Nifty opened near PDC. First candle acted as IR. Short when second time price failed to move above IRH. Price got trapped between IRL and PDH for a long time. Covered on BOF of PDL. Strong BOF of PDL could not take price above IRL. I had a buy order above IRL which did not trigger. Shorted the break below PDL. Exited too early when price bounced from BRN and missed the last leg of the down move
Hi ST
ReplyDeleteI had a doubt. Why no SAR trade where you TP on your short and instead a order above IRL??
Thanks
TBP
I do not take such SAR trades
DeleteI don't find them comfortable. Very poor in multitasking
ST
For 2nd Trade
ReplyDeletePDL was very strong support(yesterday), but the bounce today was very poor was this the reason to go short ?
Bounce was weak. If you notice you can see that price bounced from 8325 many times
DeleteThere were lot of buying at the area. Once price broke below the area all of them covered fueling further fall
I covered it too early. could have stayed with it
ST
PDC was only 10 points away for your first trade, you still went for it, what was the reason, same for your 2nd trade, FTA was only 20 points away, you still entered. Were you not bothered that price did not had much space to move for both trades. In your previous trades their are times that you have not entered due to lack of space for price to move around
ReplyDeleteDecision points are not brick walls. It should be analyzed contextually
Deletehttp://niftynirvana.blogspot.in/2012/11/make-or-break-levels.html
When a DP gets enveloped, It loses importance
http://niftynirvana.blogspot.in/2012/10/brackets-and-envelops.html
We are basically trading ranges and looking for DPs that act as range extremes
http://niftynirvana.blogspot.in/2012/05/trading-ranges.html
Discard and ignore abused levels. trade the virgin levels
http://niftynirvana.blogspot.in/2012/12/love-virgins.html
Decision is finally made analyzing the seven pillars
http://niftynirvana.blogspot.in/2014/10/seven-pillars.html
Do not look for a pattern at a DP and trade it. It is not going to work
There is much more to look for
ST
Thank you ST for the detailed explanation. Truly appreciate your help.
Delete"Do not look for a pattern at a DP and trade it. It is not going to work
DeleteThere is much more to look for"
--> Thanks ST...
As a BPB of BRN, where one should short ie below 14:18 bar or 14:24 bar( though it is already 60 points down)?
ReplyDeleteIt is always safer with 14.18 because we can only expects stops below this
DeleteEnsure that the trade moves quick in our favor. If any bar closes above the entry, better scratch
ST
A similar "double failure" (price trying at least twice to move up) can be seen on 1112 @ 2:15 and 2:27 bars before price broke down below the DP.
DeleteThanks.
DeleteRajesh,
ReplyDeleteThanks for the explanation and the simplified gyan of Price Action Trading Nifty which is giving good returns on Trend days !.
I went short @8360 around 1100 hours waited patiently and covered @8275 around 1445 hours
Thanks once again Rajesh,
With kind regards,
Good trade
DeleteST
Dear ST,
ReplyDeleteThough not posing actively,I have been a regular visitor of you place and benefitted immensely.Please clarify me doubt.quoting u."I had a buy order above IRL which did not trigger." I have rarely seen u taking BO trades.What is the thought process behind this one?support turning resistance?
8320 was a very strong support in daily and gave support on 11122014
DeleteIt was a good BOF of PDL. I expected it to move well. I was already on short and covered
I would have gone long where I marked TP, if I was not short. Next best entry point was the BO of IRL
I expected a lot of stops there. I take BO trades,but rarely
http://niftynirvana.blogspot.in/2013/05/pressure-plays.html
market was continuously falling and expected a reversal due to short covering on weekend,though market proved me incorrect
ST
ST,
ReplyDeleteMy trades...
http://tradingdecisionpoints.blogspot.in/2014/12/12122014.html
Trade 3:- I knew it was going to fall and also the background of different tfs ....Ended up taking the BO in fear that I may miss the move.Eventually I missed the move since already 4 trades/day mark was breached ...
This is definitely a painful progression :).
But last 3 weeks were either positive or break even ...
rgds
Kishore
Only thing I can tell you is that the method has an edge.
DeleteHope you might have read this
http://adamhgrimes.com/blog/traders-journey-heros-journey/
ST
No ST,
DeleteI haven't read this.
very nice read .thanks .
Yes, The method with an edge is the prime important part .and the rest can be worked on.
Thanks for providing the method..
And I am ready to face the challenges and temptations :)
rgds
Kishore
Hi ST,
ReplyDeleteFor your second trade where you said the exit was too soon, was there any reason (per system) to hold on during that pull back. That exit was the right thing to do at that time, was it not?
It was the right exit at that time and as per method
DeleteIf a trade runs more after your exit,don't you feel sad?
ST
Thanks ST. I think in my case, it is more like "mad" not sad, so I end up taking weird trades after such events. I am working toward better discipline.
DeleteYou are jumping on to a wrong trade at the beginning I think.You will not be able to catch all the moves and it is not necessary. The main issues is that you are not paying attention to the market bias.
DeleteFor example in the morning there was a BOF of PDC. This was against the bias. You enter at 8351 or on break of IRH and get tensed. You miss the BOF at IRH and cover your trade at a loss. You made a loss and missed a good opportunity
Then price fall to a lower range. You go long on BOF of PDL and it is a great signal. Trade refuses to move beyond FTA and it is time to scratch and look for a short. You hope and stay with your trade and get stopped out missing another good short opportunity. All the time you enter a wrong trade hope and get stopped out missing the good trade.This is repeating as your not with the market bias.
Stay with the bias. Manage CT trades tight. Ride the trend.Best opportunity arises when a CT move matures and reverses trapping a lot of traders
ST
Hi ST,
Deletehehehe lol....What magic is this??? Are you a mind reader? This does happen to me often. I enter late and scratch. I also do weird trades after missing a good move, on such days I end up taking CT trades too soon, then finally miss the CT that does move.
Excellent BOF trade in first session ST. I need to work on maintaining different views between intraday and swing positions.
ReplyDeleteWas biased long in first half before PDL was broken and biased short in second half after PDL was violated.
http://niftytradediary.wordpress.com/2014/12/13/12-dec-2014/
Many times opening price action can be continuation of previous day action
DeletePrevious day price dropped from 80 to 30.. Nearly 50 points without a pullback
So expect a consolidation or pull back .Trend may resume after that.
Dont be in a hurry to long
ST
New day, new lesson .. Thank you sir!
DeleteIntra-day teaches so many lessons at such a fast pace ...
beauty is each of those lessons apply in swing trading and positional trades too.
Indeed new lesson thanks..
DeleteHi ST,
ReplyDelete1. Have you looked trading other markets besides the Nifty?
2. Would you recommend modifying the DP method for futures markets that trade 24 hours such as Crude Oil? Was interested to learn if you would do anything different. Thanks.
1.No
Delete2.Every contract has its own personality. you may need to make adjustments.
My focus is only on NF and no idea about other contracts
ST
sir can you provide your method in AFL form.
ReplyDeleteThis is purely a discretionary method and an AFL cannot be made
DeleteST
Sir, I'm a new visitor to your blog. I don't have any knowledge about your abbreviations used in your blog. Where can I get information about these abbreviation and it's significance.
ReplyDeletePlease go through all the important posts given below the blog
DeleteST