My Day trading strategy - Need suggestions to improve it.

#1
I need some pointers from the hardcore traders here. I use a strategy where I purchase 10-20Rs high volume and liquid shares for intraday. Its working out pretty good for me. I only take 10-30 paisa per trade and make 5-10 trade per day. Now the issue with this method is that I have to take big stop loss here as small stop-losses always get hit. My risk reward ratio goes from 2:1 to 3:1 at times. which is not good.even though it rarely get hit I know in long run it will be a problem. Please advice me how I can ensure 1:2 or 1:3 risk reward ratio. Thanks for your inputs.
 
#2
I need some pointers from the hardcore traders here. I use a strategy where I purchase 10-20Rs high volume and liquid shares for intraday. Its working out pretty good for me. I only take 10-30 paisa per trade and make 5-10 trade per day. Now the issue with this method is that I have to take big stop loss here as small stop-losses always get hit. My risk reward ratio goes from 2:1 to 3:1 at times. which is not good.even though it rarely get hit I know in long run it will be a problem. Please advice me how I can ensure 1:2 or 1:3 risk reward ratio. Thanks for your inputs.
For a small ticket scrip, it is good enough. I think your breakeven would be about 1-1.5 paisa. This strategy is ok for day trade. Just don't spend too much time in a trade.

If possible, post some example of your trade, how much qnty, price, SL etc.
 

mohan.sic

Well-Known Member
#3
You can ensure higher RR ratio by entering at Break out/down points, support/resistance points, entering trades at 1 or 2 ticks above round numbers etc ...but max, try to trade in the direction of primary trend ( intraday)
But this will kill your count of trades.

If you want to make profit of only few ticks per trade, my suggestion is don't try to improve your risk/reward. concentrate on probability of profit.
 

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