Now coming to the most important part for the Rules
Rules for trading 5 min pivot method:
1. Enter trade with 2 lots of Nifty or Minifty.
2. 1 lot to be booked at 25 – 30 points profits
3. Not more than 3 trades in a day
4. After 2.45 pm no more SAR, use only stop loss and exit the trade if stop loss it. No more fresh trades after stop loss hit
5. If Stop loss not hit till 3.20pm or 3.25pm exit manually either at 3.20pm or 3.25 pm
6. Do not add any more rules.
Rules Explained:
1. You can either trade this method using Nifty futures for current month or Minifty for current month, depending upon your Money Management. When you enter trade, enter with 2 lots or 4 lots again depending on the Money Management.
2. Profit Booking - It is absoutely neccessary that you do profit booking, Profit booking helps you many times, sometimes, it even takes your big profit, but when the trades goes against you, this profit helps you to breakeven and cover the brokerage cost. Depending on the broker you are using and adding the brokerage try to book profit for one lot at atleast 20 - 25 points.
No Adds for me, it depends on you if you want to Add to your position or no.
3. In one day not more than 3 trades to be taken, Usually this happens when nifty is nontrending and we have VV charts. But most of the days, the day will end in max of 3 trades, you wont need to go for 4th trades.
4. After 2.45 pm nor more SAR use only stop loss. Well this time period depend on you at what time do you want to use it, before I use to keep at 2.30 pm then changed to 2.45pm then to 3.00pm. As I had witnessed some big trades during the last hour of the day.
5. If the stop loss is not hit till 3.20 - 3.25 pm then exit manually at 3.20-3.25 pm.
6. Try to keep the rules few and simple, dont add more rules and make things complicated.
Rules for trading 5 min pivot method:
1. Enter trade with 2 lots of Nifty or Minifty.
2. 1 lot to be booked at 25 – 30 points profits
3. Not more than 3 trades in a day
4. After 2.45 pm no more SAR, use only stop loss and exit the trade if stop loss it. No more fresh trades after stop loss hit
5. If Stop loss not hit till 3.20pm or 3.25pm exit manually either at 3.20pm or 3.25 pm
6. Do not add any more rules.
Rules Explained:
1. You can either trade this method using Nifty futures for current month or Minifty for current month, depending upon your Money Management. When you enter trade, enter with 2 lots or 4 lots again depending on the Money Management.
2. Profit Booking - It is absoutely neccessary that you do profit booking, Profit booking helps you many times, sometimes, it even takes your big profit, but when the trades goes against you, this profit helps you to breakeven and cover the brokerage cost. Depending on the broker you are using and adding the brokerage try to book profit for one lot at atleast 20 - 25 points.
No Adds for me, it depends on you if you want to Add to your position or no.
3. In one day not more than 3 trades to be taken, Usually this happens when nifty is nontrending and we have VV charts. But most of the days, the day will end in max of 3 trades, you wont need to go for 4th trades.
4. After 2.45 pm nor more SAR use only stop loss. Well this time period depend on you at what time do you want to use it, before I use to keep at 2.30 pm then changed to 2.45pm then to 3.00pm. As I had witnessed some big trades during the last hour of the day.
5. If the stop loss is not hit till 3.20 - 3.25 pm then exit manually at 3.20-3.25 pm.
6. Try to keep the rules few and simple, dont add more rules and make things complicated.
