Moving Averages is a common indicator which most of us (novice/professional) use in the stock market for trading and investment.

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"𝙐𝙨𝙚𝙨 𝙤𝙛 𝙈𝙤𝙫𝙞𝙣𝙜 𝘼𝙫𝙚𝙧𝙖𝙜𝙚"

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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.

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Different uses:

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"

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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).

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Let's see an example:
Pidilite Industries

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.

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My Basic Trend Following system :

EMA-9> EMA>21>EMA> 63> EMA> 200.

RSI > 55

Weekly bases - Minimum 4 weeks.

Volume up by 200% .

Some others point to note :

Institutional sponsorship must.
Leading group
Annual Growth > 15 %
Quarterly growth > 15%
PEG <2.5

Step 1 - Add FREE TW Golden Indicators:
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Step 2 - Watch FREE Trading Strategy Videos:
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Step 3 - Follow FREE Daily and Swing Stock Picks

FURU Price = $5,000 per indicator + $150/Month for charts

ME = ❤️ FAST

Price Action pattern for intraday trading

A small thread

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@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.

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Top 10 price action (secrets) lessons which I learned after 6 years of experiences.

1⃣ - when market recover the strongest stocks recover very fast & will make new high.

Ex -#gael

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.

How to set Small Stop loss ??

Please👇

1️⃣ If we trade on Monthly chart - stop loss set on weekly lower low

2️⃣ If we trade on Weekly chart than SL on Daily LL

3️⃣ Daily chart - Hourly LL

4️⃣ Hourly chart - 15 minutes LL

5️⃣ 15 minutes chart - 5 minutes LL

Materials I studied for hundreds of hours before I became consistently profitable as a day trader - a thread:

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)

MASTER THREAD On Trading Terminology. 💯

If you are confused trading terms, but beginner and advanced, Read this thread.

Read. Share. And RT

Let's Go🚀🚀

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.

Finding swing trading setups using Anchored VWAPs and Volume Shelf - A Thread 👇

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
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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!
(2/n)

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.
(3/n)

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.
(4/n)

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.
(5/n)

How to find out the expected targets and what should be the exit criteria when you enter a trade - 🧵

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)