There is a substantial risk of loss associated with trading Derivatives . Losses can and will occur. My methods will not ensure profits

Tuesday, November 11, 2014

11112014


Nifty opened within previous day range. Went short when price got rejected from BRN for the second time. Stopped out.Short on BPB of IRL. Price did not reach RN as expected. Covered at 8367. A long PP trade above IRL also failed.Price went to the target BRN only after stop out . Price action was very choppy.Price trading within 8350-8400 range during the month. An explosive move likely soon

44 comments:

  1. Hi ST
    How could you avoid first BOF at BRN??

    Thanks
    TBP

    ReplyDelete
    Replies
    1. There was no space with PDC and IRL below it
      I ignored it as BOF happened for the second time
      For the third time also these levels gave strong support

      ST

      Delete
  2. Hi Sir,
    My trades
    please comment sir,
    http://screencast.com/t/Qn3EktRHmk

    Thanks

    ReplyDelete
    Replies
    1. Trade 1 was too early. Even before the break of early flip
      Further trading into a level which rejected thrice. with very less space.
      Second entry was at the middle of a range IRL-MSP. as far as possible avoid it
      Third one was good

      ST

      Delete
    2. Hi ST,
      The third trade in that chart is above 2:53 bar. I would have though entry would be at the higher pivot high at 2:36? Please correct my thought process.

      Delete
  3. I have been trading the DP-like method for positional trading (with large quantity) successfully for a long time. I thank you for introducing good system and wish all DP community and your readers good luck in becoming profitable traders.

    ReplyDelete
    Replies
    1. Hi Reso,
      Nice to know someone is using DP system successfully on bigger TFs. If you feel, can u please explain your time frames and major decision points (Like for intra we use PDH, PDL, IRL, BRN etc.). It will be very helpful to part time traders like me.
      Regards,

      Delete
    2. The core concept of my trading is same as that of DP system but the details are very much different. For example, my trading is not discretionary (and so i take all the signals as per my rule). I am always in the market and reverse positions based on the rules (similar to DP). Overall, my trades are as small as 8 or as maximum as 20 per month. Even after having slippage of 3-4 points, my system has been greatly successful. Though I trade full time, but my screen time is very less (most of the time, putting only one trade in the morning) and then just wait for the alert if that trade got executed. You should be able to see more of the details on my blog - resotrading.blogspot.com

      ST has developed great system. Try to understand core DP system and customize it based on your personality and goal.

      Delete
    3. Your blog is open to invited readers only. You have to make it public for others to see

      ST

      Delete
    4. Hi ST, As of now, I am not comfortable with making my blog public but if any of your reader is interested, please email me at resotrading@gmail.com. I would send an invitation email from my blog. Thanks

      Delete
    5. Hi Reso,
      Can you please provide access for your blog.
      my mail id: senthil.money@gmail.com.

      Thanks

      Delete
  4. Sir,

    I did not take IRL BPB short, as RN Spot was too close to the point of entry. What was your thought process, when you took this trade?

    Thanks,
    S.Karthikeyan

    ReplyDelete
    Replies
    1. I expected it to go to 8370 from where the last up move started
      It was also a fluid. This area was the demand zone which I could identify only on hind sight
      Real range for the day was 8370-8400. The upper and lower overshoots got rejected
      http://screencast.com/t/PLlORQCB

      ST

      Delete
    2. Sir,

      Thanks for the guidance.

      S.Karthikeyan

      Delete
  5. Hi ST,

    Can we consider 12.40 bar as PP breakout, is it valid trade..?
    http://www.screencast.com/t/gPnRGdyBsgs3

    Thanks & Regards
    Naveen

    ReplyDelete
    Replies
    1. Yes. It was a good PP trade.
      It was into a fluid also. It went exactly where it was supposed to go
      I missed it

      ST

      Delete
    2. ST,

      Can we sell @ Your 2nd trade TP, considering BOF of IRL, PDC & strong flip.

      Delete
  6. Dear ST,

    1. Should we calculate the previous day, Last Trading Price (LTP) as PDC or after closing the adjusted price as PDC.
    2. One can take a short trade at around 1:12pm - 1:15 pm, as it is a BOF of PDC. According to you is it a valid trade?
    3. Again at round 2:03 - 2:06 same BOF of PDC. At that time what was your thinking process?
    4. About your last trade: Why you did not put SL just below 8370 (last swing low). Yesterday a deep SL saved your trade. Is not it?

