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Market Crash:- Is it an opportunity? Hi Everyone! In this analysis we'll look at some chart after we met Crash. Whenever market crash it's an opportunity for us to buy a good share at discounted price. Just Switch to the higher time frame ( Monthly, Weekly ) and find out the major Support/Resistant. It'll try to test major Support/Resistant, Trendline , Channel. ASHOKLEY :- The chart is self explanatory. HDFCAMC :- Find support at IPO's high in 2020 Corona crash. SBIN :- Major support @150 AXISBANK :- Create support at previous resistance. JSWSTEEL :- Create support at previous major resistance. VEDL :- No need to explain. Q- Can we enter as soon as price touch the Support/Trendline/Channel? Ans- No, Wait for Price Action or W pattern in Short time frame { D } Disclaimer:- This is Not investment advice. It's just for learning purpose. Invest your capital at your own risk. Please like, share & follow if you find this article helpful for you in any manner.
NSE:TATAMOTORSEducation
by TheGopal
4
How to publish a script/indicator on TradingView?Hey everyone!👋 We have prepared this visual guide to help you out in publishing your very first script/indicator on TradingView. Just type in your code, provide a decent heading, write a meaningful description explaining how your script is original, and just publish. Easy, right? Let’s delve into this process! A step-by-step guide on how to publish a script on TradingView. 1. When you open TradingView, you will find an option called "Chart". As soon as you click it, it will redirect you to a blank chart template. 2. The blank chart will look something similar to the chart below. At the bottom of the screen, you will see a toolbar with various options. Click on “Pine Editor”. It will open a blank notepad type of page, on which you are supposed to write the code using the Pine script. 3. When you are done writing your code, click on the “Publish script” option at the top-right of the notepad. It will lead to a form similar to the one that comes at the time of posting ideas/charts. 4. In this form, you need to provide the following things: a) Privacy Settings You have the opportunity to publish both public and private ideas and scripts on TradingView. i) Public - Your publication will be visible to all and included in the community scripts section of TradingView. ii) Private - Your publication will only be visible to you and those with whom you share its link. b) Visibility i) Open - Your source code will be visible to everyone. They can favorite the script, apply it to a chart and see or clone the source code. ii) Protected - Every user can add this script to the chart or favorites, but only the author can see the source code. iii) Invite-Only - Nobody can add it to a chart without explicit permission from the author and only the author can see the source code. Please note that Invite-Only script publishing is available to Premium users only. Additionally, authors can choose to manage who can access their scripts. You can publish any of these types of scripts both publicly and privately. c) Category What is the type of your indicator? Is it based on bands and channels or is it a breadth indicator, or is it an oscillator? There are plenty of categories to choose from. d) Tags - Provide a few relevant tags for your scripts. e) Rules - Check the box which affirms that you abide by the house rules of TradingView. After doing all of the above, you just need to click "Publish Script". Voila! You just published your first idea on TradingView. Note : Ideas/scripts once published, cannot be edited/deleted after 15 minutes of publishing. Hence, if you make some mistakes, be sure to rectify them within 15 minutes. A few important rules that you should keep in mind before posting a script on TradingView. These rules apply to all public scripts on TradingView. Keep in mind that TradingView's general house rules apply to script authors, in addition to these. Script visibility Users of all types of accounts on TradingView can publish scripts publicly or privately. Regardless of the private/public visibility, you choose for your script, you can use any source or access control publication mode allowed by your type of account: open-source, protected, or invite-only. Private scripts Private Scripts are not moderated and are invisible to everyone but you. If you choose to publish privately, you must also accept that those publications must be incognito elsewhere on TradingView. You are not allowed to refer or link to them from any public TradingView content. You can share private publications with friends or customers by sending them the link to your script, which you can get by opening your