Category Archives: Trading Strategies

Teach a Man to Fish…

Its long time since I have written any post here. Last when I shared my view, market was near 8800 levels, and I was of the opinion that it can easily go towards 9400 mark, and where we stand today, but it was early call to take because, before going towards 9400 market has corrected a bit and then resumed higher.

I was there in market all through but not shared anything here, just because I realized one fact that, there are lot of people who freely share their view, but important is to give hand-holding to the readers, and which is not at all possible for anyone.

If handholding is not possible then what is the best alternative available. I read somewhere that give a man a fish and you feed him for a day; teach a man to fish and you feed him for a lifetime. So, I think it is best possible alternative available for my readers.

Objective of writing this post is to share with you one important observation which I have made in last couple of months. Lately, I realized one thing no matter how good you are in your analysis, but if you cannot decisively say where to buy and where to sell, your analysis will not make any sense to anyone, because here everyone comes to mint money, and all are interested to know the location of action.

Solution to such problem is to build a strategy and implement in the market, and if it fulfills your criteria then use it. With my reading and understanding I have developed one strategy which has given superlatively fantastic results according to me and I will share the details of such results below. If you are interested to learn this strategy from me you can contact me on my email address info@way2profits.com . I will teach you strategy one to one basis online, and make you understand the whole idea.

 

NIFTY RETURNS WITH STRATEGY

It is for you

  • If you know bit about the market and ready to put some efforts
  • If you are seeking proper guideline for entry, exit and stop loss
  • Even if you are seasoned market player, it will certainly add value to your experience.

It is not for you

  • If you are seeking constant advise, then you’ll be disappointed.
  • If you are looking for intraday opportunities.
  • If you don’t have patience to wait for right signal to emerge.
  • If you cannot accept the loss, which is an integral part of the system.
  • If you cannot accept overnight risk.

Frequently Asked Questions.

  1. How can I learn this strategy?

Ans : I will teach you this strategy online till you understand the concept. I will solve all you query with charts and examples.

  1. Do I need to be expert in the market?

Ans :- No, you don’t need to be expert in market or technical analysis. But yes, you are expected to know the basics of market, because without knowing the basics I cant explain things in details, so make sure you know the basics.

  1. How much time it will take to learn and implement the strategy?

Ans : I will teach you method in roughly one session of 2-3 hours, but in case if you don’t understand then I don’t mind to stretch further, ultimately you should be satisfied to the fullest. And as far as implementation is concerned, I advise everyone to backtest thing on your own, so to build confidence in the system and if you can do it, you  can implement strategy from next week only.

  1. Can you take classroom session?

Ans :- Yes, classroom session can be arranged, if I get 5-6 students in your city, otherwise I am ready for online sessions.

  1. How much Margin I need?

Ans : To implement this strategy you need minimum two lots margin.

  1. Can I implement this strategy with the help of Options?

Ans :- Yes, but in that case results will differ accordingly. But once signal is generated you can buy/sell given instrument or its options also, it is up to you.

  1. Will you give me support after completing the course?

Ans :- Yes, after learning the method you can certainly ask me any query regarding the method, I am happy to help you.

  1. When you will conduct the training?

Ans : On every Saturday between 6-9 I will take the training programme. And it will be one to one basis only, so with you there is no other person will be joined, so you can freely ask you query. So you may confirm the availability of Saturday and book your slot.

  1. What is the fees for training?

Ans :  Its Rs. 10000/ for training and if you book it early, you’ll get discount of Rs. 2000/-, effectively it will cost you just Rs. 8000/-

  1. What materials you’ll give?

Ans :- I will share presentation of strategy with rules to be followed with examples, with that backtested results

  1. Will I make same returns in future out of the strategy?

Ans :- No, technically it is not possible because future is unknown to everyone. But be rest assured that if you follow the give guidelines you will make very good returns from the strategy.

  1. Refund policy.

Ans :- Kindly note that, in any case whatsoever maybe, money once receive will not be refunded back, so request you to kindly make sure before making a payment.

