I'm trying out a new strategy that can help stay in trades in short time frames - 1 day to 10 days. No strategy works without its flaws, it's how you use it to make profits.
A little brief about this strategy -
It works on the end of day time frame and works on strict stop losses - So if you plan to trade this set up you need to ensure that you put in your stops when you place your orders. In this strategy we're always in the trade - Long & Short - at times the strategy may not provide a good setup in which case we do not trade the stock till we get confirmation of a move in either side.
In this system there are no targets & we do not FORECAST / PREDICT - You do not need to think, add things, or make things. Consider paper trading it until you see this for yourself. Entry signals and exit signals are all clearly and precisely defined. You do not need to think or guess or go into hope mode. Just follow the guidelines and your losses will be small. You dont need to struggle to keep your losses small.
Do not use small preset targets as your exit point. Use the exit signals to exit your trade. If the market will only give you a small profit then thats what this strategy will give you as well.
Do not predict what prices are going to do. I do not care. You should not care. It is nothing more than bias and useless guessing.
We will track & trade just one of stocks to see how this strategy performs.
My first pick on this would be Uniphos and I'll keep an eye open for any other stocks where I feel there could be a good opportunity.
UNIPHOS - Lot size - 2000 - Margin 49000
My strategy gave its first BUY on Uniphos on 10th October - Closing Price 133.8 - Another buy On 3rd November - Closing Price 146.3
CMP - 147.55
Interestingly this stock also has a WW on the charts with a target of 162 - 168. (IGNORE THIS LINE)
Keep a HARD STOP LOSS @ 144.65 CLOSING BASIS and go long
