Simple Intraday Methodology

[NTrader42]

Hello

Starting tomorrow I will be trying out a very simple intraday methodology.

1. Trade the M5 charts in the direction of the trend on M30.
   
   
2. Use Hull MA 20 to decide trend on M30.
   
   
3. Use the Envelope 20, 0.2% to manage the trades on M5.

Using the above rules, I will be trading with Crude oil on MCX.

As we can see that the above rules don't define a complete system, where all the entry/exit rules are hard coded. I will be using some discretion / judgement for trading. The basis for the trading decision will be to enter the trade when the trend on M5 is in alignment with that of M30.




Thanks

 

[arjit]

Dear sir,which software you are using for this setting,MT4 or any other.

 

[NTrader42]

Hello

First trade in 2012, Long in MCX Crude oil @ 5348, stops now @ 5338

Yesterday did not take any trades as mcx was flat for most of the day maybe due to international markets being closed.

Thanks

@arjit, yes i am using MT4

 

[NTrader42]

Long in MCX Crude oil @ 5348

Took off 1/3 @ 15 points and stops shifted to BE @ 5348 for rest, now the trade on free ride from here onwards.

As the trade moves into small gains of 10-15-20 points, the usual dilemma for traders is . . .
do we keep holding or do we partially book the profitable position or add more quantity to the trade

I take off 1/3 not based on fixed profit/gain targets but when the move stalls. Can scale-in again later depending on how it trends.

To me managing the scaling in and scaling out on a position is the most important part in trading. Our ability to do the scale-in /scale-out can reduce the over dependance on a single entry and exit for trading success. This is once aspect of my trading that needs huge improvements . . .

Thanks

 

[NTrader42]

Booked 1/3 more as price stalled at same levels now holding 1/3 with stops @ 5352

 

[NTrader42]

Closed the last 1/3, avg gain 18 points.

Will long again if get a dip to $100.45 - .50 or else look for another trade in the evening session.

Thanks

 

[NTrader42]

Missed the re-entry by few points, did not feel like chasing the price for re-entry and lost the opportunity to get back into the long side.

Price behavior was as expected and we got the pullback but could not take advantage of it

 

[NTrader42]

long again @ 5378 but just 1/3

 

[NTrader42]

long again @ 5378 but just 1/3

Booked @ 5404

Post trade analysis: there was a run of about 60 points after the first entry, but the trade could catch only average 20 points also reentry was just 1/3. Can do better. can use candle formations to catch the reversals to the original direction from pullbacks.

1. Lookout for structures such as dojis and engulfing candles or pipes both for profit booking and re-entry.
2. Should also add new position on fresh breakouts and not depend only on pullbacks for scaling in.

Thanks

 

[NTrader42]

Hi

No trades so far today.

In the morning the trend on 30 minutes was up then went sideways for most of the noon and is down now.

There was a nice cascading of change in trend on different time frames, was fun to watch as one by one the TFs switched from up to down first 5 minutes, then 15, 30 and then H1.

Now, looking for short trade using the 5 minutes chart, will initiate a trade in either case - a pull back or break down below current low

Thanks