All You Need For DayTrading

ajeetsingh

Well-Known Member
#1
Hi friends
I am starting this new thread to help others with the material like excel files, AFL's, websites, ebooks, softwares.... that you need for Day Trading.
Hope newbies will get help from these!
I will post new material as soon as I get time to post but please don't post any requests as I can share what i have, there are numerous things spreaded over net that I don't have.
 

ajeetsingh

Well-Known Member
#2
To start with... here's the one finest collection of Afl's from our fellow trader,shivangi
she updates her collection on weekly basis.
Afl is amibroker formulae language which is code behind any technical buy sell signal in amibroker software

Click here or Click here to go to Afl collection.

Please click thanks button if above link was helpful to you as I will get stats that how many traders are getting benefited from my post, otherwise there is no use of wasting time by sharing all what you have.
 
Last edited:
#3
To start with... here's the one finest collection of Afl's from our fellow trader,shivangi
she updates her collection on weekly basis.
Afl is amibroker formulae language which is code behind any technical buy sell signal in amibroker software

Click here to go to Afl collection.

Please click thanks button if above link was helpful to you as I will get stats that how many traders are getting benefited from my post, otherwise there is no use of wasting time by sharing all what you have.
click here link not working..
 

ajeetsingh

Well-Known Member
#7
Update 2:

How to trade GapUp or GapDown Opening?

Below I have attached some scanned images from my notes, which give general idea how I think to trade Gapup and Gapdown opening.
A gapup/gapdown opening is when market opens much above or below yesterday's close. the difference must be cosiderable.
You can select interval of charts as per your trading style.
Hope you find it useful :thumb:

















 

ajeetsingh

Well-Known Member
#8
Update 3:

Using Fibonacci in DayTrading

In markets, absolute do not exist. The only help an investor gets in anticipating future price trends is given by the possibilities and probabilities that are present in all mathematical game theory.
I have found that there is only Fibonacci and Elliott wave principle, which can give wider variety of price movements and it is able to quantify their possible resolution more accurately. It is best technical tools among all the technical indicators.
There are many type of investors in the market but no one can earn money like Elliott wave followers. This is wonderful technical tools than others in the stock market.
How will you use the Fibonacci in Intraday.
In finance, Fibonacci retracements is a method of technical analysis for determining support and resistance levels.They are named after their use of the Fibonacci sequence. Fibonacci retracement is based on the idea that markets will retrace a predictable portion of a move, after which they will continue to move in the original direction.
Fibonacci ratios are...............
0%, 23.6%, 38.2%, 61.8%, 76.4%, 78.6%, 100%
First of all find the daily volatility.
Where you will find the daily volatility. I am giving a link on NSE website. To see the volatility go through this Link.
There you will see a attachment of daily volatility file in Excel. open this.
There you will find nifty current volatility in ( G ) columns.
and nifty previous day volatility in ( F ) columns
As you see,suppose previous day volatility in ''F'' columns is at 0.0066.
Multiply it with 100. 0.0066 x 100 = 0.66.
This is your previous day volatility. I am giving this example so that you can assume the fact. After that you calculate the range of nifty. I am telling you this formula to find the range of nifty for next day.
The previous day volatility is 0.66. That means nifty can move 0.66% in either direction.
Closing price of previous day suppose 5851.50 x 0.66% = 38.61 points.
Means nifty can go up 38.66 points and can fall 38.66 points. means lower range for nifty will be 5851.50-38.66= 5812.84 and upper range for nifty will be 5851.5+38.66= 5890.16
Now what is the importance of Fibonacci.
just see.
Now consider the ratio. In stock market 38.2% and 61.8% are two important ratio to consider the trend. Means if prices fell below 38.2% the trend may proceed in further direction and if price fell below 61.2% means confirm negative. Similarly if price go above 38.2% the trend is entering in positive and if go above 61.8% it is confirmed positive trend.
Now our volatility point is 38.66. find the value of 38.2% of 38.66 = 14.76 points.
subtract this point value from closing price. 5851.50- 14.76= 5836.74. This is the first support area.
Now market low that day was 5839.15 and market 38.2 retracement level was 5837. market reversed from that area and did not cross the maximum volatility range which was 5890. It made high 5886.10.
Generally we see market move in small range and these Fibonacci ratio work very well. In highly bullish or bearish range market will complete another cycle of volatility point.
So in the down side 38.2% and 61.8% are support area and up side 38.2% and 61.8% of volatility are resistance area.
You can setup your trade with this formula in intraday.
Similarly you can find next day range of nifty.
If Current volatility is 0.65
If market open gap up above 61.8% of volatility points consider intraday trend is positive, and if market open gap down below 61.8% of volatility means intraday trend is down. Often near its lower range and higher range trading in opposite direction with stoploss of 6 points are more profitable.
Consider trend is confirm bullish above 61.8% of volatility point
and trend is confirm negative below 61.8% of volatility points. in range bound market buy near lower range of market is more profitable setup. similarly sell near its up side range is more profitable. market often reverse 3-4 points before from its range.
remember if you are trading with this setup your stoploss should be 7 points only.
In bullish up trend on eod base 38.2% and 61.8% lower side level work very well for reversal. similarly in negative trend 38.2% and 61.8% work very well for reversal.
I am confident it will really improve your intraday trading.
 

