This learning thread would be on
"𝙐𝙨𝙚𝙨 𝙤𝙛 𝙈𝙤𝙫𝙞𝙣𝙜 𝘼𝙫𝙚𝙧𝙖𝙜𝙚"
Like👍 & Retweet🔄 for wider reach and more such learning thread.
Basics of the moving average:
It takes average of the price for the duration we want.
So 10 days moving average means an average price of 10 days closing price.
Common types of Moving Average:
Simple, Exponential, Weighted.
Use only one type in your trading setup.
1⃣ Moving Average Crossovers:
Common strategy used by positional traders and investor in finding multibagger or good returns stocks.
Common crossover used is for 50 & 200 Moving Average.
Also, this is called as "𝗚𝗼𝗹𝗱𝗲𝗻 𝗖𝗿𝗼𝘀𝘀𝗼𝘃𝗲𝗿"
In this buy signal is initiated when lower MA (50 EMA) crosses above higher MA (200 EMA).
And exit or sell signal is intiated when lower MA (50 EMA) crosses below higher MA (200 EMA).
Let's see an example:
Buying Price was 56 in 2009 and CMP is 2462 and still there is no selling signal.
44 times Multibagger or 4300% returns.
In lower time frame, it will give more whipsaw and more number of trades.
A sweet and simple BNF Setup i use
Retweet so that everyone can get benefited.
Check Full thread for full strategy.
1. You have to use 2 charts simultaneously , first chart of bank nifty spot 15 min time frame , candle used heikin ashi
Second chart 15 min bnf future normal candle.
2. Indicator used is alligator , in the indicator you have to only use the jaw of indicator.
3. Whenever spot and future candle closes simultaneously below the jaw line , short at the low of the candle which closed below the jawline.
4. Whenever spot and future candle closes simultaneously above the jaw line , buy at the high of the candle which closes above the jawline.
5. Target and Stoploss - Ideal target which i personally take is 100 points.
Stoploss also 100 points.
On trending days you can trail and take 200/300/400 points also.
I have personally made maximum 624 points in bank nifty in a single trade.
6. Precautions - never trade on sideways days.
7. Never trade on gap up or gapdown of more than 100 points .
I have made a detailed video on the same.
Thankyou for reading.
A small thread
Traders show your support by like & retweet to benefit maximum traders
@Puretechnicals9 @AnandableAnand @Abhishekkar_ @ProdigalTrader @nakulvibhor @RajarshitaS @Rishikesh_ADX @Stockstudy8 @vivbajaj
Focus on limited price action pattern if u are fan of pattern trading and concentrate pattern more at reference levels no everywhere.
Read the writeup & most importantly understand the chart with comments
It solves the problem which traders face "what's the trend?"
If someone liked it, may send a box of chocolates, I won't mind 🍫 😄 https://t.co/BQ9bwjxBU4
SGX in -320 Pts— Sarah (@TheCosmicTrader) August 19, 2021
Look at CPR of NF basis open & close, something unusual happened yesterday which didn't happen in last few trading sessions
If you can see above in chart, you will realize CPR is not an indicator, it is market sentiment
It's time for a short webinar
1⃣ - when market recover the strongest stocks recover very fast & will make new high.
after correction of #nifty fell then again recovered very fast & furious way 🌠
2⃣ - if stock never come to retest it's weekly & monthly breakout zone then the chances of it's 2x is much more.
Ex - #suppetro after BO 5 year never retest BO zone & consolidating near high.
Chances of it's 2x is much more 🌠
3️⃣ If any stocks gives BO of all time high or more then 1 year range with high volume then it can give 20/30% return in few weeks.
Ex -#mawana sugar after given 1 year BO of all time high given 22% return in 4 days
4⃣ - if its sector & market both are silent & only few stocks are trying to breakout then the chances of it's failure is very high।
Ex - #hindoilexp
In jan /feb trying to BO but market & sector didn't support 🌠
5⃣ - if any stock is accumulating or standing near it's big resistance or support then it's chances of BO /BD is much more.
Ex - #maithanalloy
From past 7 days was standing near major resistance, today given 14% move.
1) Understand how supply and demand zones work (applicable to all timeframes)
2) Learn how to identify the pivot points to identify high probability entry and exit zones
2.5) Watch one more video to really nail in how to draw supply and demand zones
3) Understand how supply and demand zones work with major support and resistance levels (yes, they are slightly different)
💎SECRET INFO inside
🧠Great for both beginners & advanced traders
▪️ What are they?
▪️ Types of MAs
▪️ Why are they such a powerful tool?
▪️ How to properly use them?
▪️ My best SECRET EMA value?
▪️ Which Timeframe to use?
▪️ Advanced EMA technique?
▪️ What are they?
Moving average is nothing more than an average price of the last (value) of candles.
If we are gonna use an example of MA(50) it is gonna be the mean price of the last 50 candles
Price above = Bullish 🐂
Price below = Bearish 🐻
▪️ Types of Moving Averages
1) Simple Moving Average - SMA
2) Exponential Moving Average - EMA
3) Smoothed Moving Average - SMMA
4) Volume Weighted Average Price - VWAP
There are a few more but these are the most important in my opinion.
