Quadra Safe Trading Strategy - I

[Nextgen_trader]

SG

Can you help me to understand how this has triggered BUY SIGNAL. EMA 50 is flat and all other MA's are below EMA 50 .. Am i missing anything ??

KP

 

[SavantGarde]

Can you help me to understand how this has triggered BUY SIGNAL. EMA 50 is flat and all other MA's are below EMA 50 .. Am i missing anything ??

KP

As per Quadra all the WWMAs have crossed over each other as far as 50-EMA is concerned there is NO condition yet whether 50-EMA should be below, above or within the cluster....!!!

Looking at the previous Price Action structure on the chart....the Buy Price as a safe entry has been marked on the close of 13/07/2012, while normally Buy would have been above the High of Today's Candle...!!!

These little things are the prime reasons for me to mark the Charts...so that, some of you, if not all can get feel and reasons for certain exceptions that creep in from time to time....!!!

SG

 

[SavantGarde]

As per Quadra all the WWMAs have crossed over each other as far as 50-EMA is concerned there is NO condition yet whether 50-EMA should be below, above or within the cluster....!!!

Looking at the previous Price Action structure on the chart....the Buy Price as a safe entry has been marked on the close of 13/07/2012, while normally Buy would have been above the High of Today's Candle...!!!

These little things are the prime reasons for me to mark the Charts...so that, some of you, if not all can get feel and reasons for certain exceptions that creep in from time to time....!!!

SG

Forgot to add regarding the upward tilt of 50-EMA... while it looks flat at today's Candle...it did have an upward tilt before just that Red Candle of today has flattened the upward tilt...!!!

SG

 

[Nextgen_trader]

Thanks a lot SG sir. One misread point cleared now :clapping::clapping:. I was under assumption All the WMAS has to be above 50 EMA for the buy entry.

Now cleared and understood basic Quadra Magic!!!! :thumb::thumb:

Thx,
KP

 

[asnavale]

Can you help me to understand how this has triggered BUY SIGNAL. EMA 50 is flat and all other MA's are below EMA 50 .. Am i missing anything ??

KP

Hi Kumar,

SG explained about WMA crossover and EMA clearly about the trigger. One more thing I would like to draw your attention to is the behaviour of the prices in the preceding days. SG has mentioned it in short as price action. I am clarifying it in a little more detail so that for those who are a bit new to the chart reading are benefited.

Beginning from June till 13 June, the price has moved in a range bound region of 605 to 635. This is almost the region marked by SG between the Red and Green dotted lines on thee chart. Now the price has broken out of the range and started trading above it. So, the trend now would be favourable to enter long. The quadra Trigger also in favouring this conclusion.

It is necessary to look at trigger as well as the behaviour of price before the trigger so that the entry is more in favour of getting a profitable trade.

-Anant

 

[SavantGarde]

NF EOD 18-07-2012

BNF EOD 18-07-2012

SG

 

[dineshN]

It is necessary to look at trigger as well as the behaviour of price before the trigger so that the entry is more in favour of getting a profitable trade.

-Anant

Very valid point! Especially if we are trading Futures. Normally by the time the buy signal is triggered, the stock has already made a long way.
In overall bullish Nifty trend, stock gives handsome returns. Some examples like LT - buy triggered at 1205, ICICIBANK - buy triggered at 839.45, BGREnergy etc.
But in sideways to bearish market, sometimes entries get stuck. In cash, it is not a big problem but in Futures, it sets panic in.

Recently you had similar advice for entry in RCOM for one of the member.

 

[SavantGarde]

Very valid point! Especially if we are trading Futures. Normally by the time the buy signal is triggered, the stock has already made a long way.
In overall bullish Nifty trend, stock gives handsome returns. Some examples like LT - buy triggered at 1205, ICICIBANK - buy triggered at 839.45, BGREnergy etc.
But in sideways to bearish market, sometimes entries get stuck. In cash, it is not a big problem but in Futures, it sets panic in.

Recently you had similar advice for entry in RCOM for one of the member.

Skill required is in Managing The Open Trades in Derivatives Segment....while a little mistake in equities can be forgiven by the market..!!!

SG

 

[Aloakdutt]

Dear Friends,

Andhra Bank as given sell signal on daily timeframe.

 

[Aloakdutt]

Axisbank buy signal on 5th july but still going sideways that is my understanding, correct me if worng.