If u are a day trader, irrespective of the TF u trade, u should align urself with the trend in 15min TF. Avoiding whats happening in 15min TF, is highly dangerous and will end up as a very costly mistake.

#aplapollo

price poised nicely to reverse from here
trades near to channel bottom while major trend is up

How to desogn a trading system???

Ur trading system should contain 2 parts
1. Define context
2. Entry exit set up and rules

Let's see them in detail

1/16

When u define the context u are essentially removing all the trades which are against the trend.
Suppose u objectively found trend is Bullish with any tools of ur choice. Then all the shorting signals ur entry exit method generates can be avoided

2/16

The tools u use to define the context of the major trend can b anything
1. Supertrend positive
2. Price > EMA 20 > EMA 50
3. MACD abv zero and abv signal line
4. Price and rising vwap
5. Price is riding through upper Bollinger Band since last >20 bars

These are examples

3/16

This is one part of defining the context. Now how about ensuring the trend in this TF is same as the one from HTF as well??
This will add lots of odds in trade success.
Suppose ur trading TF is 5min, then a check up in 25min TF is highly desirable.

4/16

If 25min TF too is Bullish, the the context is defined completely. But how to define trend in 25min TF ??

One method as follows
1. Last 25min candle has abv average volume and abv average spread with a close near high

5/16

If u are looking to enter a scrip just before the breakout
what would u look for?
How would u identify scrips just before breakout?

Here are a few pointers
Carefully understand the them and use at ur own discretion
(All comments r compiled from a question i posed)

1/23

Price is testing the same resistance repeatedly since long.
But now in recent times it's forming multiple candles near the same resistance with low volume.
Observe it and see for opposite move.
As soon as u get a positive candle, get in to it.

2/23

1. Volume buildup (vol > when resistance point created) along with, increase in OI, increase in delivery % on HTF
2. On LTF, price stalling around breakout area for at least 1-2hr.
3. No major events.

3/23

Stock reaching breakout LVL with HL-HH
Contraction of price and volume near it especially near 20 days ma.
If there is any breach of the latest HL it should be followed by a bullish candle with good volume.
Left side of the chart has a rally with a very steep slope of ma.

4/23

Number of wide range green bars with high volumes.
If stock is at its ATH then it adds more conviction bcz there wont b supply after that point

Consolidation below the resistance, volume of the candles & strong bullish candle closing at near highs just below the resistance

5/23

#FreeTip
If there are multiple pivot confluences, it is a strong zone and should never be ignored as there is a high possibility of a very significant activity around the zone.
Today's activity is an example. Historically can find similar concepts with varying pivots...

Repeat msg ::
Keep booking profit and deleveraging as mkt moves in your direction, few examples of money/position management
1) Book future and add In the money option
2) Book In the money option & buy Out of money
that way u can ride it while wont mind if sudden reversal comes

Fake Breakout : Price crosses over the resistance but does not get follow through. Bearish Engulfing is seen at these levels.

Legit Breakout : Price crosses over the resistance & gets follow through. Pin Bar is ideal candle at these levels.