    ReplyDelete
    Replies
    1. 1.We are trading the charts. take what you see on the chart. Close of last candle of the day
      2.It is a valid signal. But price has already broken MSP and in up trend. Trade is a CT one
      There is very little space to MSP flip. Price did bounce back from this area 8370. So avoid
      3.Same issues. You can wait for a swing low to form and short below this
      4.It was a BO and if price falls below the BO point, trade is invalid. Yesterday it was the BOF of LOD and price never fell below the level

      ST

      Delete
  7. Hi ST,

    Thanks for the chart. I have been paper trading since Oct now. Think its time for some real work.. thankfully Nifty lot has reduced.. so good for new traders.
    Can you tell me what kind of orders do you use to enter the trade? Limit, Market, SL or SL M? Being able to entry and exit fast is also needed. Or if there is any post where you have written about this?
    Thanks and regards
    BS Chandran

    ReplyDelete
  8. Hi ST,
    Thanks for the chart
    My trades
    http://tradingdecisionpoints.blogspot.com/2014/11/blog-post_11.html

    Why DO is not marked in your chart .
    DO was an important DP for me in decision making .
    eg:- I didnt take BOF BRN even after the third push failed due to DO .
    Am I expected to give due importance to DO or not important as other DPs

    thanks
    Kishore

    ReplyDelete
    Replies
    1. Most of the time DO gets enveloped and loses relevance.I mark it when it remains an extreme and flip
      DO is an important level.
      First trade you exited very early. Price did not break the flip, Last significant bar or the round number 8390
      Second trade. Wait for a swing low to form and short it for a CT trade unless it happens after an over extended move

      ST

      ST

      Delete
    2. Hi ST,
      I am blindly keeping 10 point as SL as it is my limit .
      yes I made a mistake of ignoring round number.
      I got frightened by the pin bar and was not calm enough to think and hold

      thanks
      Kishore

      Delete
    3. And today your last trade turned from DO ..I didnt take that trade because of DO above,,,
      Did you ignore DO today as it was being enveloped ?

      thanks
      Kishore

      Delete
  9. Sir,
    It has been reported that trading volumes will be less due to Bank strike. Would like to know your views. Here is the link for the news. http://profit.ndtv.com/news/industries/article-bank-strike-may-hit-trading-volumes-on-wednesday-691898?pfrom=home-latest

    Thanks,
    S.Karthikeyan

    ReplyDelete
  10. Debt, currency and call money markets will be impacted
    It will not affect equities and derivatives

    ST

    ReplyDelete
    Replies
    1. Sir,

      Thanks for the clarification.

      S.Karthikeyan

      Delete
  11. Sir good evening,sir i am unable to understand when FTC and TST r applied,kindly update thnx

    ReplyDelete
    Replies
    1. TST is traded at an existing DP
      FTC can be at a new location where price stalls after a momentum move
      FTC can a TST or a BOF of this level

      ST

      Delete
  12. why not long trade when nifty first time bounced after breaking IR and crossed PDC around 11.05

    ReplyDelete
    Replies
    1. Price attempted to break BRN thrice and failed.
      Why should one trade into such an area. Space was less than 10 points
      Every signal is not tradeable

      ST

      Delete
  13. Hi ST .. been following and learning decision point trading for few weeks from your blog. Thanks for sharing knowledge.

    My reading of the market today
    http://niftytradediary.wordpress.com/2014/11/11/11-nov-2014/

    ReplyDelete
    Replies
    1. Do not attempt to trade all the signals.
      Go for clear signals at prominent locations preferably with the trend
      Ensure a lot of space. Avoid trading choppiness and congestion. Trade major swings

      ST

      Delete
    2. hyi Bro,
      I have also just started trading Decision Points. You can add me on google hangout, my gmail ID is varun.kakkar1512@gmail.com so that we can discuss trading opportunities in live market.

      I request every trader who wants to be a part of this learning curve can join us so that we can all learn together and discuss things in live market on any chat medium.

      ST sir would request you to please be a moderator of that chat group so that you can give your valuable inputs.

      Delete
  14. Hi ST,
    was there a short below 11:03 bar ?

    ReplyDelete
    Replies
    1. 8370 is a level from the early up move started
      Low probability one. Price has already fallen 30+ points from top
      try to enter as early as possible especially in a CT move. Nifty in rally mode

      ST

      Delete
  15. if last dp and last range cracked up den bias is up and viceversa. wat if last dp cracked down but present range is above another range.

    ReplyDelete
    Replies
    1. This happens during BW pattern.
      Give priority to range extremes.

      ST

      Delete

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