I won't be going that much into detail about each of them in this thread but more so covering MAs in general.
The important takeaway is there are many methods of calculations and each offers bit different pros & cons
I'll leave experimenting with each of them up to you
▪️ Why are they such a powerful tool?
Because they help everyone, even newbies, that are just starting out, to easily & visually clearly identify trends without understanding the advanced Market Structure techniques.
Price above = 🐂
Market Structure (MS)— J A C K I S (@jackis_trader) July 6, 2020
Understanding MS is the most important thing in TA
It rules above everything. TL's, MA's, Indicators. Everything.
While it's nothing more than looking at swings and seeing Higher Highs (HH), Highers Lows (HL), Lower Highs (LH), and Lower Lows (LL). pic.twitter.com/QbgOSHGkBr
All my threads will be listed under here
Need help getting better entries ?
Here is your thread
Thread on Finding Entries.— James Lefaith aka Jimmy Momo (@JamesLefaith) June 15, 2021
Firstly you have to be able to identify and area of value for an add.
NEVER BLINDLY BUY\u203c\ufe0f
ALWAYS BUY AT A KEY LEVEL OF SUPPORT, CONFIRMATION & OR IN SOME INSTANCES EVEN AT A BREAK OF A RESISTANCE LEVEL
\u203c\ufe0fThis is how you do that
This is How you can be green on every trade via risk management
RISK MANAGEMENT THREAD— James Lefaith aka Jimmy Momo (@JamesLefaith) June 17, 2021
Bookmark this; it\u2019s important.
This thread will help you exit (Mostly) EVERY TRADE GREEN but MOST IMPORTANTLY will help you mitigate risk.
HERE is some proof. pic.twitter.com/RNFJtOqJ9C
Thread on high profitability support and resistance setups & trigger points.
\U0001f90dThread on My Support & Resistance System\U0001f90d— James Lefaith aka Jimmy Momo (@JamesLefaith) June 19, 2021
This Thread Will Help you guys identify favorable, highly profitable, quick and smart money decision areas to add for your entries.
This Thread was requested by my good friends @DevTrades21 and @jessasecond1. Give Them a Follow
Here’s the Jimmy Momo Script, hope you all love it
EVERYONE Here\u2019s the moment we\u2019ve been waiting for, Here is the TOS study based on my candle system.— James Lefaith aka Jimmy Momo (@JamesLefaith) September 12, 2021
Script created by @richard_the_red everyone give him a follow & thank him for putting in the time. We really hope you all enjoy it & put it to good use https://t.co/0hzRfQ3uGg
If you are confused trading terms, but beginner and advanced, Read this thread.
Read. Share. And RT
The above Explains
1. Basics of Volume Profile. No need to Panics if you don't understand VP, just understand the definition for now.
2. Explains DOM, Deviation and Liquidity Grab.
Please take the time to read the above slowly and carefully.
Deviation explanation here.👇
Cheat Sheet 2.
Explains Basic price patterns and price movements explained.
I am adding a screenshot of the DOM to show how Bid, Ask and Orders look like.
This will explain what everything on an limit order book means.
Cheat Sheet 3.
A few advanced words about trading.
Possible ways to find out the target:
Check if any patterns forming - it gets quite easy to figure out the targets that way. (1/15)
Let's say cup and handle. Our first target in this case will be the height of the handle and final target will be height of the whole cup. It's the same with H&S. First target will be the height of the shoulder and final will be the height of the head. (2/15)
In triangles, the targets will be height of the whole triangle.
Sometimes, after hitting the first target.. stock starts consolidating or take a retest of the breakout. On some occasions, stock gives one sided move non-stop.. without any pullback. (3/15)
A lot depends on the stock behaviour too. If a particular Index gave a breakout, then too stock gives final target without pullback.
Also, if stock gives weekly breakout and market is trending during that time.. even then it gives a one sided move. (4/15)
Recently, we've seen many such stocks -- Kotak Bank, TataMotors, TataPower.
Other helpful thing I learned from @Traderknight007 about exit criteria is using volume expansion and DMA/EMA. I began using it and benefitted. This is recently observed in TCS, DLF & many others. (5/15)
Anchored VWAP is the average price people paid from a specific anchor in the chart. Bulls and bears do not want stock to cross the average price they paid to buy/sell it!
$SPY $AFRM $V
Let's take an example of a bull run. When a breakout happens, or a reversal happens, or a rally begins, people start buying! We can assume such points as our anchor points!
Now as long as price stays above their average price, they are happy!
But what if it comes down!
If it comes down, those bulls might start buying again because anytime price will go below the anchored vwap from their initial buy point, they are in loss. THIS IS IMPORTANT!
They do not want to go in loss, so they start buying again pushing the price higher.
This is useful to know for everyone! Let's also couple this with something called a volume shelf.
Volume shelf shows you areas where most shares were traded. Similar to AVWAP, when price starts to cross below the shelf, bulls will step in because they are going in loss.
Now that we have a rough understanding of what pains bulls on an uptrend, and when do they step in to avoid any losses, we can move ahead.
For a bullish swing trade, our task is to now find setups that are on anchored VWAP supports + volume shelf supports.