SH's 315 Strategy - how to make it more comfortable and profitable!!

[manoharpillai]

MA envelope is for larger time frame to identify sup. and res. levels if i said it anywhere please do not fallow it with 315 strategy i remember i said the combination of 34 ema along with 315 still not concluded my result in this .
Every one have to understand 315 is a system unique in its own way what ever alteration is done based on this system is to be treated as a new system/method let us not confuse it.

Look at this chart 315 cross over found res.or sup at ema 34 to some extent but 34 ema is not the end of the trend ...

 

[manoharpillai]

Spot nifty taken sup.@around 4990 intra-day any up move from here and cross over 3ema 5077 next possible target 5130 ie. 34ema

 

[mangup]

Dear RKK,

As requested the link of backtesting results done by Swingking is attached herewith.
http://www.traderji.com/technical-a...gy-how-use-if-effectively-104.html#post423579

Regards

mangup

 

[Tradewithhunter]

Analysis of a Tweaked strategy.... courtsey ccmb420 is attached, who was a member here but was banned for breaking Forum Rules : Have a look, seems nice. If it seems good to others too, I will request Shravan (ccmb) to share it here!! RKKarnani may also have some idea about it as he was in constant touch with ccmb. Request him to be more proactive about the strategy of Shravan and share whatever he knows about it!!

Impressive!!

Believe me I have done a lot of work to see if taking partial profits based on pre-defined levels would increase the overall profitability or not ... I have burnt midnight oil for several days....analysed maximum excursions et al to optimise it ....

End result, sticking to the trend pays more in the long run instead of scaling out .... it might give a 'feel good' factor and 'sense of security' when you book partial profits but ultimately one big swing will come every year which will make you repent that you scaled out early.

Anyways, I am impressed that people are trying to think out of the box to make it better. And if someone can, no one would be more greatful than me

Cheers
SH

 

[Tradewithhunter]

OK folks - I have been refraining to post it for some time now but I think I might have found a workaround to book profits near to the 'anticipated' tops or bottoms instead of just holding them until opposite crossover happens. I dont know where I got this inspiration from, I might have read it as a suggestion by someone on our 315 thread or it might be as vague as an overnite dream :lol:

The only reason I am reluctant to share it is that I have no way to backtest it to see if it provides better profitability or not v/s the original strategy.

However looking with the naked eye on charts, it looks satisfactory.

If someone believes they can backtest it for me .. I will share it.

Cheers
SH

 

[NTrader42]

OK folks - I have been refraining to post it for some time now but I think I might have found a workaround to book profits near to the 'anticipated' tops or bottoms instead of just holding them until opposite crossover happens. I dont know where I got this inspiration from, I might have read it as a suggestion by someone on our 315 thread or it might be as vague as an overnite dream :lol:

The only reason I am reluctant to share it is that I have no way to backtest it to see if it provides better profitability or not v/s the original strategy.

However looking with the naked eye on charts, it looks satisfactory.

If someone believes they can backtest it for me .. I will share it.

Cheers
SH

If by back testing you mean going through a few years of EoD charts and writing the trades in excel, then I can do it.

If you mean writing code (AFL) and testing it on Amibroker, then I can try but in this case the profit booking and re-entry part will have to done manually. A scanner can tell us on which days the EMA is not touching the daily price candle / bar.

This process of back testing will help me to learn the original system thoroughly.

Thanks

 

[KC_novice]

Hi TWH,

Kindly share the strategy..am sure there would be many folks willing to backtest.

eagerly waiting for the strategy..

 

[rkkarnani]

OK folks - I have been refraining to post it for some time now but I think I might have found a workaround to book profits near to the 'anticipated' tops or bottoms instead of just holding them until opposite crossover happens. I dont know where I got this inspiration from, I might have read it as a suggestion by someone on our 315 thread or it might be as vague as an overnite dream :lol:

The only reason I am reluctant to share it is that I have no way to backtest it to see if it provides better profitability or not v/s the original strategy.

However looking with the naked eye on charts, it looks satisfactory.

If someone believes they can backtest it for me .. I will share it.

