Lesson learned from Rayner is: 1. Trade near an area of the value. Should buy at a trend line or moving avg. (Means when stock respects moving average or trend line, should not buy the stock when the price is too far away from the moving avg or trendline.)
2. Don't chase the breakouts. means, if stock gave a breakout and missed that opportunity then should not enter at a high price after break out. It will be difficult to put the stop loss.
3. Always set the stop loss away from the obvious level. Means stop loss should not be at the exact swing low or at the pivot point. There are maximum chances are there to hit the SL. keep 2-5 points away from this level.
4. When a stop loss is too high then should not take that trade and better, wait for the next opportunity. 5. Always to risk-reward ratio 1:2 and use position size. Use the below position calculator for better positions. #ssstockalerts ssstockalerts.in/stocks/view/#/…
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1. Trade can initiate the next day opening price with 1% or 2% of stock price as SL.
2.Risky Traders can enter into trade at 3.15 to 3.20 pm on the same day when price crosses above the monthly pivot point.
3. Target can be 2% or 3% or 4%
4.When we back tested with 2% SL and 4% target given the best results.
5.User can keep any of these risk rewards
Risk reward ratio: 1: 2
Risk reward ratio: 1: 3
Risk reward ratio: 2: 4(Given the best results)
6.User can close the trade with in 3 days if they achieve target or if SL hits.
7.If user wants to continue the trend then SL should be moved only when they achieved initial target. 8. You can add any other indicator for confirmation eg: SMA 20, ADX > 25.
Scans -> Investment patterns -> High Momentum pattern.
Conditions to qualify stocks in this criteria: 1. Min price should be greater than 30 2. The current price must be at least 50% above 52 weeks low.
3. The current price must be within 25% of the 52 weeks high. 4. The current price must must be trading above 50-day and 50sma > 200 sma. 5. Every 6 weeks should have made new high. so check last 6weeks price is greater previous 6 weeks high price.
> Now click on patterns > candlestick > dragon fly doji pattern
> It will highlight on the chart where it occurred in the past also.
> Now u can check whether this pattern is respecting this stock or not.
> It is easy to backtest with ur eyes.
> U can check the same thing for Daily/Weekly/Monthly also.
> Once u found , stock is respecting this pattern then take position based on that.
Started reading the A complete Guide to Volume Price Analysis #book#VPA
Based on my understanding created below patterns 1. Price and volume raising
> Bullish: price closes above the previous candle and volume is greater than previous candle.