Hey there fellow traders!
Starting this thread to paper trade one of my index trading strategies....
1. I will only be able to post the trades after the market closes. I have a full time job and won't be able to check if the system has given a signal or not.
2. Trades will be entered on the LTP (Last Traded Price) of the signal day.
3. The quantity will vary for each trade. It will depend on how wide the Stop is. If the Stop is too wide, we will use less quantity and vice versa.
4. At Target 1 we will exit 50% (Rounded Up) of the position and move Stop to Entry.
5. At Target 2 we will Exit another 40% (Rounded Up).
6. We will keep the remaining position open (10%) with a trailing stop based on Initial Risk Interval (IRI).
7. I want to try this on a big scale (Apna paisa kahan laga hai!!
). So we will keep the initial risk for each trade @ Rs. 3,00,000/-
8. Stop Loss could vary between 300 to as high as 800 points. So the quantity per trade would vary accordingly from 35 to a minimum of 10 lots.
9. Since this is a big position, we will consider slippage for each trade @ 30 points.
10. I plan to continue this diary for a minimum of 1 year and see how it performs.
11. The backtested results for this strategy for this calendar year are....
A. Strategy I
Trades = 22
Win = 19
Win% = 86.3%
Total Gians = 4685.25
Total Loss = 1141.55
Gain/Loss = 4.10
Net Points = 3543.70
Total % Gains = 18.42%
Avg % Gains = 0.84%
B. Strategy II
Trades = 22
Win = 14
Win% = 63.6%
Total Gians = 7152.95
Total Loss = 2572.75
Gain/Loss = 2.78
Net Points = 4580.20
Total % Gains = 24.69%
Avg % Gains = 1.12%
Currently the system is in buy mode. But it achieved both the targets and also hit the trailing stop without giving a sell signal. So we are out of the markets right now.
This strategy works best on Bank Nifty. It has given positive returns for Nifty as well. And I will start a separate Diary for Nifty Futures.
For some reason, this system does not work on stocks as a whole. Sure some stocks give very good performance, but there are also those stocks which simply hit the Stops every time. But just to be thorough, I will also start a Stock Diary, first for Nifty 50 stocks, and then for the whole F&O Universe.
Cheers!!
Starting this thread to paper trade one of my index trading strategies....
1. I will only be able to post the trades after the market closes. I have a full time job and won't be able to check if the system has given a signal or not.
2. Trades will be entered on the LTP (Last Traded Price) of the signal day.
3. The quantity will vary for each trade. It will depend on how wide the Stop is. If the Stop is too wide, we will use less quantity and vice versa.
4. At Target 1 we will exit 50% (Rounded Up) of the position and move Stop to Entry.
5. At Target 2 we will Exit another 40% (Rounded Up).
6. We will keep the remaining position open (10%) with a trailing stop based on Initial Risk Interval (IRI).
7. I want to try this on a big scale (Apna paisa kahan laga hai!!
). So we will keep the initial risk for each trade @ Rs. 3,00,000/-8. Stop Loss could vary between 300 to as high as 800 points. So the quantity per trade would vary accordingly from 35 to a minimum of 10 lots.
9. Since this is a big position, we will consider slippage for each trade @ 30 points.
10. I plan to continue this diary for a minimum of 1 year and see how it performs.
11. The backtested results for this strategy for this calendar year are....
A. Strategy I
Trades = 22
Win = 19
Win% = 86.3%
Total Gians = 4685.25
Total Loss = 1141.55
Gain/Loss = 4.10
Net Points = 3543.70
Total % Gains = 18.42%
Avg % Gains = 0.84%
B. Strategy II
Trades = 22
Win = 14
Win% = 63.6%
Total Gians = 7152.95
Total Loss = 2572.75
Gain/Loss = 2.78
Net Points = 4580.20
Total % Gains = 24.69%
Avg % Gains = 1.12%
Currently the system is in buy mode. But it achieved both the targets and also hit the trailing stop without giving a sell signal. So we are out of the markets right now.
This strategy works best on Bank Nifty. It has given positive returns for Nifty as well. And I will start a separate Diary for Nifty Futures.
For some reason, this system does not work on stocks as a whole. Sure some stocks give very good performance, but there are also those stocks which simply hit the Stops every time. But just to be thorough, I will also start a Stock Diary, first for Nifty 50 stocks, and then for the whole F&O Universe.
Cheers!!
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