DIFFERENT TRADING STRATEGIES :-

We can categorize or divide our strategies as per different time frames & situations
for better understanding.

1. MORNING 30-MINUTES STRATEGY.

2. TRADES AFTER MORNING TRADES.
3. TRADES DURING QUARTERLY RESULTS.
4. GAP OPENINGS OF MARKET.

* MORNING 30-MINUTES STRATEGY *

This strategy is based on understanding the moves of the BROKER. ( sentiments )

If you track the Close price you will wonder the Open price of the trade day is not
always the same as that of the previous days Close price. It is because the major
brokers (BIG TRADERS) according to the sentiments lay a trap in which small traders
get trapped and run into losses. If we understand the brokers mind we can make
profits 90 % times in normal market in the first 3 to 30 minutes of trading.
( Remember you should close your positions in this time frame )

Take the following figures and trade plan with you on the basis of calculations given
below. We will call it Brokers Strategy ( BS )

Difference between HIGH & LOW of previous day i.e.: D = ( H – L )

Now BS = D / 3

BUY PRICE = ( Pr. Close – BS )

SELL PRICE = ( Pr. Close + BS )

For understanding the BS one should understand the following……..

STRONG SHARE or STRONG CLOSE (close price is higher than previous close) &
WEAK SHARE or WEAK CLOSE ( close price is lower than previous close )
Now on the basis of above calculations you are ready with the figures i.e.: BUY
PRICE, Pr. CLOSE & SELL PRICE of STRONG SHARE & WEAK SHARE separately.

Now on trade day if STRONG share opens anywhere between Pr. Close & BUY PRICE
you can BUY first & keep for sell @ SELL PRICE as your target.
The Trap :- As the broker opens the share at a price lower than Pr. Close one gets
the feeling as if the share has become weak and sells it, thus falling in the trap.

On trade day if WEAK share opens at or above SELL PRICE you can SELL first & buy
later @ BUY PRICE as your target.
The Trap :- As the broker opens the share at a higher price than the Pr. Close one
gets the feeling that the share has become strong and buys it thus falling in the trap.

Note: For this strategy Preferably take shares with high volumes & less volatility(not
operator driven stocks). This strategy will not work in GAP OPENINGS. This strategy
requires you to be very fast in taking decisions and accordingly positions.
Furthermore One should compulsorily come out or close the position in the
mentioned time frame. Life is not that easy and if you find that your position was
wrong immediately square it ( close it)
REMEMBER TO CLOSE POSITION WITHIN THE TIME-FRAME MENTIONED
FEEDBACKS WELCOME

Intraday trading strategies(formulae)

STRATEGIES ( FORMULAE ) FOR INTRADAY TRADING
by………..intradaySuRe.

The intraday movements of share prices are generally governed by Support &
Resistance levels. The intraday volume, OPEN, HIGH, LOW, CLOSE & previous CLOSE
prices are very important & one should track these prices daily. Previous data of 3 to
5 days is what is to be maintained or tracked. And the intraday data prior to the
trading day is important.

OPEN ( O ) : The opening price for the particular day.

HIGH ( H ) : The highest price for the particular day.
LOW ( L ) : The lowest price for the particular day.
CLOSE ( C ) : The closing price for the particular day.

We can calculate the support & resistance levels for the next trading day with the
help of above prices. The basic formula to calculate the various support(S1,S2,S3) &
resistance ( R1,R2,R3 ) levels is as follows :-

Support & Resistance Levels

R3 = H + 2 * ( B – L )

R2 = B + ( H – L ) or B + ( R1 – S1 )

R1 = ( B * 2 ) – L

BASE = B = ( H + L + C ) / 3

S1 = ( B * 2 ) - H

S2 = B – ( H – L ) or B – ( R1 – S1 )

S3 = L – { 2 * ( H – B ) }

Mostly traders’ worldwide use above formula of Support & Resistance both for
intraday trading as well as Delivery based trading. The general intraday
interpretation of these levels (also called as PIVOT POINTS ) is if the Share price(or
market) is above the BASE one should take a Long ( i.e. Buy ) position with target of
exiting (Selling) at R1, R2, R3 levels. Similarly if the Share price (or market ) is
below the BASE one should take a Short ( i.e. Sell ) position with the target of
exiting ( Buying ) at S1, S2, S3 levels.

