#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
#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)

VWAP starting with day open candle is quite popular

Try #VWAP with period for change where period equal to number of bars in trading day. Acts as magnet for Intraday Mean Reversion moves

Exibit- Banknifty of last 2 days

#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)

#BollingerBand Squeeze Breakout

Sharing An Entry Set-up For Cash Market Since Cash Market Is Running Hot Currently

Bollinger Bands Are Volatility Bands with Centre line, Upper & Lower Band

Centre Line Is Simple Moving Average

Default Is 20 Period Simple Moving Average

Upper & Lower Bands are constructed by Adding / Subtracting Standard Deviation Values from SMA

Default is 2 Standard Deviation Away from 20 SMA for Upper & Lower Band

During Trending Phase, Bollinger Bands generally expand as Standard Deviation Expands in Trending Phase

During consolidation standard deviation drops, causing Upper & Lower Bands to contract towards centre line

This Gives the look like bands are getting squeezed, hence the name Bollinger Band Squeeze Breakout

Entry Setup occurs as below:

1. After Good Rally, Price takes pause, goes in consolidation of few weeks, typically 3-8 weeks

2. Bollinger Bands tighten or Squeeze, indicating volatility contraction

3. While bands are in squeeze, price rises to Upper Band

4. After Touching Upper Band, Price is Rejected

5. price Rejection creates Lower Low on Daily charts, which is called Bearish Fractal

6. High Point from Which price is rejected & creates Bearish Fractal become Breakout Point

What all do I read to keep myself informed about new opportunities and to keep updating myself with the new happenings in the world?

Time for a thread about all tools I use to research,Find information and update myself about different subjects

🧵🧵🧵🧵🧵🧵

Blog Subscriptions I am subscribed to for investing:

1. @borrowed_ideas
2. Non-Gaap Substack
3. The Flywheel substack
4. Read The Generalist
5. Kiran D- has a blog on word press
6. Uncommon Profits
7. Used to read stalwart but they reduced the posting
8. @rohitchauhan

9. @IntelsenseI
10. @SeekingAlpha
11. @themotleyfool
12. Betaoalpha Substack by @mehrotra_saket
13. @MarcellusInvest
14. @PerfectResearch

Others that I like to read

1. @TheKenWeb
2. @EconomicTimes Prime. Recently they have improved
3. @TheEconomist
4. @forbes_india

Sectoral experts/Analysts that I follow:

For Pharma- @AdityaKhemka5 , @unseenvalue & @punitbansal14 + Contract Pharma for cdmo

For Banking- @HemindraHazari , Digant Haria and Ashish Gupta from Credit Suisse (he's terrific)

For chemicals- Rohit Nagraj from Emkay Global

and chemical weekly+Chemical reports monthly from B&K securities

Broker reports that I like to read whenever I can:

1. Spark capital-hands down the best reports in the country.

2. Ambit- publish some good stuff. But rarely available

3. JM Financial- exceptional reports.

Swing Trading Strategy
That can help you generate Monthly Income !
A thread 🧵
Using RS , MACD , 21 EMA and Price Action
All Concepts with charts Explained !

RETWEET AND SHARE !

UNDERSTANDING MACD
Moving average convergence divergence (MACD) is a trend-following momentum indicator that shows the relationship between two moving averages of stock.
It is calculated by subtracting the 26-period exponential moving average (EMA) from the 12-period EMA.
2/n

The result of that calculation is the MACD line. A nine-day EMA of the MACD called the "signal line," is then plotted on top of the MACD line, which can function as a trigger for buy and sell signals.
3/n

Traders may buy the security when the MACD crosses above its signal line and sell—or short—the security when the MACD crosses below the signal line.
4/n

UNDERSTANDING RELATIVE STREGTH
1.Relative strength is a strategy used in momentum investing and in identifying value stocks.
2. It focuses on investing in stocks or other investments that have performed well relative to the market as a whole or to a relevant benchmark.
5/N

Absolutely fantabulous @vcpchartist bro..
Weekend learning..

https://t.co/OjhbqEKQhm

@VSInvesting

A rising wedge when broken decisively on the upside turns into a channel and stretches a little on the top of channel after a non stop move. Expecting this trajectory as of now.
#DXY