Little tips on Intraday Trading

abdur

New Member
#1
choose a share for intraday and apply this formula
H+L+C=A (where H= Previous day high, L=Previous day low, C=Previous day close, A= sum. of H L &C)
A*0.67=Z (0.67 is a constant fraction and Z=Result)
Z- H = S (S = Support for that day)
Z- L = R (R = Resistence for that day)
Z- C = P.B (P.B = Possible Buy)

If P.B is found nearer to R sale it for intraday
This is called FRACTION THEORY and every one can get support resistence for nifty /sensex by this method.
try this theory and it is very effective .
 
#5
Hi abdur,

Good work.can u pls explain how to trade with this sup/res points.
If P.B is found nearer to R sale it for intraday-for example for vsnl
H: 383
L:372.2
C:375.9
next day If vsnl opens at 376 what should i do?
 

asnavale

Well-Known Member
#7
This is nothing but Pivot Point Formula. The pivot point formula is like this:

H=Prev day High, L=Prev day Low and C=Prev day Close.
Using these calculate the PIVOT POINT(P) as follows:

P=(H+L+C)/3

From this Pivot Point(P) calculate the resistance levels as follows:

First resistance level (R1)

R1=(2 X P)-L

Now you can see 2 X P=(H+L+C) X 2/3=(H+L+C) X 0.67 which is given as Z by Abdur in his post. Therefore, the first resistance level R1 is same as Z - L as given by Abdur.

Similarly, the first support level (S1) is calculated as:
S1=(2 X P) - H = (H+L+C)X2/3 - H = (H+L+C)X0.67 - H

This is same as Z-H as given by Abdur.

The second Resistance (R2) and support (S2) Levels are calculated as:

S2 = P - (H - L) = P - (R1 - S1)
R2 = P + (H - L) = P + (R1 - S1)

These are not given by Abdur.

You can get full details of Pivot Points and how to trade with them (intra-day) by following the link:

http://www.investopedia.com/articles/technical/04/041404.asp

Abdur has given the Pivot Point formula in a different way by using different letters like Z, PB etc. It is nothing new. Pivot Point trading is well known technique and is known from a long time. It is not a formula discovered by Abdur. It would have been better if Abdur had mentioned about the source of his formula.

-Anant
 
#8
asnavale said:
This is nothing but Pivot Point Formula. The pivot point formula is like this:

H=Prev day High, L=Prev day Low and C=Prev day Close.
Using these calculate the PIVOT POINT(P) as follows:

P=(H+L+C)/3

From this Pivot Point(P) calculate the resistance levels as follows:

First resistance level (R1)

R1=(2 X P)-L

Now you can see 2 X P=(H+L+C) X 2/3=(H+L+C) X 0.67 which is given as Z by Abdur in his post. Therefore, the first resistance level R1 is same as Z - L as given by Abdur.

Similarly, the first support level (S1) is calculated as:
S1=(2 X P) - H = (H+L+C)X2/3 - H = (H+L+C)X0.67 - H

This is same as Z-H as given by Abdur.

The second Resistance (R2) and support (S2) Levels are calculated as:

S2 = P - (H - L) = P - (R1 - S1)
R2 = P + (H - L) = P + (R1 - S1)

These are not given by Abdur.

You can get full details of Pivot Points and how to trade with them (intra-day) by following the link:

http://www.investopedia.com/articles/technical/04/041404.asp

Abdur has given the Pivot Point formula in a different way by using different letters like Z, PB etc. It is nothing new. Pivot Point trading is well known technique and is known from a long time. It is not a formula discovered by Abdur. It would have been better if Abdur had mentioned about the source of his formula.

-Anant
We all know it's a pivot point formula and we all tend to use variations of the same ourselves.But that does not negate what Abdur has given in his post and since pivot point formulas are not covered by copyright there is no need for him to state his source.Since this forum is basically for sharing information what is the point in slamming Abdur for doing just that?By the replies he has received it is obvious that a few people hae appreciated what he has done.Well done Abdur, there are many newbies who keep joining this forum (may their tribe grow ) and such posts help in developing their education of the market.
 

asnavale

Well-Known Member
#9
My intention was not to slam or degrade the author of the post. I was suggesting that it would be better if some additional information in the form of links to the relevant subject are also given in the post. It would help the boarders to get more knowledge about the subject. It is not possible to give full details and strategies in the posts. So it is advisable to direct the members to additional information. If my post was appearing to be harsh or downgrading I apologise.

I would like to add here that some of the replies clearly show that the people who posted the queries are unaware of the Pivot Points. So, additional information will be very useful to them. I have even got several personal mails querying how to apply Abdur's formula. It was also surprising that some of those people had taken reading material on Pivot points and Pivot Point Calculator program from me. They did not realise that the Pivot Point formula was given by Abdur in a different form.When I pointed out the similarity they realised the point.

-Anant
 

Similar threads

Intraday Higher Leverage

Save up to 90% in brokerage and get higher leverage for intraday trades.

Name:Phone:
Email:City:
State:
Are you a day trader?