YOU have to understand one more important aspect of these levels. As the price
moves from one level to other the immediate lower level becomes support &
immediate upper level becomes resistance. Suppose the price is above R1 than R1
becomes immediate support & R2 becomes immediate resistance of the price
movement.

Before understanding the different Strategies, we will take a look at the results of a
very long term study of more than 10 yrs.

Actual LOW is lower than S1.......... 43 % times.

Actual HIGH is higher than R1......... 43 % times.

Actual LOW is lower than S2......... 17 % times.

Actual HIGH is higher than R2......... 17 % times.

Actual LOW is lower than S3......... 3 % times.

Actual HIGH is higher than R3........ 3 % times.

Now just apply your mind to interpret the findings of above study to help you decide
ENTRY & EXIT points for your BUY or SELL positions.

THIS FORMS THE BASIS OF YOUR UNDERSTANDING THE MARKET & INTERPRETTING
IT BETTER & ALSO GRASPING MY DIFFERENT STRATEGIES.

POWER OF 3 :-
As a trader always remember 3 is a very important number.
3 sec., 3 min., 3 hrs, 3 days, 3 months , 30 % etc. and so on.

Some basics for a novice trader :

Intraday as the term itself is self explanatory is the position you take and clear on
the same trading day.
As a general understanding of trading people feel that they have to first buy
something to sell it later at profit.
But in intraday trading you can SELL a share even if you don’t have it with you. This
is termed as SHORT SELL. i.e.: You sell suppose 100 XYZ share @ Rs. 250 , here if
the price comes down to say 220 and you buy back the 100 XYZ shares. Your
transaction is complete. 250-220=30. And 30*100=3000 Rs is your profit.
i.e.: Short sell is exactly opposite of the buy first and sell later transaction.
SHORT SELL transaction has to be compulsorily completed by buying back the
equivalent no. of shares on the same trading day.

General but IMPORTANT for all :

REMEMBER INTRADAY TRADING IS A MINDGAME. There are many strategies one can
apply to make profits daily in intraday trading as per my experience, observations &
understanding. These strategies have been categorized or you can say designed on
the basis of different TRADE TIMES, SITUATIONS, MARKETS, & SHARES. As
discussed Mostly traders worldwide use above formula of Support & Resistance both
for intraday trading as well as Delivery based trading short term & long term. So my
advice would be to refer the support & resistance levels along with the various
recommended strategies by me.
Although one can apply different strategies for different trades, I would suggest
traders to select one strategy, which they are comfortable with, as per the mindset,
personality & risk taking capacity.( i.e.: either BUYING strategy or SHORT SELLING
strategy. A simple reason is that you cannot be two persons at one time, or you
cannot have two views at a time.) Once you master one strategy, you can practice
another and apply. YOU can also make profits forever by sticking to one strategy
forever.
A little study or homework is compulsory to be successful and self sufficient,
independent trader.
DIFFERENT TRADING STRATEGIES :-
We can categorize or divide our strategies as per different time frames & situations
for better understanding.

1. MORNING 30-MINUTES STRATEGY.

2. TRADES AFTER MORNING TRADES.
3. TRADES DURING QUARTERLY RESULTS.
4. GAP OPENINGS OF MARKET.

* MORNING 30-MINUTES STRATEGY *

This strategy is based on understanding the moves of the BROKER. ( sentiments )

If you track the Close price you will wonder the Open price of the trade day is not
always the same as that of the previous days Close price. It is because the major
brokers (BIG TRADERS) according to the sentiments lay a trap in which small traders
get trapped and run into losses. If we understand the brokers mind we can make
profits 90 % times in normal market in the first 3 to 30 minutes of trading.
( Remember you should close your positions in this time frame )

Take the following figures and trade plan with you on the basis of calculations given
below. We will call it Brokers Strategy ( BS )

Difference between HIGH & LOW of previous day i.e.: D = ( H – L )

Now BS = D / 3

BUY PRICE = ( Pr. Close – BS )

SELL PRICE = ( Pr. Close + BS )

For understanding the BS one should understand the following……..

