33900 gone on #Banknifty

System says don't buy the dip

Wait for dip of dip of dip at 30500 #Banknifty & 15000 #Nifty

#TrendFollowing
#StockFutures
The Complete #Trading #Process

1) Stock Selection - Buy Strongest, Sell Weakest. Combine Higher TimeFrame to Identify Strength/ Weakness

2) Entry SetUp - Enough FirePower for Sustainable Trend Going Forward (1/n)

3)Trend Confirmation - That Point from which chances of Reversal are Low so as to achieve Higher Win Rate

4) Low Risk Entry - Costs Saved in Execution are added back to profit. Use Mkt Fluctuations in Our Favour (2/n)

5) Initial SL- Uncle Point. Not Too Tight, Not Too Loose, Just About Perfect. Let the trade breath before leaping forward

6) Trailing SL - Reduce Open Risk in Trade Continuously Simultaneously allowing Trend to Develop (3/n)

7) Profit Booking - Don't Look for Top/ Bottom. Catch 70-80% of Max Profit. Most Difficult Decision. No Perfect Exit. Break in Multiple Exits. Be happy with Whatever We Get (n/n)

#INDIAVIX print above 35 has been good time for investment in last 10 yrs of Market

Feb VIX printed 30 . If it spikes further in March, can be good time for catching falling knives in Stocks.

#TrendFollowing
#SystemTrading
#StopLoss

In TrendFollwoing, We Look To Enter Trade & Keep Holding as Long as It is in Our Favour. Initial Stop Loss Is Important Part of System Trading.
How To Decide What Should Be Initial StopLoss? (1/n)

Too Tight StopLoss Will get Stopped Out Frequently.
Too Loose Will Cause Bigger Loss & LessRR.
What Is Optimum StopLoss?

We Need To Generate Data on What is Called Minimum Adverse Excursion (MAE)

MAE Is The Max Amount By Which Trade Goes Against Us From Entry Point (2/n)

MAE Can Be Measure in Amount Or Percentage Or ATR. We calculate MAE In ATR so as to adjust for Different Volatility of Different Scrips. Here You Can See The Data for MAE in ATR For Our #Stock #Futures #Swing #Trading System For Long & Short Trades For December (3/n)

Visual Look Tells That Price Doesn't Go Against Us By More Than 2 ATR in More Than 95% Of Trades. So We Can Safely Take 2 ATR StopLoss For Our Trades From Entry Point. Also, More Than 90% Of The Trade Show Loss After Entry Which Can Be Used To Decide Level Of PullBack Entry (4/4)

This System is Based on 25Min TimeFrame & 75 Candle ATR. Every System Uses Different Entry Method, Different TimeFrame For Signal Generation & Different No Of Candles For ATR. So Don't Assume 2 ATR is Universal Stoploss. See What Suits Your System & Then Develop Own StopLoss (5)

US #VIX vs #SPX

VIX spikes above 30 are common but print above 45 have marked major bottoms

VIX at 33 today, yet to get there

#SPX AVWAP from pre pandemic High & Pandemic low around 3866-3780 . That's like 6-8% more from here and should provide launchpad for fierce bounce. Tough May & next 2-3 weeks though.

#banknifty 32200 coming soon

Gap down followed by down side move, few PE SL hit,
But system blessed 2.50 L with ROI ~ 1% at this volatile move. Add-on positional profit 10K too.

Everything Will Work,Take Any Setup & Practice for few Year. Trading on Banknifty with below setup since few Yr & able make good amount.
✍️Mark Two Day & Week High/Low.
✍️Note Previous Rejection Or Support zone
✍️Chart TF 3M,5M 15M,1hr
✍️VWAP,PVWAP & 20EMA,Volume, CPR.

#BANKNIFTY futures on short term charts 0.15% - interesting pattern
@Prashantshah267 @Definedge

#BANKNIFTY (daily)
Showing strength from 3 days.
Major trend still bearish bcos trading below 200DMA
Short term bias will turn bullish after close above 35000 towards 36000/37000+
Close below 34000 will turn this strength into distribution & lead towards 33000/32150 levels.