Trading Challenge II : 300% in 5 months

[MSN1979]

I have few questions

How many scrips would you be trading at a single time?
What method you would be using for intraday trading. I read you said pprice volume etc. But what would be your startegy for going long short SL etc?
Also how would u scan scrips for Nifty 200?

 

[SwagatN]

• My strategy is based simple price action with volume along with candlestick patterns.
• I have my own rules for identifying the swing points and then to evaluate price trend using those swing points. I have borrowed the concept of ERL from visual trend trading method for catching the early reversal.
• I use higher timeframe's price action to judge the strength in a trend for lower timeframe and to decide on trade areas. So it uses multiple timeframes
• Trading strategy is look for LONGs in lower timeframe when higher timeframe is in uptrend and vice versa. When higher timeframe is not in trend, look for rejections/failure near major swing points.
• Same strategy is used for intraday as well as position trading.

Now in intraday I am going to track only 3 scrips, TATASTEEL, BANKNIFTY, and RELIANCE in 1m chart.
For positional trades, my trading timeframe is Daily and Higher timeframe is weekly, so will study the price trend and do my homework in evening manually (no scanner yet. Its just 200 stocks) and execute the trade plan in live when they come.

 

[eklavyam]

kitaab padhne ke baad bhi loss hota hai ji
knowing the path and walking the path,both are different

so concentrate more on walking part...

you both took very negative meaning out of it and your further replies are full of EGO
@VJAY and @sumosanammain

my above reply said inspite of reading books the process of loosing is still going on...
though Swagat knows MM,RR and other things(knowing the path) he is not able to make money(walking on the path..)
because trading is not that easy(as knowing and walking both are different..)

so concentrate more on following what you know Swagat(walking part)...

bhai isme aap dono itna bura lag gaya ki...being a Pro Algo Successful Trader,you are using such an insulting language for me-

Vijay, you are proficient in the language of Coding, and that's the Language of Money bro And that's what matters. Anyone can understand what you want to say in any language if you wave a 2000 Rs Bundle at him.... Trust me, that guy will move mountains and arrange for people who can understand you to get your money

 

[Simple.Trader]

Dear SwagatN,

you will succeed one day definitely, may or may not in next attempt. Its bcz you have strong desire to be successful in trading. This is the most important thing to do anything in our life including trading. Besides strong desire you also have guts to bet your money on your thinking. Great Jesse Livermore said 2 things which is in context of you:

You cant tell till you bet.

Experience is the most important thing in the busines sif speculation.

You are doing both things. Keep it up. One day you will definitely become successful speculator. Just keep gaining experience (of few years) and keen eye for observation and offcourse pateince.

as said by timepass, if possible start experiments with smaller amounts and than increase stake slowly after some success. Everyone blows account in initial days. Including me. More than once. So learn from others experience. I am surprised that your losses were not so big in first attempt. Its a sort of acheivement and you should be proud of it.

Best wishes.

Simple Trader

 

[HEM]

Objective : Generate a profit of 300% in 20 weeks (5 months)
Start Date : 16th August 2018
End Date : 31st December 2018
Starting Capital : 3L
Target Capital : 12L
Trading Style : Intraday (1min) with Positional (EOD)
Trading Instrument : TATASTEEL, RELIANCE, BANKNIFTY current month future for intraday and Entire NIFTY 200 stocks in cash for EOD positional.
Trading Strategy and Methods :
For intraday I will trade 1m timeframe trend in the foot steps of 5m trend.
For positional I will trade Daily trend in the foot steps of Weekly trend.
Methods used are simple price action, candle pattern and volume analysis. No indicators.
Intraday Risk = 1% of trading capital
Business Risk = 20% of trading capital. i.e. at anytime my net equity is down by 20% from its peak I will consider this challenge as a failure.

================================

This is my 2nd attempt on the challenge of making a 300% return with in 5 months (20 weeks). The first attempt started on 15th of May 2018 and was supposed to run till 31st September. My trading capital was 1.5L, and final capital target was 6L. But I accepted my defeat on 2nd August 2018 with my final equity standing at a loss of 8% i.e. 12K. That was hell of a journey and I did enjoy it a lot. At a low point I accepted my failure, off-course I was done, but I am not finished.

