Pivot Trading- a new way of Trading

Dear subhadip,

I have doubts in below wipro chart.is it ERL which i marked in below chart.if it is how to handle this erl? I was short there but my trade failed.

Regards

Mmohanar
 
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Subhadip

Well-Known Member
Dear subhadip,

I have doubts in below wipro chart.is it ERL which i marked in below chart.if it is how to handle this erl? I was short there but my trade failed.



Regards

Mmohanar
Why short there?
Please explain.

By seeing I can say that u have not understood the essence. Please refrain from trading and posting these methods.

Thanks for your cooperation.
 

blackberry

Well-Known Member
Dear subhadip,

I have doubts in below wipro chart.is it ERL which i marked in below chart.if it is how to handle this erl? I was short there but my trade failed.



Regards

Mmohanar
No ERL here .concentrate only on mpl mph.no short here.you are shorting Index stock when nifty is flying...?

First why you haven't taken long.It is clear buy.making higher lows.and you are shorting after 1 pm.read thread from begining
 

sangram1705

Well-Known Member
Trades are excellent. But do u understand the logic. Also can u take these kind of trades in future every time?
Dada,
just because a trade closed in profit, can we say it is an excellent trade?

Afterall he is trading inside bars.moreover he is taking a tiny 5 min bar's high as SL & bar's low as entry.

If one goes by this system, we will end up making our broker rich.

Manmohar bhai pl dont take offense. All I am trying to tell is this is not workable also not as per rules of 8/21 MA. If you have taken this trade as per any other system pl ignore my msg.
 
No ERL here .concentrate only on mpl mph.no short here.you are shorting Index stock when nifty is flying...?

First why you haven't taken long.It is clear buy.making higher lows.and you are shorting after 1 pm.read thread from begining
Dear blackberry,

I was already long on Hindustan Unilever today.
I booked profit on that script.

Suddenly I see this wipro script I felt it is ERL.so I short there.

Regards,

mmohanar
 
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blackberry

Well-Known Member
Dear blackberry,

I was already long on Hindustan Unilever today.
I booked profit on that script.

Suddenly I see this wipro script I felt it is ERL.so I short there.

Regards,

mmohanar
Manohar

Main purpose of ERL to identify vpl vph.shorting below that could be a bold step or I would say aggressive trade
 

anilnegi

Well-Known Member
Dear subhadip,

I have doubts in below wipro chart.is it ERL which i marked in below chart.if it is how to handle this erl? I was short there but my trade failed.



Regards

Mmohanar
Mr. mmohanar

there is no short there, its very simple strategydont make it complicated

 
IDF – Intra Day Flow
Disclaimer: The below mentioned write-up is an attempt to derive a workable understanding from a relatively complex system IDF, its only for beginners like me to atleast have some grasp of the concept. I know I might have made multiple mistakes in interpretation or comprehension,Dear Subhadeep and other seniors can help to correct them.
Some important terms, phrases and common diligence related to concept:
Intraday - as we liquidate all our positions intraday
Flow- flowing with trend till it exhausts and changing direction when trend changes.
Perspective chart 15min.
Trading chart 5min.
It is a price action strategy.
Any indicators: none
Applicable: only in strong trends
Stay out in sideways, Flags, wide range opening bars - one gets tossed around both ways if you follow this strategy in such a market.
No catching of tops and bottoms- being trend traders we can't hope to catch the extremes, just be a part of an existing trend till it exhausts.
Concept of ERL: early reversal line (post#223, page23, this thread, on how to draw it) is basically meant to alert and get you out of a trend (and position) just when it starts to reverse and taking a counter position after the counter trend is established.
A word of caution: in the beginning counter trends should best be avoided (as the counter move may be limited), and better to take with the trend reentries if they arrive. Trends can last longer than most traders expect.
Breakdowns are always more dependable than breakouts.
A bear is a bear (as Subhadeep once put it) : we should be more aggressive in adds in a bear than a bull.(rjshem once said)
As with all price action strategies the quality of set up is important, for e.g. a long over a pivot composed of dojis without any good bodied bull bar is a suspect set up which may fail and give a trade in other direction
Entry : at the break of yesterday's visual pivot, minor pivot (will be elucidated further in detail with chart examples)
When we enter in the direction of yesterday's trend our rules are relatively liberal (we enter at the break of yesterday's minor pivot), because it is perceived as a continuation of yesterday's trend, we enter early.
When we enter against the direction of yesterday's trend we are more cautious and look for break of more dependable visual pivot .
Adds: at minor pivots, 2 or at the most 3adds (Smart_trade)
Exit : break of mpl if long or break of mph when short or a known support/resistance.
Yesterday's visual trend/range: the visual trend/range of yesterday's last trading session (tentatively 1:30 to 3:30)
Open Gap up/ gap down in yesterday's range - quoting ST's post that explained this (crystal:))
Opens gap down/ gap up in yesterday's afternoon range.

Let us say market is in uptrend,then in the afternoon the upmove accelerates and market closes at or near the high of the day.Next day the market opens gap down in earlier day's (meaning today's) afternoon range.

Smart_trade
......,........,
Visual Sideways: easier to see in 15min chart (price moving in range)
Visual pivots: easier to see in 15min chart ( every minor pivot in 15min chart is a visual pivot)
I am intentionally leaving the erl based entries for the time being to keep it simple. Instead I include the visual pivot enteries( a more stricter condition) where erl is part of entry condition. So we are not concerned whether price opened above or below erl as we are entering on visual pivot break.
All the conditions enumerated below are for opening trade .
Yesterday visual up and price open in range , we go long at the break of yesterday's minor pivot high mph (consider it as a trend continuation)





Yesterday visual up price opens gap up above VPH we go long over today's minor pivot formed over today's first bar (this guards you in case a gap opening is followed by gap filling)




Yesterday visual down and price open in range , we go short at the break of yesterday's minor pivot low.(consider it as a trend continuation)




Yesterday visual down price opens gap down below VPL we go SHORT below today's minor pivot low formed below today's first bar (this guards you in case a gap opening is followed by gap filling)






Yesterday's sideways today open in range, wait for a 5min candle to close outside the range that is above or below it, then go long or short accordingly above or below that candle.




Yesterday's sideways today open gap up above vph, go long over minor pivot high formed over first bar.




Yesterday's sideways today open gap down below VPL, go short below minor pivot low formed below first bar.




To be continued: Atleast two opening conditions are missing, till i find good charts to describe them.
thanks
regards to Subhadeep and all my seniors
Vivek
 
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