script's page and copying its URL from your browser. Public scripts Public scripts appear in TradingView's Public Library, where they become visible to the millions of TradingView users and any Internet user who has access to its link. Because they are public, these scripts must meet the requirements mentioned under the following image. Language The Public Library is common to all language versions of TradingView. In order for all members to benefit from all published scripts, English must be predominant. Titles must be English-only. Other languages are welcome in descriptions, but English must appear first. Originality and usefulness Your script's description is your opportunity to explain to the community how it is original and can be useful. If your description does not allow TradingView moderators to understand how your script is original and potentially useful, it will be moderated. Rehashing of old ideas, slight color changes, different combinations of MAs, or a slightly modified version of a popular indicator like WaveTrend are not considered useful. Description Write a detailed and meaningful description that allows traders to understand how your script is original, what it does, how it does it, and how to use it. Give traders an idea of the concepts underlying your calculations. Mentioning only that your script follows trends or is intended for scalping does not help traders much; it will be more useful to traders if you also give them an idea of which of the hundreds of trend-detection or scalping methods you use. Check out the complete list of script publishing rules here: in.tradingview.com Tips for script authors: www.tradingview.com Pine user manual: www.tradingview.com Feel free to go and explore the Pine script. And if you ever need any help, we are always here to help you. - Much love, Team TradingView 💘
Editors' picks
NSE:NIFTYEducation
by TradingView
4
HOW TO AVOID FAKEOUTS AND PROTECT YOUR CAPITALTaking A Right Breakout Trade Can Be Really Benifical, But What If It Is A Fake Breakout , Than It Will Be A Real Pain .... There Is No Way One Can Completely Avoid All The False Breakout , But It Is Possible To Avoid Most Of Them With Certain Strategies ,Which We Are Going To Talk About In This Post . . So, Lets See How To Not Trade A Breakout And Avoid Fake Breakouts... . . . Types Of Breakout :- Trendline Breakouts Pattern Breakouts (Parallel Channel ,Triangle.....) All Time High Breakouts Support And Resistance Breakout These Are The Basic Types Of Breakouts That Are Majorily Traded Around The World .So We Will Countine Our Discussion Taking Above Types Into Consideration . Breakout :- When The Price Of A Particular Stocks Closes Above A Price Zone (Support & Resistance ) Which Is Previously Tested By The Stocks Many Times . Fake-Breakout :-When The Price Of A Particular Stocks Fails To Sustain Its Position Above The Support Or Resistance Level And A End Up With A Reversal .A False Breakout Happens When There Are Not Enough Buyers To Continue The Trend In Breakout Direction. **************************** Look For These Things To Make Your Breakout Successful Candlestick Pattern Volume RSI Indices Support And Resistance . . . Candle Stick Assuming that you already know about the bacis of candle , look if there is bullish or bearish candles at the time of breakout . . . Rsi check the levels of rsi , check wheather if it is in the overbought(>80) region or oversold(<20) region . RSI below 40 a good for breakout , and above 70 is unhealthy for a breakout . Also check for the divergence RSI indicating . . . . Volume Look for volume buildup at the time of breakout Indices You Can Also Look For Nifty Or Bank Nifty Index Or Particular Sectoral Index Like If You Are Planning To Take A Breakout Trade In Hdfc Than Look At The Charts Of Banknifty Also , Like If It Bullish Or Not , If It Bearish Than Dont Take Trade With Your Full Capital Instead Trade With 50% And Add Another 50% At The Of Retest Or Look For Pullback At Lower Timeframe , Assuming All Above Factors Candlestick, Rsi, Volume Are Favouring The Breakout . Support And Resistance Instead of drawing a suppport and resistance a single flat line always draw a price zone indicating support and resistance zone covering the shadows of the candle You Can Also Use Ema And Couple It With The Above Factor To Add A Extra Confidence To Your Analysis . . Some Other Key Factors ... 1)Market Will Give You Infinte Oppourtunities So Dont Take Trade Based On Emotions . 2)Dont Enter A Trade If Your Price Is Already Went High . 3)If Price Is Moving Rapidly In One Direction And Then Breakout Happens Than Wait For A Reversal And If The Price Consolidate On Lower Time Frame Berfore The Breakout And Then Gives A Breakout There Are Less Chances That It Will Retest The Breakout Levels So Enter As Soon As You Got The Opppourtunity 4) Last but not least never stop learning and keep grinding HOPE YOU HAVE ENJOYED THE POST , WISH YOU A HAPPY TRADING JOURNEY AHEAD
