SH's Intraday Strategy - ELH5

#12
OK guys - maybe imageshack is where I will upload the charts and post the links here.

Coming back to intraday strategy, the AIM of this strategy is to

1. Get 2-10 trades per day
2. Profit target is 20 points and stop loss is also 20 points per trade (1:1 risk reward ratio)
3. To have 70% success ratio i.e if we get 100 trades per month ... 70 successful trades giving 1400 points profit and 30 losing trades giving 600 points loss ... Net profit of 800 points per month.

Above is the aim of this strategy - lets see if we are able to achieve it over the next one month or not .....

What do we need on our charts

1. We need 5 minutes Nifty futures real time charts
2. We need to plot 5 EMA (high) and 5 EMA (low) on these charts.

Thats it !!!

Entry rules

Wait for the trigger - The trigger is when we have 2 consecutive candle closes above 5 EMA (high) for BUY or 2 consecutive candle closes below 5 EMA (low) for SELL

Actual Entry - When we get one of the above triggers.... we wait for a small pullback and then jump in ... in case of BUY trigger, we enter longs when the price falls and gets close to 5 EMA (low)... in case of a SELL trigger, we enter shorts when prices rises and gets close to 5 EMA (high).

Exit rules

Simple ... 20 point profit and we exit ... similarly 20 point SL.

I am attaching yesterdays 5 mins charts with triggers... entries and exits.

Please check the same and post any queries. WE got 3 winning trades yesterday and one losing trade with only 5-10 point loss. Overall 40-50 points profits.

http://img340.imageshack.us/img340/4528/screenhunter01dec010947.gif

Enjoy!

Cheers
SH
 
#14
Wonderful! I'm attaching Nov 29 NIFTY 5Min chart. Please let me know if I got it right :)

http://imm.io/2jQ5
Hi Amit - You have marked the triggers correctly. But please note we do not short or long at triggers, we wait for a pullback and enter at 5 EMA (high) for shorts and 5 EMA (low) for longs.

Please go through my chart once again and see my actual trade entries are after the trigger.

Cheers
SH
 
#16
Thanks SH. Yeah I read the 2nd paragraph of entry rule again and found my mistake. Already taken a trade and it's running on profit! Question, Do you think we can apply 20 points profit target on a narrow range day? what would be the strategy on such day?
 

jayan12

Active Member
#17
Hi..SH.

Could you please explain more about EMA(high) and EMA(low). I know only about EMA. Even google finance doesn't provide any provision for plotting EMA(high) and EMA(low). We can only plot EMA in googel finance.

Thanks.
 

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