  1. Is this holy grail of stock market trading?

Ans :- Kindly understand there is No Black Box system in the world which can be called as Holy Grail of stock market trading, so keep your expectations real.

  1. Do I need charts?

Ans :- Yes, you need charts for backtesting the instrument.

  1. Is it an intraday trading stragegy?

Ans :- No, this is swing trading strategy, and you need to wait for signals to come.

  1. Will this strategy, give me a constant advise?

Ans :- Absolutely No, you have to wait patiently for system to give you signal.

 

 

Nifty & Bank Nifty Weekly Technical Outlook for 03rd Feb, 2014

Nifty Daily Chart

Nifty Daily Chart

Bank Nifty Daily Chart

Bank Nifty Daily Chart

 

Winners make a habit of manufacturing their own positive expectations in advance of the event. – Brian Tracy

Well, we have to agree with above quote. It is said that if you don’t believe in yourself than nobody is here to believe in you, so first you have to believe in You. Time and again we are saying and it is proved that nobody can stay right all the time in the market, even best of best traders are ready to accept their defeat and that is why they are best and winners, but even to prove wrong you have to have view and confidence in your understanding or for that matter in your trade. Yes, there is very thin line between faith, confidence and overconfidence.

Last week, Bears have confidence in their working and they proved it, but fruits of success were available only for that trader who has smartly taken position on Friday only, because there was choice available on Monday, as market opened sharply lower.

To understand and trade wisely let’s take fresh look on the market and see whether we can take something out of it or not?

From last year or so we are helping our readers to reduce the confusion, and give straight view. If you want to know on which side of the market should you take the stance, than just subscribe to our weekly newsletter. Click here to register,

bollinger bands

Trading Strategy based on Bollinger Bands

I know many of you are already using Bollinger Band in your analysis and trading, but I am also sure that most of you really don’t understand, strength hidden in Bollinger Bands. Honestly, I was also using Bollinger Band from last couple of years, but only in recent past I realized true magic of Bollinger Bands. Trust me, BB has a potential to give you excellent returns (don’t expect 100%…please) if used in right way, and right sense.

Till date you must be using Bollinger Band as your target or stop loss. If market is falling than your lower band is your target and, if rising than middle and upper band is your stop loss…right???  But, give me one genuine answer you are satisfied by the performance of your analysis?

You know Technical Analysis is like a car show room, where every cars are same only difference is their price and engine.  Now for a novice, whether salesman shows any high class engine car or any third class engine car, for them everything is same, because car looks same.  Exactly is the situation with new kiddos, Technical analysis for newbie is full of tools without understanding its basic nature and construction. For them one tool a day is the concept, today it works, tomorrow if it doesn’t than just throw It.

Bollinger Band strategy is the part of my course on Technical Analysis, if you are serious to learn than please do get in touch with me and understand the market with better perspective.

Strategy is not always bad…

If you know how to trade, than I am sure 20-30% of your problem is solved. Yes, with any given strategy, whether it is good or bad, if you add some sound analysis, your result has to improve, anyhow. But this sound analysis comes only after some efforts taken by individual, without which nothing is of use.

I am writing this article keeping last few days market action in consideration. Like in my daily update I have clearly mentioned that market has potential to go down further, but subject to market stay below low of 5670(spot), and also I have mentioned that only short term trader can take long trade for small profits. Now see the price action, Nifty made a low of 5679.90 (does not go below previous low and traded higher). I am not saying this because I went right here, it is because I am trying to convey you what I hear from market. As I always try to listen what market is saying? Yes, I also might go wrong many a times, but if at all I maintain accuracy of more than 70% than also I am highly satisfied with my performance.

I know many readers of mine, who are constantly involved in improvising their strategy, but dear friend why you miss to improve yourself with your strategy, and see the result. So strengthen yourself to improve.

Keep reading and replying with mail.

Candlesticks- The Price Doctor Part – I

Dear Friends,

In the series of educating my readers, I am introducing e-book on Candlesticks, which will be useful to all of you.