Editors' picks
NSE:HDFCBANKEducation
by himanxu_yadav
117
How to search for stocks at 200EMA?One of Trading Views' strongest feature is its screener. Probably the best some of us have gotten used to so far. This is a small tutorial /writeup to help you search for stocks probably sitting at support. Remember, for certain stocks their area of value is 20EMA, while for some it’s 50EMA and for others it could also be 100EMA, so on and so forth. Basically, once you understand how this works, you can choose to tweak the values presented here to your liking. Having said this, let's figure out how to search for stocks that are on or have fallen to 200EMA. You can always choose a different value according to your search needs. For this tutorial we will stick to finding stocks at 200EMA. But before we move forward, let's get a basic understanding of what we are trying achieve. In a day/week/month/quarter a stock will always make a high and a low and the price will always fluctuate between this range or it will make a new day’s high or a new day’s low. The example below is a visual representation of a very basic candle or price movement within a range. I am sure you all know this but I am trying to make this as simple as possible for everyone to follow. So, all you need to take away from this is, there is a high, there is a low, and there is a body that represents opening price and closing price. Some candles will not have a body but I do not want to dive into the details of candlesticks. Google is your best friend to know more on candlesticks! What we are trying to do here is to restrict the search query from giving us stocks/scripts that are above 100EMA. Yes, you got it right. We are going to restrict the highs from going above the 100EMA and restrict the lows from going below the 200EMA. Without wasting more time, here is how you do it. Head over to Screeners and select ‘Stock Screener’ You should be on Trading Views default ‘Stock Screener’ page with a default set of filters. This screen displays stocks based on the filter you have selected. The Trading View screener always defaults back to the last used filter. Now, let’s tweak TVs search filter. Click on ‘Filters’. This will open up the Screener settings menu. In the search bar, type ‘High’. ‘High’ represents the highest value the stock reached in a single day. You should see 2 drop down options. For the first, choose ‘Below’ and for the second, choose ‘Exponential Moving Average (100)’ Go back to the search box and type ‘Low’. ‘Low' represents the lowest value the stock reached in a single day. You should again see 2 drop down options. For the first, choose, ‘Above’ and for the second, choose ‘Exponential Moving Average (200)’ Now, this part is important to get consistent search results. What happens with only the above search query is that you get a very convoluted or mixed search result where the EMAs get intertwined. Adding this section helps prevent the EMAs and overall search result from being all over the place. Head back to the search box and type ‘Exponential’. What you need to edit is 100EMA. From the first drop-down choose ‘Above’ and for the second choose ‘Low’ or you could also choose ‘Exponential Moving Average 200’. This setting remains mostly constant even if you edit the above search parameters. Close your ‘Filters’ settings menu and click the drop-down menu beside 'Filters' to ‘Save’ your newly created filter. Select ‘Save Screens As…’, give your new search filter a name and you should be done. Viola! Your new search filter is ready to be used. However, if your search result is huge (it should be), you can tweak it a little further to reduce the total number stocks returned by the filter. Here is what you need to do. Head back to the filter menu and type 'Last'. ‘Last’ represents the closing price of the stock. From the first drop down option choose 'Between' and enter your desired range in the 2 boxes. Here you are defining the price range of stocks that are within the value of 100 and 800. So, TV will only display stocks that fall in between this range. In addition to all this, you can limit your search to only one Exchange. Which is either the 'BSE' or the 'NSE' exchange instead of both. To do this, type 'Exchange' in the filter search menu and choose either one. Psst: Don't forget to save your filter each time you edit else TV will not save your edits! Hope you found this helpful and I sincerely hope you find a ton of good stocks to invest in! Happy Trading!