Cheers
SH

Many here would be willing to do it!! If it is to be done manually in an Excel I volunteer , the only drawback is that I am "slow"!!

 

[vikrit]

OK folks - I have been refraining to post it for some time now but I think I might have found a workaround to book profits near to the 'anticipated' tops or bottoms instead of just holding them until opposite crossover happens. I dont know where I got this inspiration from, I might have read it as a suggestion by someone on our 315 thread or it might be as vague as an overnite dream :lol:

The only reason I am reluctant to share it is that I have no way to backtest it to see if it provides better profitability or not v/s the original strategy.

However looking with the naked eye on charts, it looks satisfactory.

If someone believes they can backtest it for me .. I will share it.

Cheers
SH

i will be happy to do it for you. and thanks sh not only for giving 315 and but also for showing how a trading systems should be, by every aspect, in a so detailed manner. hats off to you.:clapping::thumb:

thanks

 

[Tradewithhunter]

OK - try to test this ...


Booking profits or exiting trades before crossover

Keep a close watch on 3 EMA ... if you see 2 consecutive days where 3 EMA has moved against your position than you exit 315 positions UNTIL you reach a day where 3 EMA start moving back again in your position.(please read carefully I am talking about 3 EMA moving and not just the price). Usually when you see 3 EMA moving against your position in two consecutive days, price will usually touch 15 EMA. This is where we can enter in positions again (ADD rule) or wait for 3 EMA to turn back in our direction to enter. Sometimes 3 EMA will not turn back and eventually crossover 15 EMA generating a new trade.

Key points to highlight again

1. 2 consective days of 3 EMA moving opposite to 315 trade- so for example if we are long... 3 EMA closes at 5000 today .. tomorrow mkt goes down and 3 EMA closes at 4995, we got our first day of opposite move. Next day if 3 EMA closes below 4995 (lets say 4990) , we exit our longs at 3.25 PM. Otherwise we just hold longs.

2. If we have exited longs as above, we have to re-enter longs when either price touches 15 EMA OR when 3 EMA closes above previous day. So in this example if 3 EMA closes back at 4995 on 4th day ..we enter longs again.

We continue to watch 3 EMA after re-entry, if we again see two down days ..we exit longs again.

I will take a live example now to explain.

11th Oct - 315 buy generated at 4982
18th Oct - Nifty makes a low and 3 EMA closes at 5076 (lower than previous days 5106)
19th Oct - Nifty moves up and 3 EMA closes at 5111 (as its above previous day we didnt get 2 consective down days ..so we hold longs)
20th Oct - 3 EMA closes at 5108 (lower than previous day - Day 1)
21 Oct - 3 EMA closes further down at 5081 (Day 2) Now we can exit longs on this day. However we also took support from 15 EMA so we can hold longs too as 15 EMA touched. But in any case we assume we exit longs here at 5054.
22nd Oct - Next day 3 EMA closes at 5095 (up from previous day). We move back in longs and re-enter at 5106
28th Oct - Nifty closes at 5386. 3 EMA not touching candle on second day too so as per 315 rules we booked longs and wait for 3 EMA touch.
31st Oct - Second day also 3 EMA not touching ..no re-entry. Please note 3 EMA is still rising.

1 Nov - Nifty closes at 5291..3 EMA touched so we re-enter longs as per 315 rules. However 3 EMA closes at 5301 which is lower than previous day. (Day 1)

2nd Nov - Nifty closes at 5280. 3 EMA closes further low at 5290 (Day 2). We exit longs again and wait for 15 EMA touch of 3 EMA uptick day.

3 Nov - Nifty at 5296, 3 EMA closes at 5296. We get our uptick day and back in longs.

9th and 11th Nov - 3 EMA down on both day ..we exit on 11th Nov at 5192

12th Nov - We get 315 crossover and we open fresh shorts.

Whilst above adds more complexities to the original strategy and also increased the number of trades per swing .... I still believe it can help booking profits at tops and bottoms in certain scenarios.

Will appreciate is someone can backtest it for last 1 year and compare results against original strategy.

cheers
SH