Strategy looks excellent....but hesitant to trade

V

vkreddy

New Member
#1
#1
I have made a strategy based on ADX and RSI on Timeframe 30 minutes in Nifty and 1 hour TF in Bank Nifty.

The strategy looks excellent in catching the trend well. But I hesitate to trade this strategy with real money. It has generated only two signals in Nifty between Sep 2016 and Apr 2017 and it has garnered about 1674 points both the signals being profitable. Average monthly points being 200 points. And it has generated 6184 points with only 4 signals in Banknifty between Feb 2016 and Apr 2017 and one of the signals giving a loss 995 points. Average monthly points being 440 points.

For visual representation both of Nifty and Banknifty charts are attached.

I need some good suggestions from experienced traders here to overcome the dilemma. Suggestions such as further checks to be carried out in the strategy before real cash trading.



 
Smart_trade

Smart_trade

Moderator
#2
#2
vkreddy said:
I have made a strategy based on ADX and RSI on Timeframe 30 minutes in Nifty and 1 hour TF in Bank Nifty.

The strategy looks excellent in catching the trend well. But I hesitate to trade this strategy with real money. It has generated only two signals in Nifty between Sep 2016 and Apr 2017 and it has garnered about 1674 points both the signals being profitable. Average monthly points being 200 points. And it has generated 6184 points with only 4 signals in Banknifty between Feb 2016 and Apr 2017 and one of the signals giving a loss 995 points. Average monthly points being 440 points.

For visual representation both of Nifty and Banknifty charts are attached.

I need some good suggestions from experienced traders here to overcome the dilemma. Suggestions such as further checks to be carried out in the strategy before real cash trading.



Click to expand...
The main reason you are unable to trade the strategy in real time is it has large stoplosses.One signal gave a loss of 995 points which is too high in trading even in swing or positional trading.

I suggest that when you get a buy signal on the system,draw a horizontal line at that price level on your chart.You buy at that level and keep a stoploss of 2 pivot lows below that level and hold the trade till you get a sell signal.This stoploss will save you from a large stoplosses.For 2 pivots,you can use 15 min,30 min or 60 min timeframe charts....so you will take small losses only at the entry but will make large profits by holding the right trade on your system till it gives a sell signal...

Reverse for sell signal.

Smart_trade
 
P

ptk

Active Member
#3
#3
vkreddy said:
I have made a strategy based on ADX and RSI on Timeframe 30 minutes in Nifty and 1 hour TF in Bank Nifty.

The strategy looks excellent in catching the trend well. But I hesitate to trade this strategy with real money. It has generated only two signals in Nifty between Sep 2016 and Apr 2017 and it has garnered about 1674 points both the signals being profitable. Average monthly points being 200 points. And it has generated 6184 points with only 4 signals in Banknifty between Feb 2016 and Apr 2017 and one of the signals giving a loss 995 points. Average monthly points being 440 points.

For visual representation both of Nifty and Banknifty charts are attached.

I need some good suggestions from experienced traders here to overcome the dilemma. Suggestions such as further checks to be carried out in the strategy before real cash trading.



Click to expand...
Hello vkReddy,

Can you please share the strategy in more details, I ma having some difficult in interpreting the charts attached. I am interested in trading this strategy.

Regards,
ptk
 
Mercedes

Mercedes

Active Member
#4
#4
ptk said:
Hello vkReddy,

Can you please share the strategy in more details, I ma having some difficult in interpreting the charts attached. I am interested in trading this strategy.

Regards,
ptk
Click to expand...
In simple terms share the AFL...:p
 
V

vkreddy

New Member
#7
#7
ptk said:
Just the parameters will be enuf, for e.g.
ADX above 25 and RSI below 25 is a buy
ADX above 25 and RSI above 80 is a sell

etc..
Click to expand...
It seems you are quite advanced compared to me in setting the parameters.
I am a dumb in technical jargon. This AFL is developed by my closest friend who is expert in coding.

I request him about the parameters he used in developing the strategy.
 
P

ptk

Active Member
#8
#8
vkreddy said:
It seems you are quite advanced compared to me in setting the parameters.
I am a dumb in technical jargon. This AFL is developed by my closest friend who is expert in coding.

I request him about the parameters he used in developing the strategy.
Click to expand...
Many thanks..i really appreciate it
Regards
 
mohan.sic

mohan.sic

Well-Known Member
#9
#9
vkreddy said:
I have made a strategy based on ADX and RSI on Timeframe 30 minutes in Nifty and 1 hour TF in Bank Nifty.

The strategy looks excellent in catching the trend well. But I hesitate to trade this strategy with real money. It has generated only two signals in Nifty between Sep 2016 and Apr 2017 and it has garnered about 1674 points both the signals being profitable. Average monthly points being 200 points. And it has generated 6184 points with only 4 signals in Banknifty between Feb 2016 and Apr 2017 and one of the signals giving a loss 995 points. Average monthly points being 440 points.

For visual representation both of Nifty and Banknifty charts are attached.

I need some good suggestions from experienced traders here to overcome the dilemma. Suggestions such as further checks to be carried out in the strategy before real cash trading.


----------------------------------------------------------------------------------------------------------------------------------------------------------

Hi,

having seen the pattern of other signal arrows in your nifty & bn charts, it is not clear how you got the first sell signal in bank nifty chart. Is your BN data in Ami Database starting from around jan 2016 ? if that is not the case, pls check if the code is repainting.
Click to expand...
 

Attachments

Last edited:
P

ptk

Active Member
#10
#10
vkreddy said:
It seems you are quite advanced compared to me in setting the parameters.
I am a dumb in technical jargon. This AFL is developed by my closest friend who is expert in coding.

I request him about the parameters he used in developing the strategy.
Click to expand...
Hi,

Any update?

Regards
 
You must log in or register to reply here.
Thread starter Similar threads Forum Replies Date
N I have an interesting options trading strategy. General Trading & Investing Chat 7
A global market exposure strategy Beginners Guide 1
R Day-Jober's Day Trading Strategy General Trading & Investing Chat 4
V Software engineer from Hyderabad - Freelancer for algo trading systems and Strategy development Introductions 10
T 20 % circuit strategy Day Trading 3

Similar threads