastered and successfully tested blood- in intraday,and BTST.
very simple momentum style,EOD study ,metastock -% up and volume strength -indicator,
since i was a chess player ,calculated risk i can take, all decision -entry /exit taken before. So cashflow is very easy.
Later i shifted to intermediate term.
With intermediate 6-8 month ,hold trade also i shifted to SWING 2-4 days from 2007,with learning from a famous trader video.So i mastered cup&handle.
Since it takes good fundamental ,so i learnt week end 2+ 2 yr course from ITM & BSE .
in 2006 for trading i attended some ideas of tradingacademy-video course(that is on orderflow with quick decision make),and later 2010 onwards i was under their training with trend/demand-supply ,later further strengthened by SAM in 2013.
Since i was TA addict previously,so in 2011 ,with spl arrangement with corporate bridge, advance TA was given to them on live trade+ news reflection on prices ,with elliott, as well as DOW THEORY, cyclicity,random factor ,counter trend ,break out.
Best course to read i believe is TREND-DYNAMICS TRADE THEORY.
Coming to PRICE ACTION THEORY I WILL WRITE NOW.

In 2010 ,I MADE SOME TRADE GUIDANCE FROM TRADERJI,ALSO I KNEW IN DETAIL SOFTWARE LIKE METASTOCK/OMNITRADER

 

[oilman5]

Please share your experience about price action method.-

MY COMMENTS R PERSONAL NOT TO HURT ANYONE.
in 2008 i come with this term -and immediately phoo-phooed, i am told by SAINT -its good , i said -no thanks .
i dont bother to learn further as i had good return ,also i do counter trend . my trade logic= NIGHT PREPARATION ,
IN MARKET HR, IS FOR EXECUTION - NOT FOR TRADE DECISION.
TRADERJI was of similar view with TREND IS UR FRIEND.
BUT IN LECTURES with some good traders i see their strong clarification on trend, and price action is best to trade as per intraday flow.
Its basically -higher high,higher low =uptrend applied in intraday. Next is PIVOT- if pivot is breaking too easily ,trend is strong.
but i do extensively ERL study as its failure = sign of trend.
Niranjanam & many Saint students ,Subhadeep ,xray27- mastered it .
I think original work by Perry Mason ( aka heiken ashi) is must to read it.
Some video guide from AL BROOKS is ok.

Pratap the gifted one, can do very much programming out of it ,as well as other excellent add-on.
ST ,probably the best trader in this forum , knows how to use it and when it fails -so can also trade against it. HE has guided many in past.
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we all study price action in market ,but differently trade it. Pure second feed i study to see -impulse.
Many a trade based on 1/3/5 min price action study - who has strong flexibility , pure price action creates STRESS. SO DECISION MAKING FILTER IS NECESSARY.it has to be supported by demand/supply or a simple MA for direction bias.
Natural feel for price and quick to execute in danger is must .
Define the day-up/dn/volatile helps to trade.
i consider -most of them r lucky as mastered the price reading skill.

AS I AM PROACTIVE TRADER,PLANNED BEFORE- its only a directional confirm tool.yes i do extensive study on 10 min candle to understand strength of bull/bear.
WRB study is MUST ,IF WANT MASTER PRICE ACTION. i do zig-zag to see highly confluence zone on fib+supply/demand of recent past.
So with objectivity i dont use, nor for intraday as used in many popular thread - but may be using unconditionally as more than 20yr i have seen live chart,and strong with objective EOD study.
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repeating again: its best as new learning technique for intraday trader. NOT REQD AT ALL ,IF ALREADY HAS SOME +IVE EXPECTENCY 4% RETURN /MONTH FOR LAST 2 YR.
u must have clear slate to learn it, no past bias.
good pa trader i have seen ,r using with it fib/std support-resistance and observe HOW price behave there -dont trade mechanically.

 

[nifty trade]

Good oilman ji, thanks for sharing

 

[vishnu_1990v]

Oilman Sir,
:thumb: :clapping::thanx:
vishnu_1990v

“He who asks a question is a fool for five minutes; he who does not ask a question remains a fool forever”

“Tell me and I'll forget; show me and I may remember; involve me and I'll understand.”

 

[oilman5]

To learn trading is not easy,-gimmick of snake oil vendor is different- every body knows whenever his yrly trading P &L a/c is asked - he shied away .
From my personal journey - i am suggesting to move now in smallest time to higher time frame.
1] scalp trade - momentum trade,basically mastery in orderflow - many a level2 material video available. i used OTA -Mike m.
2] Price Action Trader- very good material available in traderji.
pivot, price rejection and how easily it breaks .
3] sideways market - conventional trade -entry at support/exit at resistance. With little bit twig at breaking at resistance makes it tradable. So flow development concept is imp. Also WRB
4] intraday swing - as swing is pivot hold trade, here we identify beforehand some charactertics yesterday HIGH,LOW, OTHER STD STRONG HR CHART SUPPORT/RESISTANCE . AT THOSE KEY PT ,we take the trade based on candle rormation or orderflow. reversal candle r imp trading arsenal.
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now i am suggesting other timeframe trade more than intraday.
5] BTST - its basically momentum flow around 2-30pm with strong buy by strong hand FI etc. which shall continue next day - catching the gap ,- yes to be used in future /or in dabba.
6] swing 3-5 days - my core technique. Daily chart support/resistance holding + confirmation by price is trigger. all calculation done before ,trade taken -no need to watch (strike rate about 60%) target ERL in day chart.
7] short term position trade (10-20 days) -u see the trade before , now ur target is reached very easily suggesting more momentum left, so i simple allow profit run 50% - may also add if some very good catalyst published. Basically shift to week chart( 2-4 week move ) - same analogy of 1bar strength .
8] complex intermediate term trade - actually its strong market long term play ,based on fundamental of some sector i knew since many yr. Quarterly results updated ,based on EPS increament or sell/get out. Also bought them in big price depression. This is discretionary.
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this much i find workable