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Friday 15 January 2016

Intraday Trades - 15.01.2016

Intraday: Nifty formed a good range today. It was in a squeeze with longer term downtrend. Tried 2 trades today.
1) BOF of PDC. Closed at RL
2) TRAP of PDC. its was also the initiator of Taps on DP. Closed in the end.
I hope mkt is ready for my 7220 NS..


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10 comments:

  1. Arvind15 January 2016 at 16:08

    Devenbhai, My understanding of Ranges today . Correct me If I am wrong.
    http://screencast.com/t/1lgxUFdmnzp

    Thanks.

    ReplyDelete
  2. Deven Malhotra15 January 2016 at 18:57

    Hi Arvind,

    Your Range one is correct, but its with smaller timeframe. These Ranges need to be drawn looking at bigger picture- the structure of market, so Zoom out the chart & you will see different ranges- bigger ranges.. Try to use them rather..

    http://www.screencast.com/t/0gpmgmxEDmZY

    Thanks,

    ReplyDelete
  3. SUNIL KUMAR A K15 January 2016 at 19:13

    Hi Deven,
    For your 2nd trade, how u manage? Nifty bounced 30 points from 7505 to 7535, where is your trailing stop loss and why?
    Thanks..

    ReplyDelete
    Replies
    1. Deven Malhotra15 January 2016 at 19:46

      There are few reasons:-
      1) Generally I don't use trailing SL nowadays. My strategy is of Partial Booking, which i did at LBB.
      2) A Trap Pattern happened at RH, which generally breaks RL, so I was confident
      3) Just Check once TAPS on DP, (i linked it in Post for you), & you will understand why i was waiting for a Breakdown. That helped me sit tight.

      Thanks,

      Delete
  4. nirtos15 January 2016 at 22:05

    Hi Deven,
    for your 1st trade u have written exited at range low. You exited blindly at range low or waited for confirmation that it is not going to break brn and exited after a bounce. Please mark your exits also.

    Thanks

    ReplyDelete
    Replies
    1. Deven Malhotra16 January 2016 at 10:43

      Hi Nirtos, Few things i would like to explain about my exit strategy:-

      1) If A BOF, i wait for RL to break with SL at my initial point as 1st PB after BOF will come almost equal to the entry point (1st wave)
      2) If a TST, blindly exit at RL
      3) If a BPB, exit at high/ low of next DP breakout candle.

      now in my 1st trade, if it would have been a BOF of DH, i would have waited all along as it would have served as Layer on Layer. PDC in my opinion is not always a strong DP and that too a TST happened. Similar case is with BRN, which nowadays i have removed from my DP criteria.

      Thanks

      Delete
  5. SUNIL KUMAR A K16 January 2016 at 13:40

    Hi Deven,
    how much points u place as initial stoploss? i know u place Sl as candle/pivot high/low, but i need your avg. initial SL (as i place max 12 points as initial SL and avoid trades which have more than 15 points SL)

    ReplyDelete
    Replies
    1. Deven Malhotra16 January 2016 at 13:57

      Hi Sunil,

      SL is always dependent on market volatiliy and your confidence in that trade probability. If the mkt is not too volatile, My Initial SL is 3 pts above recent candle/ pivot.
      But if the mkt is volatile like nowadays with > 100 pt ATR, My SL is long way back to 30 pts. (I do check my reward pts like opposite BB or DP also).
      But at the same time, i don't wait to let the mkt hit my SL. If i am proved wrong by mkt which happens many times, i will happily exit before that.

      Thanks,

      Delete
  6. SUNIL KUMAR A K18 January 2016 at 09:07

    Thank for your replays.
    If possible write one post on, when we normally expect range move, when we expect range BO etc

    Thanks

    ReplyDelete

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