Traderji.com - Discussion forum for Stocks Commodities & Forex


Two candle strategy

Discuss Two candle strategy at the Technical Analysis within the Traderji.com - Discussion forum for Stocks Commodities & Forex; Originally Posted by karthik_sri Strategy We look for subsequent Two Green/White candle for Long & ...


Go Back   Traderji.com - Discussion forum for Stocks Commodities & Forex > METHODS & STRATEGIES > Technical Analysis

Technical Analysis Discussion of all the principles involved in technical analysis.


Reply
 
Thread Tools
  #41  
Old 1st October 2013, 12:42 PM
Member
 
Join Date: Jun 2012
Posts: 4
Thanks: 1
Thanked 3 Times in 1 Post
ulhas_zambare123 is on a distinguished road
Default Re: Two candle strategy

Quote:
Originally Posted by karthik_sri View Post
Strategy

We look for subsequent Two Green/White candle for Long & Two Red/Black candle for Short.

Rule:

1). The Second candle of the same color should not touch 50% of the previous candle.
2). When the condition (1) is met we place buy or sell order at the high/low of the second candle.

Target/Exit :

In case of Buy : 50% from the 1st candle Low and 2nd Candle High (Low-High/2) from the Buy price
In case of Sell : 50% from the 1st candle High and 2nd Candle Low (High-Low/2) from the Sell price

Stop Loss

In case of Buy: Target price difference less from the High price
In case of Sell: Target price difference plus from the Low Price

Applicability of Scrips: This strategy can be applied in all the Scrips, Futures, Options, Commodities. But better to avoid penny stocks/scrips

Applicability of Time frame: Can be applied in EOD, Hourly & any Time frame

The above Rules of Entry, Target & Exit will be confusing but I will explain through posting charts.

Cheers
Karthik

1 ) what we will do if order will not trigger in next immigate bar ???
2) still we will keep the order or we will cancel order ???
3) do we need bodied bar only or doji and doji + bodied bar such combination ???



Reply With Quote
The Following 3 Users Say Thank You to ulhas_zambare123 For This Useful Post:
augubhai (3rd October 2013), VJAY (1st October 2013), XUV-500 (6th October 2013)
Sponsored Links
  #42  
Old 1st October 2013, 02:40 PM
Member
 
Join Date: Jul 2007
Location: Hyderabad
Posts: 418
Thanks: 307
Thanked 942 Times in 298 Posts
karthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to behold
Default Re: Two candle strategy

Quote:
Originally Posted by Purushotham View Post
Dear karthik Sri
From the above chart, sell trigger candle is not the next candle of the two candles..... Please explain....

I am thinking that we will take buy/sell in the next candle only other wise we will close the setup and look for the next setup.
Dear Purushotham,
You are exactly right. If the buy/sell is not triggered in the next candle we will close the setup and look for the next setup.

I have to put these conditions in my main page. Will post this condition also. Thanks...My slipup
Reply With Quote
The Following 5 Users Say Thank You to karthik_sri For This Useful Post:
augubhai (3rd October 2013), Purushotham (2nd October 2013), sangi79 (11th November 2013), Shantala (1st October 2013), whisky (1st October 2013)
  #43  
Old 1st October 2013, 02:44 PM
Member
 
Join Date: Jul 2007
Location: Hyderabad
Posts: 418
Thanks: 307
Thanked 942 Times in 298 Posts
karthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to behold
Default Re: Two candle strategy

Quote:
Originally Posted by ulhas_zambare123 View Post
1 ) what we will do if order will not trigger in next immigate bar ???
2) still we will keep the order or we will cancel order ???
3) do we need bodied bar only or doji and doji + bodied bar such combination ???
The answer to your queries is given point by point

1). If Buy or Sell not trigerred in the immediate candle we close the setup and wait for another setup to form
2). Cancel the order and wait for another setup to form
3). Any such combination. Close should be > open in case of Bull and close should be < open in case of Bear. But the subsequent candle 50% level is very important!
Reply With Quote
The Following 5 Users Say Thank You to karthik_sri For This Useful Post:
augubhai (3rd October 2013), Purushotham (2nd October 2013), Shantala (1st October 2013), Vertigo_1985 (1st October 2013), XUV-500 (6th October 2013)
  #44  
Old 1st October 2013, 02:48 PM
Member
 
Join Date: Jul 2007
Location: Hyderabad
Posts: 418
Thanks: 307
Thanked 942 Times in 298 Posts
karthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to behold
Default Re: Two candle strategy

Quote:
Originally Posted by Vertigo_1985 View Post
i know a lot of filters would be needed but he hasn't mentioned any yet..maybe he can now...
There are no lot filters and only two...

