Jun 2, 2018 17 tweets 5 min read
Will try to put a small thread on a well known Open High Low Strategy
lets call it "OHL"
(1/n) #OHL
1st condition to be met is
(a) Open = High
(b) Open = High = Previous Close

or

(a) Open = Low
(b) (b) Open = Low = Previous Close

(2/n)
Different time frames have different interpretations Higher the TF higher the accuracy for eg a qtrly OHL will be more powerfull singal then monthly or smaller TF daily signal would be much relevant then an hourly signal !!

swill talk only about daily / weekly / monthly

(3/n)
IF from
O = H is weaker if we compare to OHC (a<b)
O=L is weaker if we compare to OLC (a<b)

refer tweet 1st

in simple words more the price action on all three TF the more powerfull indicator it is if one is missing

(4/n)
For easy reference 2-3 points here there will be considered as equal not carrying much weight..

if on a monthly TF we get any whether OHC / OLC the trade is initated post the close on 1st day in the direction of the trigger we had .. for eg if O=H we initiate a short
(5/n)
whether every month we will get such set up is anyone's guess !! but when such set ups are identified they are easy set up..

have tried to mark a few such set up on #nifty monthly charts same can be plotted on any other TF (6/n)
The higher the TF the better the result.. the smaller the TF more chances of whipsaws

these set ups are more visible on Daily TF across underlying but since i am not nifty trader will discuss on nifty only !!

(7/n)
If on Monday i.e. 1st day of week we get any set up whether OHC or OLC the trade direction is on long if O=L=C else short if O=H=C or if close is absent the same set up is carried for execution...

(8/n)
so here we have 2 things in our favour
1st a weekly set up and simultaneously daily set up..
since weekly is more powerfull then daily

now comes tricky part.. wht if next day or any day in a week we get a reverse set up do we close down weekly set up..

(9/n)
as a trader if you are trading on daily basis one needs to cut down weekly set up n move on to daily set up.. for positional trades the weekly set up is alive till nullified

recent such setup occured on 21st may & gave a decent 200 pointer trade without using much brains (10/n)
STOP LOSS

very simple as per Risk mgmt system .. generally my preferred wayto find a stop loss
1) 0.25% of trade execution level

(11/n)
STOP LOSS

2) recent swing high low like on 1st june nifty made a high of 10764 and previous day high was 10764 and recent swing high was 10790.. So trade got executed at 10750 with stops as 10790 with no targets.. only stop loss were revised to carry on less risk

(12/n)
how to trail stops is purely discretionary as everyone have different RR

if trading intra then an hourly OHC / OLC or OH / OL would be signal to decide stop loss or booking out of a position...

(13/n)
if trading on weekly basis stop losses need to be readjusted based on daily data

if trading on daily basis stop loss needs to be adjutsed based on hourly / 30 / 15 min TF

Idea is not to get caught on wrong footing

A STOP LOSS saved is a profit earned

(14/n)
Remember we are here to make money and not systems ..

system may give late signal but since i am following a discretionary method the loss should be pre-defined

(15/n)
The End
(16/16)
simplicity at best !! #nifty 150+ #banknifty 550+ #BNF points captured by the most simple methods !!
#KISS analysis

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# More from @Amit_Gulecha

Mar 27, 2020

- these all r historical moments which happens once in a century
- no one have an iota of idea what will happen so everyone's guess is as good as others
- what when and how & whom it will impact = each n everyone

- put that much money which u can see going to 0
- don't Borrow and invest
- have sufficient saving in banks if any form in good reputed bank (hard to say which is next)
- don't invest 100% Seeing lucrative valuation or ur funda study
- cheap becomes cheaper
- let all dust settle u will get 100 opportunities
- what if " market shuts down " ( never happend but what if )
Sep 10, 2019
#Nifty
Few points to ponder on Longer TF
- Rising Trendline since 2008 currently placed roughly around 9000 (Long TF)
- Rising Trendline since Dec. 2016 from 6825 have been breached on monthly basis and currently placed above 11300. so close above it is needed
1/n
Contd..

- breached 7 MEMA and tested 20 MEMA ( also middle BB)
What happend once 20 MEMA was breached ??
Only 3 instances of corrections
- Since 2003 in 2008 (Crash)
- 2011-12-13 (Minor)
- 2015 (deep)
* MEMA = Monthly EMA

2/n
Contd...

- Since 2003 only once 54 MEMA have been breached that was in 2008 crash
- in 2011 & 2016 took support at 54 MEMA and reversed
- currently 54 MEMA is placed at 9765
3/n
Nov 10, 2018
Can someone put a comparison of price on adding date and today..

Have an interesting story to tell over the weekend

Only 5 stocks
Data courtesy @KNSvasan @im_naresh @anand_luhar @amitgoenka2k

Will try to put a small note on Inclusion of stock in fno segment

Reason effect and outcome this is purely based on my experience over last one and a half decade 1/n
What is primary motive of an investor whether it's promoter or operator or insider ...

Sole motive is to make profits at cost of anything and forget the word "ethics"
Beg borrow steal

Same is big players including promoters insider operator 2/n