Candlestick - The Price Doctor

Various Candlestick Patterns

I will appreciate and welcome your feedback and suggestions.

Eight reasons to visit my blog…

Let me put it this way, why you are here for now?

  • One possibility, you may very well know me,
  • second possibility, you must be searching for something and accidently you click on an article and you are here.
  • Lastly, I believe you are passionate about Technical Analysis.

From the give three broad reasons, you are here and reading my blog.  Now question comes do my write up attracts you or not? Why you should come again and revisit my blog, than let me give you eight reasons to revisit my blog.

If you are trading Indian Equity markets, than I am sharing my views here.  Like I have shared this-

If you are trading Agri-Commodities and Precious metals, than here I share clear views on highly traded commodities.

If you are Forex player, than I also share my views on Global Forex pairs, as well Indian Forex pairs.  Like I have shared this-

If you are looking for medium to long term price forecasting on any given asset class, than please share with me, as I can share my posts on requests, which is not published directly on this blog (don’t worry it is not charged)

If you are Jobber or scalper than in this blog I share trading strategies which are very much useful for intraday trading.  Like I have shared this-

If you are a learner, aspirant technical analyst, than you will get many things to learn from articles.

As my reader knows very well that I share my views on market in very straight forward manner, with applied strategy, while keeping ambiguity aside (sometimes you can’t do anything when market tells you No to do anything), and I promise to do in same fashion in future also.

Best Trading Strategy

Dear Friend if you are in search of best trading strategy which can earn you 100% returns in any market condition, than your search does not end here.  I am saying this because, you are in search of Holy Grail, and if I say straight forward than the word is myth.  Let me explain you what is Holy Grail – in simple words, for every trade you are certain about outcome, so you are expecting 100% accuracy in all trades you take.  That is why I am saying if you are search of Holy Grail of trading technique than you are fooling around with yourself.

In last couple of days, I received mails regarding;

  • What is the best trading setup, which can assure me best of returns?
  • How to improve my performance and take it toward 100%?
  • Is there any method, where I don’t have to put stop loss?

Above question are my understandings of their questions, which directly, indirectly ask me the same question.  Here, I try to answer above questions, and let me confess, I answer according to my little understanding of Technical Analysis, there can be much more intricacies involved in it, which I may not be able to answer.

Trading setup:-

It is nothing but the prefix methodology to Buy, Sell or Hold the stock.  As a basic principle, trader should know in advance where to enter and where to exit, if you don’t follow this simple rule than for sure you are out of the game very soon, if not today and than for guarantee tomorrow.  Defining this entry and exit is nothing but defining trading setup.  With any method you can pre-define your entry and exit; it all depends on your knowledge, experience & comfort.  There are number tools and methods are available, you can choose according to your understanding.  Let me take you through some most common methods,

  • Based on Moving Averages like Simple, Weighted & Exponential
  • Based on Trendline, Pitchfork line
  • Based on Momentum Oscillators like RSI, Stochastic, MACD, ROC, KST and many others
  • Based on Gann Square of Nine, Gann Angles & Gann price forecasting methodology.
  • Based on Elliot Wave Analysis or Glenn Nelly’s method
  • Based Statistical calculations, which are most commonly known as Algorithmic Trading.
  • Based on Price Behavior like Candlestick Study, Chaos Theory

Above is just broad outline on trading methods, each topic requires elaborate description, which I will try to cover in subsequent articles for sure.  From above, you can take any one method of combination from it, and just back study the outcome.  Whichever method gives you confidence can be Holy Grail for you.

Let me tell you very clearly, there is no method I came across which assure you 100% return in all market scenario and I am sure with this prominent technical analyst will agree with me.  Any method can give you best returns but you have to understand its limitation too.

And to answer last question, as such there is no method in which you don’t have to keep stop loss, but yes there are methods with which you can certainly increase your risk reward ratio.  For detailed explanation about Stop loss, you can read my article  Most Hated but Most Desired part of a Trade: – Stop Loss