Editors' picks
NSE:RGLEducation
by sandeepbalachandran
33
What does the Volatility Index (VIX) indicate you?The volatility index (VIX) is a measure of market volatility, which is why it is called the volatility index. Since a high level of VIX represents a high level of fear in the market and a low level of VIX indicates a high level of confidence in the markets, it is referred to as the Fear Index in common parlance. The VIX is typically used to measure the near term, and as a result, the VIX is calculated using options expiring in the current month and the following month. The VIX index is based on the assumption that the option premium on key Nifty strikes reflects the implied volatility in the broader market environment. 1. To traders in the equity markets, the VIX is a very valid and realistic indicator of market volatility. The stock traders who engage in intraday trading as well as short-term traders benefit from this information because it allows them to determine whether market volatility is increasing or decreasing. They will be able to adjust their strategy as a result. For example, when the volatility is expected to spike sharply, intraday traders run the risk of their stop losses being triggered quickly, which can be disastrous. As a result, they can either reduce their leverage or increase the size of their stop losses as necessary. 2. The VIX is also a very good indicator for long-term investors, as previously stated. Generally speaking, long-term investors aren't overly concerned with short-term fluctuations in the market. Institutional investors and proprietary desks, on the other hand, are restricted in their ability to take risks and incur MTM losses. When the VIX indicates that volatility is increasing, they can increase their hedges in the form of puts, allowing them to participate in both directions of the market. 3. The VIX index is also a useful indicator for traders who trade options. Typically, the decision to buy or sell an option is based on the volatility of the underlying asset. In situations where volatility is expected to increase, options are likely to become more valuable, and buyers are likely to benefit more from their purchases. When the VIX falls, there will be more wasting of time value, and option sellers are more likely to benefit from the decrease in the VIX. 4. It is also beneficial in the trading of volatility. If you believe that the markets will become more volatile in the near future, one strategy is to purchase straddles or strangles. However, when volatility is expected to increase, these become prohibitively expensive. A better strategy would be to purchase futures contracts on the VIX index itself, which would allow you to benefit from volatility while not having to worry about the direction of the market's movement. 5. The VIX index is a very good and reliable indicator of the movement of the stock market. If you plot the VIX against the movement of the Nifty for the last nine years, since the inception of the VIX, you will notice a clear negative correlation in the charts themselves. As a rule of thumb, markets tend to peak out when the VIX is at its lowest point, and markets tend to bottom out when the VIX is at its highest point. For index traders, this is a useful piece of information. Now what exactly does the VIX value signify? Assume the India VIX is 20. This means that traders anticipate 20% volatility over the next 30 days. In other words, traders anticipate that the Nifty will be worth between +20% and -20% more than it is now in the next year over the next 30 days. When market participants are fearful or complacent about the future of the market, the VIX index can be used to determine their level of confidence. The VIX index gives a more precise picture of the market's choppiness.
NSE:INDIAVIXEducation
by Kapil-Mittal
1
How to trade like a PRO on the basis of Technical Analysis. In this analysis we'll look how the Professional Trader explore the chart before executing their Trade. Demand Zone - Fib Retracement - Candlesticks - Divergence - Divergence warns that the current trend is getting weakening and it might possible that the trend get changed in up coming session. Volume Profile - POC - Point Of Control It's the Big guys who moves and manipulate the market, The Retail Traders can't. This is Not investment advice. It's just for learning purpose. Invest your capital at your own risk. Please like, share & follow.
