Scalper's Forum

[vpsarathy]

Kripal,
I am trying to learn scalping. Where can I read about Risk factor and how to use it?

VPS

[rkripal]

Originally Posted by vpsarathy

Kripal,
I am trying to learn scalping. Where can I read about Risk factor and how to use it?

VPS

Hi VPS

read this forum carefully from the beginning.
you can also go to investopedia for more info about scalping.
trader111 has explained rf here

http://www.traderji.com/day-trading-...tml#post186663

btw i am also a student, trader111 can help you about learning scalping.


kripal

[vpsarathy]

Kripal,

Tks 4 yr reply.

http://www.traderji.com/day-trading-...tml#post186663

Something wrong, I a unable to reach this site. Getting errors. Pl check validity.

VPS

[trader111]

VPS,

read post #4,5 atleast on first page of thread.
http://www.traderji.com/day-trading-...tml#post186005

If anything is not clear, feel free to ask

[vpsarathy]

Trader111,

Thanks for starting this useful thread. Your language is lucid and clear but I need to know real basics

"Wikipedia link: http://en.wikipedia.org/wiki/Market_microstructure
Serious reading: Trading and Exchanges: Market Microstructure for Practitioners"

Wiki... gives only synopsis
The book is very expensive almost Rs 4000/- which I cannot afford
Are thee any good Indian books?

Still I donot know what RF - 1.5 means. Pl transalate
Donot understand 1min chart

"You can see the Refresher on chart as well but it is better to train oneself to see it in the order book. This may require more than a month but it is important bcos remember that a chart will be slow for high volatile stocks.

If you wish to scalp NF or sensex heavy weights than the Refresher thing does not matter for you."

I donot make head or tail out of this.

""3. Practice exiting trades at no-loss: using a 1-2*RF target."" - this is a bouncer for me

"1/3*RF soft stop (mental stop) and a one RF hard stop"- again a bouncer

How will I know exit and entry points??

I sound very stupid don't I? I am very eager to learn.

It is better to ask when you don't know something and allow people to laugh at your stupidity than not ask at all and remain stupid all your life. In the first case you are stupid only once for a short time till you get your answer


This is my attitude

Pl reply if you have the patience and energy to tolerate my stupid questions. Even if you donot reply I will understand. No hard feelings at all. I am willing to be a good student

Still I will have to find answers to follow your thread and will do so.

Thanks for your precious time for reading this

VPS

[trader111]

Originally Posted by vpsarathy

Your language is lucid and clear but I need to know real basics

Not really clear, no problems to admit that. I post little, and visit few forums, this thread is my first endeavor, so ur replies can only help.

"Wikipedia link: http://en.wikipedia.org/wiki/Market_microstructure
Serious reading: Trading and Exchanges: Market Microstructure for Practitioners"
Wiki... gives only synopsis
The book is very expensive almost Rs 4000/- which I cannot afford
Are thee any good Indian books?

Analyzing high frequency data is far from reach of most people. Neverthless it is worthy to keep eye on developments in the field.

But frankly it does not matter for a beginner, is more of a concern when u grasp the basics from orderbook.... takes some time.

Have not heard yet any home written book on the subject. Search for papers with keywords 'microstructure', bid-ask behavior etc. I believe plenty of information is available on internet; have not given links because don't want the thread to become academic and deviate from trading.

Still I donot know what RF - 1.5 means. Pl transalate
Donot understand 1min chart

I have posted many 1 minute intraday charts on prev pages of thread. For any real-time chart if u set the period as 1 minute, u will have it.

"You can see the Refresher on chart as well but it is better to train oneself to see it in the order book. This may require more than a month but it is important bcos remember that a chart will be slow for high volatile stocks.

Pick few stocks like the ones Kripal has been posting. Watch the order-book for few days. You will see patterns of bid-ask behavior, when a stock turns around or someone aggressively buys/sells a stock. If you have already done this, post here during live market hours and I will try to help.

If you wish to scalp NF or sensex heavy weights than the Refresher thing does not matter for you."
I donot make head or tail out of this.

In instruments where tick volume is too high, this task becomes difficult with naked eye as only tool.

""3. Practice exiting trades at no-loss: using a 1-2*RF target."" - this is a bouncer for me
"1/3*RF soft stop (mental stop) and a one RF hard stop"- again a bouncer

Once you began to note the RF, this comes naturally. For eg. Kripal suggests CAIRN's to be 90 paisa on 2nd. Means u exit if it moves against you by 1/3*90= 30 paisa. Your target will be to scalp anything from 90 paisa to 180 paisa, that the market is willing to give.

How will I know exit and entry points??
I sound very stupid don't I? I am very eager to learn.

You have come to the meaty part.
I suggest two entries:
1. When you identify a refresher, stick to him
2. A momentum based scalp, for eg. on breakout

It is better to ask when you don't know something and allow people to laugh at your stupidity than not ask at all and remain stupid all your life. In the first case you are stupid only once for a short time till you get your answer

This is my attitude
Pl reply if you have the patience and energy to tolerate my stupid questions. Even if you donot reply I will understand. No hard feelings at all. I am willing to be a good student
Still I will have to find answers to follow your thread and will do so.
Thanks for your precious time for reading this
VPS

You are welcome.

[dsugandhi]

Friends,

How do we configure Amibroker to get NSE/BSE quotes?

[trader111]

Originally Posted by dsugandhi

Friends,

How do we configure Amibroker to get NSE/BSE quotes?

There are several utilities available to feed live data to AB from PIB or ODIN...look in related sections of the forum.

Originally Posted by rakamath

thanks a lot for this useful thread on scalping.
can you please elaborte on how to calculate risk factor and what do the numbers given against the scripts exactly signify.

Again the RF is just a term I use for managing risk. If anybody still have problems in that tell me a stock at market start and I will try to post live how it effects scalping decisions.

[vpsarathy]

Trader111,

I simply donot make head or tail out of RF. What is it? How is it calculated, taking into a/c what factors?How is it helpful to traders?

I asked you something like this earlier but your answer didnot give any clarity. Now I find that there is some one like me.So I feel bolder to ask explanation either from you or from the other gentleman whom you referred in your reply to me.

Eagerly awaiting reply,

VPS

[trader111]

OK I will repeat:

If anybody still have problems in that tell me a stock at market start and I will try to post live how it effects scalping decisions.

and btw there is nothing like being bold or being intimidated