Friday, February 19, 2010

+1-1 trading strategy

I hereby share a very strange strategy.

I have played it many times and found that it works 80%+ times!

I call it "+1-1 strategy"!

It is simple.

80% of the time, nifty doesn't change direction after just one day.

e.g. if nifty was rising since 3 days and today it has gone down, there is more than 80% chance that it will not rise tomorrow.

This rule is broken only in case of long and strong trends where one day dead cat bounce occurs!

Also, if this rule is broken other than the condition mentioned above, you will see that if you hold your position, you will recover the next day!

Back test this technique and you will be smiling!

Now, though i have other techniques to play, i use this technique for verificati

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