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NSE:METROPOLISEducation
by TheGopal
32
Introduction To Option Trading Strategies Options trading enables us to purchase or sell stocks, ETFs, and other securities at a set price and on a certain date. This method of trading also allows purchasers the option of not purchasing the securities at the stated price or on the given date. Options are a little more complicated than stock trading, but they may help one to generate more gains. When you acquire an option, you get the opportunity but not the obligation to exchange the underlying asset. A call option offers you the right to purchase an underlying securities at a specific price within a specified time frame. A put option, rather than giving you the choice to acquire an underlying asset, provides you the option to market it at a certain price. When you buy a call, you're purchasing a contract to acquire a specific stock or asset by a specific date, similarly when you acquire a put, you're purchasing a contract that offers you the opportunity to sell securities at a specific price by a specific expiration date. Option Trading Strategies are broadly classified in three major categories a) Bullish b) Bearish c) Neutral d) Others The Bullish Strategies including Buy Call, Sell Put, Bull Call Put and Bull Put Spread will be explained in this blog and Bearish including Buy Put, Sell Call , Bear Call Spread , Bear Put Spread and Put Ratio Back Spread and other two categories in the other blog of the series. Bullish Option Trading Strategies Buy Call A simple trading option strategy in which you receive the option premium in return for the right to acquire shares at a particular price on or before a specific date when you buy a call. When an investor is optimistic on a stock or any other investment, they frequently purchase calls since it gives them leverage. Purchasing calls and then trading them for a return might be a great strategy to boost the performance of your portfolio. Sell Put Another simple trading option strategy in which you promise to purchase an asset at an agreed amount. As the price of the underlying asset drops, Put options gains value, the volatility of the underlying securities price rises, and interest rates fall. Movements in the value of the underlying security, the option strike price, time decay, interest rates, and volatility all affect the price of put options. Bull Call Spread Generally Spreads are multi-leg techniques in which two or more options are traded. The strategy is to employ two call options to generate a strike price range with a lower and upper strike price. One lengthy call with a price lower and one shorter call with a greater price make up a bull call spread. When a trader bets on a stock's price increasing only little, he or she uses this options strategy. In addition the bullish call spread might help to prevent stock losses while also limiting gains. Bull Put Spread As the name suggests the bull put spread is created by using 'Put options' rather than 'Call options' to create a spread. This makes it similar to the Bull Call Spread somewhat similar to Bull Call Spread. An investor conducts a bull put spread by acquiring a put option on a securities and purchasing additional put options for about the same date but at a bigger strike price. The disparity between both the strike prices and the net credit obtained is the maximum loss, similarly the difference between the premium costs of the two put options is the maximum profit.
NSE:NIFTYEducation
by info5circles28
Double Top - Full ExplanationA Double Top is considered a bearish signal, indicating a possible reversal of the current uptrend to a new downtrend. Sometimes called an "M" formation because of the pattern it creates on the chart, the Double Top is one of the most frequently seen and common of the patterns. The Double Top is a reversal pattern of an upward trend in a financial instrument's price. The Double Top marks an uptrend in the process of becoming a downtrend. A Double Top consists of two well-defined, sharp peaks at approximately the same price level. The two tops are distinct and sharp. The pattern is complete when prices decline below the lowest low in the formation. The lowest low is called the "confirmation point". The slowing momentum may be evidenced through a lagging peak on an oscillator like RSI. Though not required, the market may break above the first peak, even if briefly. A slight and temporary break above the first peak is preferred as it may excite the bulls only to reverse and trend lower. The neckline is formed between the price low of the valley between the two peaks. A break below this neckline will confirm the double top pattern. The bearish confirmation is specified by a break in the key price support level (neckline) situated at the low point between the ‘tops’. Important Characteristics Following are important characteristics for a Double Top. Uptrend Preceding Double Top The Double Top is a reversal formation. It begins with prices in an uptrend. The trend upwards should be fairly long and healthy. Time between Tops Generally, the longer the time between the two tops, the more important the pattern is as a good reversal signal. Decline from First Top The deeper the trough between the two tops, the better the performance of the pattern. Volume Volume tends to be heaviest during the first peak and lighter on the second. It is common to see volume pick up again at the time of breakout. Pullback after Breakout A pullback after the breakout is usual for a Double Top. The higher the volume on the breakout, the higher the likelihood is for a pullback. Two Peaks at Different Levels Sometimes the two peaks comprising a Double Top are not at exactly the same price level. This does not necessarily render the pattern invalid. Some