mutlple ema cross on one bar...

to all the seniors.. what i have observed is when multiple ema cross on one bar.. it gives a very strong signal i have attached a chart to show what i mean.. for example 5 ema crosses 10 ema and 10 ema crosses 20 ema and 20 to 40 on the same bar.. then it gives a strong signal.. normally this happens after a sideways movement ending ..

any more information or study material on this .. or any explorer to find such stocks on eod basis so that we can track the accuracy for the same ..??

www.wise stock trader.com/indicators/3067-guppy-with-kbreain-trending-with-buy-sell-exploration
(Please remove spaces)

Dear masterstroke,

Multiple MA crossover strategies are very much there in market. Point is you should know when to initiate the trade. I mean on which crossover you need to take the trade and when to cover it. And where to place stoploss. Bcoz reversing on the same crossover will be painful sometimes.

There are many threads here in traderji focussing on MA crossover. Go and study them.

Remember, when all MA comes at one point, it means market is not clear in its trend considering past data, and a expectation of moving it in one direction strongly comes in. Its a similar way you can say, when volatility contracts, it can be said that coming days will see expansion in volatility, and direction of it matters.

So analyse few charts, and have proper SL plan, before jumping in it.

Have a good day...

dear amit thanks for the kbrain with guppy ema.. afl... one thing i have learned after looking to traderji so many times that when we test some system, we need to backtest it with exact and clear rules of buy sell and short and cover.. i have backtested kbrain with guppy ema .. it gives 27% return on nifty in eod basis... without brokerage and tax ..but the system draw dawn is 82 % ... any system we regularly follow cannot be this system...

any ways thanks for your input ... what i feel is the rules can be like this ...

buy is when 5 ema cross 10 ema and 10 ema cros 20 ema in single bar..

exit when price moves below 20 ema .. and so 20 ema will work as trailing sl..

same way for short...

if some one can add inputs in this it would be great .. yes there will be very few trades with this but it result should be excellent ...

In what Time frame have you checked and how rarely does this happen?

karnani ji i have checked 15 min for intraday and daily for eod charts.. and the results are pretty good..

MS, When you say "Cross on the same bar" do you mean "ALL" crossovers" happening at 'the same time' ?!
Can you just post a few Dates on which 5/10/20/40 EMA cross has happened in Nifty Futures on the same candle/bar? No need to post the charts.

Anilji, Masterstroke says :Crossover happening on the 'same' bar! It sounds different from the normal 'multiple crossovers' we read about.

Dear Umesh,

yes, what masterstroke is suggesting is on single bar, all three get aligned. Generally it happens lesser number of times than normal crossover techniques.

Thats the beauty of MA systems you can address multiple entry/exit criteria to it.

Anyway need to backtest, and then only one can comment on it.

For SL , is it intraday breach of 20 EMA or on EOD basis. I think masterstroke suggesting is on EOD basis.

yes if u simply put just 3 ema 5, 10 and 20 on even eod chart .. u will find some where 5 crosses 10 and 10 crosses 20 on the same bar... that would give excellent move in that direction ( if bullish cross, bullish and vice a versa)... i think this can be a start of a good trading system.. seniors can suggest stoploss and profit booking conditions ..