This time I have raised my capital to 3L and thus the target is 12L. I will trade on derivative of the above mentioned scrip. More on my lessons and experiences from the 1st challenge in the subsequent post.

>>> NEVER GIVE UP <<<

Dear SwagatN ,

I have read your previous thread and this new thread completely and carefully and after reading your both thread i will give you only and only one advice that now still don't trade in Future and trade only in CASH (with minimum qty which is according to your comfort level) for minimum 6-12 months ....... unless you have a complete hold on your method and psychological issues.........otherwise this "Trading Challenge II" will be also disastrous for you , I would apologize for the harsh words but this is my true advice.


HEM

 

[MSN1979]

have my own rules for identifying the swing points and then to evaluate price trend using those swing points. I have borrowed the concept of ERL from visual trend trading method for catching the early reversal.

You cant share this method with us?

 

[SwagatN]

You cant share this method with us?

Yes I can, Its just that no body asked it.. But will you interested in learning something from someone who still is struggling and had not proved him yet ?

I saw in VJAY's thread that you are a new comer and trying to learning his fishing method,,where he has his own rules of pivot and trend, Wont it confuse you by learning different definitions for same thing at the same time.. Stick to any one system

 

[MSN1979]

Yes I can, Its just that no body asked it.. But will you interested in learning something from someone who still is struggling and had not proved him yet ?

I saw in VJAY's thread that you are a new comer and trying to learning his fishing method,,where he has his own rules of pivot and trend, Wont it confuse you by learning different definitions for same thing at the same time.. Stick to any one system

I am learning. Not trading. In school they didn't tell me to to learn only maths or science or Hindi or english. We all did learn multiple subjects together. Same in college and same with everyday life.
PS: My math is still poor though

So my point is The quest for knowledge never ends. So if you feel to share, you are welcome.

PS: I have my own system of trading which I have been using for quite some time. Many trader's feel to stimulate the brain and its boring to trade 5 min charts so they trade 1 min. I trade swing. Hardly 4-5 trades in 1 week. Rest of time I spent reading and learning.

 

[SwagatN]

@MSN1979 okay, my bad I did not know the full info, based on what you had wrote in VJAY's thread I assumed you are learning to trade..

So here are the rules -

Rally - candles making a series of higher high and higher low
Decline - Candles making a series of lower low and lower high.
Congestion - More than 3 candles but with no definite pattern of rally or decline.

Swing points - The Turning points in market where supply and demand changes hand. Swing points can form in any of the following points.
Swing High - A rally turns in to decline or A rally turns in to congestion or a congestion turns in to a decline
Swing Low - A decline turns in to rally or decline turns in to congestion or congestion turns in to a rally.

Uptrend = Series of higher swing high (HSH) and higher swing low (HSL)
Downtrend = Series of lower swing high (LSH) and lower swing low (LSL).

Swing points upgrade
-----------------------

• All the swing points which are a part of a clear trend (either UT or DT) i.e. being a part of HSH and HSL in UT or LSH and LSL in DT are real swing points.(RSP)
• All other swing poiints which are not a part of any clear trend are called inside swing points (ISP)
• When price breaks another RSP, the next swing point will be by default a RSP

Real Trend
-------------

• A trend consisting of higher TSH and higher TSL is called a real uptrend
• A trend consisting of lower TSL and lower TSH is called a real downtrend
• When there are at-least 3 or more than 3 ISP with in the range of two TSP, it is called a real trading range. The RSP are the range extreme.

 

[MSN1979]

@MSN1979 okay, my bad I did not know the full info, based on what you had wrote in VJAY's thread I assumed you are learning to trade..

Yes I am learning how to trade Vijay's method.
I am also learning algo trading using python from a trader UM (uber Machine).
I often study posts on algoji
I am reading and learning technical indicators on Tradimo

So your assumption is correct sir

Thanx for explaining the method. So how do u decide longs or shorts? Where do u plan to keep the SL would it be fixed or according to charts?

I know that you will take long in TSH but any particular break point of are which u would call it as a breakout, and where would u place SL. Fixed % or where the swing started etc. If you can share entery exit and Sl on chart would be lovely