STRONG SHARE or STRONG CLOSE (close price is higher than previous close) &
WEAK SHARE or WEAK CLOSE ( close price is lower than previous close )
Now on the basis of above calculations you are ready with the figures i.e.: BUY
PRICE, Pr. CLOSE & SELL PRICE of STRONG SHARE & WEAK SHARE separately.

Now on trade day if STRONG share opens anywhere between Pr. Close & BUY PRICE
you can BUY first & keep for sell @ SELL PRICE as your target.
The Trap :- As the broker opens the share at a price lower than Pr. Close one gets
the feeling as if the share has become weak and sells it, thus falling in the trap.

On trade day if WEAK share opens at or above SELL PRICE you can SELL first & buy
later @ BUY PRICE as your target.
The Trap :- As the broker opens the share at a higher price than the Pr. Close one
gets the feeling that the share has become strong and buys it thus falling in the trap.

This strategy requires you to be very fast in taking decisions and accordingly
positions. Furthermore One should compulsorily come out or close the position in the
mentioned time frame. Life is not that easy and if you find that your position was
wrong immediately square it ( close it)

Note :- The BUY PRICE as per above calculation is approximately S1

& The SELL PRICE as per above calculation is approximately R1

* Some more morning strategies :……………….

DIFFERENT TRADING STRATEGIES :-

We can categorize or divide our strategies as per different time frames & situations
for better understanding.

1. MORNING 30-MINUTES STRATEGY.

2. TRADES AFTER MORNING TRADES.
3. TRADES DURING QUARTERLY RESULTS.
4. GAP OPENINGS OF MARKET.

* MORNING 30-MINUTES STRATEGY *

This strategy is based on understanding the moves of the BROKER. ( sentiments )

If you track the Close price you will wonder the Open price of the trade day is not
always the same as that of the previous days Close price. It is because the major
brokers (BIG TRADERS) according to the sentiments lay a trap in which small traders
get trapped and run into losses. If we understand the brokers mind we can make
profits 90 % times in normal market in the first 3 to 30 minutes of trading.
( Remember you should close your positions in this time frame )

Take the following figures and trade plan with you on the basis of calculations given
below. We will call it Brokers Strategy ( BS )

Difference between HIGH & LOW of previous day i.e.: D = ( H – L )

Now BS = D / 3

BUY PRICE = ( Pr. Close – BS )

SELL PRICE = ( Pr. Close + BS )

For understanding the BS one should understand the following……..

STRONG SHARE or STRONG CLOSE (close price is higher than previous close) &
WEAK SHARE or WEAK CLOSE ( close price is lower than previous close )
Now on the basis of above calculations you are ready with the figures i.e.: BUY
PRICE, Pr. CLOSE & SELL PRICE of STRONG SHARE & WEAK SHARE separately.

Now on trade day if STRONG share opens anywhere between Pr. Close & BUY PRICE
you can BUY first & keep for sell @ SELL PRICE as your target.
The Trap :- As the broker opens the share at a price lower than Pr. Close one gets the
feeling as if the share has become weak and sells it, thus falling in the trap.

On trade day if WEAK share opens at or above SELL PRICE you can SELL first & buy
later @ BUY PRICE as your target.
The Trap :- As the broker opens the share at a higher price than the Pr. Close one
gets the feeling that the share has become strong and buys it thus falling in the trap.

Note: For this strategy Preferably take shares with high volumes & less volatility(not
operator driven stocks). This strategy will not work in GAP OPENINGS. This strategy
requires you to be very fast in taking decisions and accordingly positions.
Furthermore One should compulsorily come out or close the position in the mentioned
time frame. Life is not that easy and if you find that your position was wrong
immediately square it ( close it)
REMEMBER TO CLOSE POSITION WITHIN THE TIME-FRAME MENTIONED
FEEDBACKS WELCOME
It is all very interesting. I didnot know there are technicques that can be used for
intra-day. The only tecnique I know is to follow my nose. But still here there are
traps in your traps as you mention. I think I will try out real time without money
( only on paper). Once I gain confidence I can get in with money.

It is indeed kind of you to come out and teach. Many people donot want to expose
their strategy. They should understand that they will continue to roll in money while
teaching others who will be ever grateful to them for reducing their losses or making
some money.

Simple language without jargons as you put it is most welcome.

Awaiting eagerly for the remaining strategies, slowly please one at a time.

Thanks a million.

VPS