Identify the underlying trend of the market on a higher time frame.
After identifying the underlying trend, you will have a bias. For example, In a Bullish market, always look for a long trade. Never short a Bullish market. Likewise, in a Bearish market, always look for a short trade.
For opening a trade, use an hourly time frame. Other time frames work too, but if you are an amateur, the hourly time frame will provide less noisy signals.
BUY on the signal(Blue arrow in this case).
Use 8-EMA as trailing stop loss.
Place Stop Loss just below the close of the previous candle. If the Previous candle is too small then, place the SL below the close of the Previous-to-Previous candle.
SELL(Close Longs) if >50% body of the candle closes below the 8-EMA.
You can also use a fixed Risk-Reward ratio if you do not want to use a trailing stop loss.
The same principles can be followed to open SHORTS. Hence, I am not writing them again.
This strategy can be applied to Banknifty or other equities/commodities etc.
You can backtest this strategy and paper trade for some time.
Always remember there is no holy grail in trading. It's a game of probability.
Let me know your views in the comments.
P.S:This is NOT investment advice. This chart is meant for learning purposes only. This is my personal journal. Invest your capital at your own risk.