30M tracking of Supertrend in Nifty and Bank Nifty

Cubt

Algo Trader
#41
Partial Profit booking as per Super Trend afl

As per my Super Trend AFL that i follow, there is a plotted line for Target 1,2 and 3.


It is calculated based on entry price.

Target levels for Short entry:
tar1 = entry - (entry * .0050);
tar2 = entry - (entry * .0112);
tar3 = entry - (entry * .0212);

Target levels for Long entry:

tar1 = entry + (entry * .0050);
tar2 = entry + (entry * .0092);
tar3 = entry + (entry * .0179);

Based on my observation, once we get an entry, almost 80% of the time 1st Target will be achieved.
 

rkkarnani

Well-Known Member
#42
Sir something I need to add here. To evolve as a trader, our mindset also needs to evolve. If we always trade with a mindset of being in comfort, we will miss out on taking difficult entries, or against the prevailing trend, which may in the end give the best return..... That was actually the reason for the thread - to be committed to a system, and TAKE ALL ENTRIES WITHOUT EXCEPTION. With the thread we can analyze if mechanical system is profitable... So to say, we need to work on a well defined system, but also we MUST not forget to work on ourselves (mind) as well.... My 2C.
No two opinions to what you say ! Yes, its of supreme importance that the Trader 'evolves' to be comfortable even with the difficult entries.

Though it is possible to reach that stage and the time required by each may differ from trader to trader. It would, according to me be helpful if some profit is taken off the table and risk reduced, for quiet a few Traders, who inspite of their best efforts cannot be 100% mechanical.

According to me the best catalyst to 'speed' up the process of evolving may be "profits in hand" ! This task becomes difficult if the trader encounters loss at the very onset hence such traders would prefer taking away the profits from the table asap! I am quiet confident that a Trader aiming to reach that stage will be able to decide which way to go after going through the Excel you are making for both the systems.
I 1000% agree that all entries must be taken , and this must be the prime requirement for trading this or for that matter any system.
 

DSM

Well-Known Member
#43
Thanks Cubt for sharing your views.

Regards parameters, We need to understand how Supertrend works. It looks for X no of bars, which by default is 10. I remember reading that this is the optimum bar counts, so have left it unchanged. The multiplier by default is 3, but I have noted that ATR 2 tracks the price closer, giving better entries and exits. Since we are using 30M chart, the setting of ATR period does have a big impact on entry/exit.

For e.g in Nifty :

ATR 2 / Entry Signal 6,128 / Exit & SAR 6,166
ATR 3 / Entry Signal 6,146 / Exit & SAR 6,137

So considering current close @ 6,231, as per ATR 2 signal, our entry is earlier by 18 points. SL is higher by 29 points. Using revised parameter of 2 ATR, we are positive by 47 points. This is one example. Will have to check other RANDOM entries to confirm what if is visually sighted is better.

RKK had pointed out that it is better to enter once the price crosses over the signal. What we have done is waited for the 30M bar to close, which has costed us some big points in BankNifty. We need to see what's better to enter in midst of the bar or at close. Tamil Trader who is running the Crude thread is of the view that it is better to wait for the bar to close, and he is doing real time trades. We will track this aspect as we move on in real time.

Thanks for your input on adds. Seems good logic to add if the they are in the direction of entry, and on break of previous pivot level. Will follow your thread as well and we can compare performance of your 10M system and 30M Aam Aadmi System. :)

DSM,

I just happen to see this thread, good work. I just have few questions, would be great if you could provide your inputs.

1. Parameters 10 and 2
2. Time Frame- 30 Mins

on what basis we have finalized this parameter and time frame?

and regarding the adds, please consider my below inputs if it suits you.

We can add up contracts when the following conditions are met

1. If the position moves in our predicted direction after the entry.
2. Add extra contracts when Nifty crosses its previous high(long) and breaks down previous low(for short).
3. After adding the contracts, if Nifty continues to break its previous high/low, add contracts.

