dear Chandrakantji,
u have asked
"may I know strategy for intraday with single indicater or minimum indicaters?"
--
ur query gives me an opportunity to rethink, after a long time, a credible way to day trade, if i have to.
--
if i have to day trade, i would prefer to trade the following way
- a strong stock in nifty uptrend, or a weak stock in nifty downtrend....at their respective pullbacks in their respective directions. i will not day trade in stocks which are duds. only those with strength (or weakness) should be touched for day trading. lithargic, sick, indisciplined, moody horses not for day trading! this reduces the risk tremendously. also, i will never buy a strong stock in weak market OR short a weak stock in strong market.
- for this, i would have to be sure about the nifty trend. once that is done, half the homework is done. all that is left thereafter is to spot the strong (or weak, as the case of the market may be) stock.
- i would shortlist a few indicators - 2 or 3, to act as markers for entering and exiting the trade. e.g. one can ne sma crossovers, the second being rsi and the third being (fibo) pullbacks (higher lows or lower highs as the case may be)
- i would trade with strict pre-defined stop losses.
- would trade high volumes (small rides never mind).
- would exit in steps (and enter that way also).
- would have a sound low brokerage broker.
- would have lightening fast assured net/broadband connections
- will never take stakes more than 5% of the money in my trading account, even if that means it will take me 50 years to be a millionaire. (because i know there is something called compounding effect which will take care of the things later on)
- i will have good software (even if it is a free one called google finance)
- i will keep god out of trading and not blackmail him. (god helps those traders who help themselves)
- i will be ruthless in stop losses and methodical in profit booking.
- i will treat the loss, if resulted after following the above rules, as the unavoidable, expected and healthy cost of trading.
- i will not spend the profit but keep 50% in buffer fund and 50% ploughback for the next trade.
- i will not trade just because i want to. i will trade only if and when there is one, as per the written-down well-defined carefully selected method.
- i will not trade if i am excited or depressed or nervous or threatened or happy or sad or under any influence.
- i will not count my profit or loss. i will keep trading as per the method. i will remain living a decent frugal life i have always been living.
u have asked
"may I know strategy for intraday with single indicater or minimum indicaters?"
--
ur query gives me an opportunity to rethink, after a long time, a credible way to day trade, if i have to.
--
if i have to day trade, i would prefer to trade the following way
- a strong stock in nifty uptrend, or a weak stock in nifty downtrend....at their respective pullbacks in their respective directions. i will not day trade in stocks which are duds. only those with strength (or weakness) should be touched for day trading. lithargic, sick, indisciplined, moody horses not for day trading! this reduces the risk tremendously. also, i will never buy a strong stock in weak market OR short a weak stock in strong market.
- for this, i would have to be sure about the nifty trend. once that is done, half the homework is done. all that is left thereafter is to spot the strong (or weak, as the case of the market may be) stock.
- i would shortlist a few indicators - 2 or 3, to act as markers for entering and exiting the trade. e.g. one can ne sma crossovers, the second being rsi and the third being (fibo) pullbacks (higher lows or lower highs as the case may be)
- i would trade with strict pre-defined stop losses.
- would trade high volumes (small rides never mind).
- would exit in steps (and enter that way also).
- would have a sound low brokerage broker.
- would have lightening fast assured net/broadband connections
- will never take stakes more than 5% of the money in my trading account, even if that means it will take me 50 years to be a millionaire. (because i know there is something called compounding effect which will take care of the things later on)
- i will have good software (even if it is a free one called google finance)
- i will keep god out of trading and not blackmail him. (god helps those traders who help themselves)
- i will be ruthless in stop losses and methodical in profit booking.
- i will treat the loss, if resulted after following the above rules, as the unavoidable, expected and healthy cost of trading.
- i will not spend the profit but keep 50% in buffer fund and 50% ploughback for the next trade.
- i will not trade just because i want to. i will trade only if and when there is one, as per the written-down well-defined carefully selected method.
- i will not trade if i am excited or depressed or nervous or threatened or happy or sad or under any influence.
- i will not count my profit or loss. i will keep trading as per the method. i will remain living a decent frugal life i have always been living.
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