1). To make the setup valid the second candle should not touch the 50% level of the first candle
2). If the setup is made the Buy/Sell should fullfill in the next candle time frame else cancel the order and wait for another such setup to form

That's it!!!
Reply With Quote
The Following 3 Users Say Thank You to karthik_sri For This Useful Post:
augubhai (3rd October 2013), Purushotham (2nd October 2013), Vertigo_1985 (1st October 2013)
  #45  
Old 1st October 2013, 06:03 PM
Member
 
Join Date: Jul 2007
Location: Hyderabad
Posts: 418
Thanks: 307
Thanked 942 Times in 298 Posts
karthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to behold
Default Re: Two candle strategy

Scrip: ZINC Futures
Time Frame : Hourly
Lot or per tick movement : 5000
Span Margin : Rs.14331

http://i.imgur.com/Syhb20U.png

Profit Rs.4000/-
Reply With Quote
The Following 7 Users Say Thank You to karthik_sri For This Useful Post:
Aarav11 (1st October 2013), anup (1st October 2013), augubhai (3rd October 2013), narayan78 (1st October 2013), Purushotham (2nd October 2013), Shantala (1st October 2013), XUV-500 (6th October 2013)
  #46  
Old 1st October 2013, 06:08 PM
Member
 
Join Date: Feb 2011
Location: Kodaikonal
Posts: 959
Thanks: 396
Thanked 698 Times in 288 Posts
Rish has much to be proud ofRish has much to be proud ofRish has much to be proud ofRish has much to be proud ofRish has much to be proud ofRish has much to be proud ofRish has much to be proud ofRish has much to be proud ofRish has much to be proud of
Default Re: Two candle strategy

Quote:
Originally Posted by karthik_sri View Post
Scrip: ZINC Futures
Time Frame : Hourly
Lot or per tick movement : 5000
Span Margin : Rs.14331

http://i.imgur.com/Syhb20U.png

Profit Rs.4000/-
Reply With Quote
The Following User Says Thank You to Rish For This Useful Post:
anup (1st October 2013)
  #47  
Old 1st October 2013, 06:09 PM
anup's Avatar
Member
 
Join Date: Sep 2012
Posts: 1,714
Thanks: 1,449
Thanked 2,164 Times in 969 Posts
anup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond repute
Default Re: Two candle strategy

Can someone post(charts) of nifty trades according to 2 candle method for today
Reply With Quote
  #48  
Old 1st October 2013, 06:20 PM
anup's Avatar
Member
 
Join Date: Sep 2012
Posts: 1,714
Thanks: 1,449
Thanked 2,164 Times in 969 Posts
anup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond reputeanup has a reputation beyond repute
Default Re: Two candle strategy

Karthik, A basic question : As you have told that 2 candle strategy can be tried on any frame. Can you suggest which would be the ideal time frame (5 mins,15 mins, 30 mins , 60 mins or 1 day)..
Reply With Quote
The Following User Says Thank You to anup For This Useful Post:
XUV-500 (6th October 2013)
  #49  
Old 1st October 2013, 06:21 PM
Member
 
Join Date: Jul 2007
Location: Hyderabad
Posts: 418
Thanks: 307
Thanked 942 Times in 298 Posts
karthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to behold
Default Re: Two candle strategy

Hi Anup,
NIFTY Futures of today in 15 min time frame!!!