When not to add contracts:

1. If Nifty fails to break its previous high/low do not add any contracts.

Consider the below example: check the horizontal red line

1st adds is @ 5975 levels.
2nd adds is @ 6035 levels

3rd adds @ 6120 is not valid as it did not break the previous high of 6120



I tried it couple of time and it worked when Market is trending, provided if i have enough time to monitor the charts, as am busy with my day job am not able to do it consistently. So stopped adds and just going long/short as per the system.
 

DSM

Well-Known Member
#44
If of interest to anybody... Just posted about another simple 30M 20SMA system signals. Reason for the same is there are so many traders afraid to get into a trade when the market is trending and making moves! Is this not the time to get onto a trade? Will update on that thread from time to time which I hope will help traders to atleast THINIK about or UNDERSTAND that it is imperative to GET INTO a trending market, rather than playing safe and getting chopped out in a choppy market. Posted with charts something simple (cannot be made simpler), Trading in the direction of the trend, a system with max SL of 20 points....

http://www.traderji.com/general-trading-investing-chat/90595-30m-20-sma.html#post889237
 

DSM

Well-Known Member
#45
Nifty Entry @ 6,145, presently @ 6,241 SAR 6,224
BankNifty Entry @ 10,960, presently @ 11,307 SAR 11,236

Nifty profit 96 points
BankNifty profit 347 points

For AASM we will trail and exit @ 50% profit.

Nifty TSL 6,193
BankNifty TSL 11,134
 
#46
DSM,

I just happen to see this thread, good work. I just have few questions, would be great if you could provide your inputs.

1. Parameters 10 and 2
2. Time Frame- 30 Mins

on what basis we have finalized this parameter and time frame?

and regarding the adds, please consider my below inputs if it suits you.

We can add up contracts when the following conditions are met

1. If the position moves in our predicted direction after the entry.
2. Add extra contracts when Nifty crosses its previous high(long) and breaks down previous low(for short).
3. After adding the contracts, if Nifty continues to break its previous high/low, add contracts.

When not to add contracts:

1. If Nifty fails to break its previous high/low do not add any contracts.

Consider the below example: check the horizontal red line

1st adds is @ 5975 levels.
2nd adds is @ 6035 levels

3rd adds @ 6120 is not valid as it did not break the previous high of 6120



I tried it couple of time and it worked when Market is trending, provided if i have enough time to monitor the charts, as am busy with my day job am not able to do it consistently. So stopped adds and just going long/short as per the system.

Yes, the reason for parameter selection is of utmost important. Different parameters yields different result in same time frame, and more importantly same parameters gives different yields in different time frame. Or in simple way of saying, the parameters which works today will not work with same efficiency after 3 month period. So a million dollar question always remains- how to select PERMANENT parameters?
 

umeshmandal

Well-Known Member
#47
Yes, the reason for parameter selection is of utmost important. Different parameters yields different result in same time frame, and more importantly same parameters gives different yields in different time frame. Or in simple way of saying, the parameters which works today will not work with same efficiency after 3 month period. So a million dollar question always remains- how to select PERMANENT parameters?
"Marry the parameter" the one that has given better results in past 1 year and there after adjust your 'life' (R:R, SL and Profit bookings) according to your 'partner' (parameter) so that the situation of 'divorce' does not arise ! :D
 

DSM

Well-Known Member
#48
Nifty Long Open Current 6,255
Bank Nifty Long Closed 11,240

Bank Nifty Short Triggered @ 11,240

Will update XL tracker later

Nifty Entry @ 6,145, presently @ 6,241 SAR 6,224
BankNifty Entry @ 10,960, presently @ 11,307 SAR 11,236

Nifty profit 96 points
BankNifty profit 347 points

For AASM we will trail and exit @ 50% profit.

Nifty TSL 6,193
BankNifty TSL 11,134
 

DSM

Well-Known Member
#49
Nifty and BankNifty EOD Chart



 

DSM

Well-Known Member
#50
Nifty Closed @ 6,255 so MTM is 110 points from our entry level of 6,145. However system signal is open. SAR as of today's close is 6,233 So if we are stopped, our profit will be 88 points. Considering the runup, it is possible that we will be stopped out tomorrow, but we let the system get us out of the trade. As per rules, we do not give up more than 50% points earned which is 65 points, but as our SAR signal is higher, we will wait for the SAR signal.


 

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