ajeetsingh

Well-Known Member
#9
Update 4:

Choosing a stock for DayTrading


  1. Pick of list of favorite stocks or companies. Most day traders start with a list of at least 100 stocks, and then narrow it down from there. For day trading, seek stocks that are liquid. This means they are highly active with many participants. Many day traders will not consider stocks that trade fewer than 10 million shares on an average day. You can chart daily trading volume with most good stock trading software or on sites such as Google Finance or yahoo Finance.
  2. Understand the concept of a "trending" stock. A trend simply means that a stock is moving in an overall single direction. But price charts often appear volatile and random. The Dow Theory presented a hundred years ago defined how a price chart should reflect a genuine trend. The theory states that an up trend occurs when the cycle of prices creates "higher highs and higher lows." As prices decline off a new high, they fail to fall as far as previous declines. After the decline, the stock rises up higher and forms a new high and the process continues indefinitely. A down trend is the mirror opposite of this.
  3. Study the charts of each stock on your list to see how they have been behaving over the long term. While day trading involves opening and closing positions on the same day, it is still necessary to see the multi-month progress of a stock in order to understand how traders are likely to perceive any given day. Price trends can occur on any time frame. The chart of a stock's price over an entire year may resemble the chart shapes of the stock over a single day. A common goal in day trading is to capitalize on short-term trends that are building to help complete a larger long-term trend. Find stocks that are in a trend over several days, weeks or months.
  4. Create intraday charts of medium duration for each stock you discovered to be in a long-term trend. Many day traders use 1-minute or 5-minute charts for trade execution, but you should study intraday charts of longer duration. A 1-hour chart would display one price point for each hour of the day over the course of many days.
  5. Study these short-term intraday charts to further isolate those stocks which are trending on this small time frame in the same direction as the trend of the long-term time frame. This will narrow down your list further.
  6. Create tight intraday charts over the last two or three days of the stocks that remain on your list. Use 5-minute or 10-minute charts and identify which stocks have exhibited a tendency to trend in the same direction as their larger trending patterns. When charts are created with such small increments, you are unlikely to see one overall pattern last for more than a couple hours. However you can identify those stocks that are demonstrating clear trending opportunities more often than others on the list.
  7. Choose any stock on your list that has lasted through all three trend tests. If you are comfortable, you can monitor all the stocks that remain on your list, but this requires you to be more observant in real-time. This may be difficult for those new to the field.
  8. Create a short-term intraday chart of 1-minute or 3-minute increments. During the normal trading session, watch this chart until a trend develops that moves in the same direction of the longer-term trends already discovered. Purchase a stock that is in an up trend on all time frames. The goal is that this short-term intraday trend will help power the next-larger time frame to continue its trend, which in turn influences the next-larger time frame
Hope, now you can choose a stock wisely :thumb::thumb:
 

ajeetsingh

Well-Known Member
#10

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