http://i.imgur.com/DLldYn8.png

27 points profit with Rs.1350/-
Reply With Quote
The Following 3 Users Say Thank You to karthik_sri For This Useful Post:
Aarav11 (1st October 2013), anup (1st October 2013), Shantala (1st October 2013)
  #50  
Old 1st October 2013, 06:24 PM
Member
 
Join Date: Jul 2007
Location: Hyderabad
Posts: 418
Thanks: 307
Thanked 942 Times in 298 Posts
karthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to beholdkarthik_sri is a splendid one to behold
Default Re: Two candle strategy

Quote:
Originally Posted by anup View Post
Karthik, A basic question : As you have told that 2 candle strategy can be tried on any frame. Can you suggest which would be the ideal time frame (5 mins,15 mins, 30 mins , 60 mins or 1 day)..
The shorter time frame will give you profit & risk less vice versa in longer time frame. But in shorter time period u will get much opportunities but gauging the 50% level and placing the order within the prescribed time is the question as in 5 min time frame u will have to work out all these.

Suggest you try with 10min. But ideal is 15min where the profit & loss is decent.


Reply With Quote
The Following 6 Users Say Thank You to karthik_sri For This Useful Post:
Aarav11 (1st October 2013), augubhai (3rd October 2013), sangi79 (11th November 2013), Shantala (1st October 2013), shruti.trader (4th October 2013), XUV-500 (6th October 2013)
Reply

Bookmarks


Advertise Here


Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads for: Two candle strategy
Thread Thread Starter Forum Replies Last Post
Candle setting XUV-500 AmiBroker 3 10th August 2013 03:31 PM
how to set cursor on last candle? hmsanil AmiBroker 10 19th February 2012 05:58 PM
Colored candle SRJC AmiBroker 0 23rd May 2011 08:48 AM
Candle NOT touching EMA sanjeevbhatia MetaStock 11 27th February 2011 10:09 PM
Candle close AFL gansal AmiBroker 0 11th September 2010 12:36 AM


All times are GMT +5.5. The time now is 11:25 AM.

Indemnity, Disclaimer & Disclosure Notice:
By visiting Traderji.com you automatically indicate that you agree to our Forum Rules, Indemnity, Disclaimer & Disclosure Notice and General Content Disclaimer Notice and indemnify Traderji.com, its associates and related parties of all claims howsoever resulting from the usage of the forum/site.
Disclaimer: Trading or investing in stocks & commodities is a high risk activity. Any action you choose to take in the markets is totally your own responsibility. You are recommended to make appropriate enquiries and seek appropriate advise before sending money, incurring any expenses, acting on recommendations or entering into any commitment in relation to any advertisement published here. Traderji.com does not vouch for any claims made by the advertisers of products and services. Traderji.com will not be held liable for any consequences in the event such claims are not honoured by the advertisers. Traderji.com will not be liable for any, direct or indirect, consequential or incidental damages or loss arising out of the use of any information by anybody mentioned anywhere on this site.
Disclosure: The information in this forum is neither an offer to sell nor solicitation to buy any of the securities mentioned herein. The writers may or may not be trading in the securities mentioned.
All names or products mentioned are trademarks or registered trademarks of their respective owners.
General Content Disclaimer Notice:
In light of our policy of encouraging candid, open exchanges of views and the rapid distribution of information originating from many sources, Traderji.com cannot determine the accuracy or legality of any information that may be uploaded to the forum. Opinions, advice and all other information expressed by participants in discussions are those of the author. You rely on such information at your own risk. You are urged to seek professional advice for specific, individual situations and not rely solely on advice or opinions given in the discussions. Since Traderji.com is an open and free discussion forum, any comments made by members of this forum in their posts reflect their own views and not of the owner or administrator of Traderji.com. Thus the owner/administrator indemnify themselves of all claims whatsoever and will not be liable or responsible for any members comments/views in this forum Traderji.com. Although we constantly delete all irrelevant content and/or SPAM, if you should find any objectionable or offensive posts made by members of this forum which you would like to bring to our notice for removal then please Contact Us.
 


Copyright © www.Traderji.com 2001 - , All rights reserved.

Recommended Websites - www.TradersEdgeIndia.com - www.TradingPicks.com - www.MasterOfTrading.com

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70