analysts point out that investors should be less concerned if the second peak does not hit the high of the first peak. Trading with Double Top: There are certain rules when trading with Double Top chart patterns. Firstly one should see the market phase whether it is up or down. As the double top is formed at the end of an uptrend, the prior trend should be an uptrend. Traders should spot if two rounding tops are forming and also note the size of the tops. Traders should only enter the short position when the price break out from the support level or the neckline. Example: From the below example of the 15 Min chart of NIFTY we can see how bearish reversal takes places after the formation of the double Stop Loss & Target : In the case of a Double Top chart pattern, the stop loss should be placed at the second top of the pattern and can be trailed at the pullback high as price moves lower but this will be a bit aggressive. The price target should be equal to the distance between the neckline and the tops. Hope you all learnt from this post. Share with the community if you liked it. Regards Omahto
Editors' picks
NSE:NIFTYEducation
by Omahto
17
The Types of Market Days - Handbook for a laymanHi all, today we are going to see one of the most important concepts for day trading. This is an updated version with better illustrations and more exhibits. I have taken all the content from the book “Secrets of a Pivot Boss” and added illustrations and charts so that you don’t have to read the complete book. I am merely a presenter of the concepts written by Franklin Ochoa. The charts and illustrations are all done by me. So, without further ado, let’s delve right into the topic. There are six types of market days that we will cover. Remember, these days are crucial for a day trader. These types of days are repeatedly seen in the market, but no two days are ever identical. As such, these categories should be used more as guidelines, rather than seeing them as etched in stone. Again, your ability to recognize the pattern of the day accurately will be a huge step toward successfully engaging the market 1. Trend Day Illustration: Trend Day is the most aggressive type of market day. On a bullish Trend Day, the open usually mark the day's low, while the close usually mark the day's high, with a few ticks of tolerance in either direction. On a bearish Trend Day, the open will usually mark the day's high, while the market will usually close near the session's low. The market will typically start fast on this type of day and the farther price moves away from value, the more participants will enter the market, creating sustained price movement on increased volume. Initiative buying or selling is the culprit on this type of market day, as these participants are confident they can move price to a new area of established value. Price conviction is strongest during a Trend Day. The market will start strong right out of the gate and will usually maintain a unidirectional stance throughout the day, never calling into question the day's direction or conviction. This type of day has the highest price range (high price minus low price), meaning it can be quite costly if you are positioned against the market or if you fail to recognize the pattern early enough to enter alongside the market. These types of days only occur a few times a month, but catching these moves can certainly make your month, in terms of profits. Trend Day is usually preceded by a quiet day of market activity, which is usually a day with a small range of movement. Coincidentally, this type of market behavior will usually follow a Trend Day as well. Exhibit 1: Exhibit 2: 2. Double-Distribution Trend Day Illustration: While this day is a trending day, it in no way has the confidence or conviction of a Trend Day. Instead, this type of day is characterized by its indecisive nature at the outset of the session. During this type of day, the market will usually open the session in a quiet manner, trading within a fairly tight range for the first hour or two of the session, thereby creating an initial balance that is narrow. The initial balance is traditionally defined as the price range of the first hour of the day. If the initial balance is too narrow, the price will break free from the range and auction toward new value, creating range extension, which is any movement outside the initial balance. After the initial balance of the Double-Distribution Trend Day has been defined, the price will break out from the range and auction toward new value, where it will form a second distribution of price. This is the market's attempt at confirming whether a new value has indeed been established. Double-Distribution Trend Day opens the session quietly, trading within a tight range that can be viewed as the day's "warm-up" period. Eventually, price breaks free of the range and begins trending toward new value, igniting initiative buying or selling. Once the market finds new value, it then builds out another range before ending the day. The ranges formed at both the beginning and end of the day is where the term "double-distribution" comes from, as the bulk of the day's volume resides at one of these extremes, essentially forming a double distribution of trading activity. The initial balance is the base for any day's trading and is extremely important to the Double-Distribution Trend Day. A narrow initial balance is easily broken, while a wide initial balance is harder to break. The fact that the initial balance is narrow on this type of day indicates that there is a good possibility of a breakout from the initial range, indicating that you will likely see a move toward a new value. The narrow initial balance at the beginning of the Double-Distribution Trend Day indicates that either buyers or sellers will eventually overwhelm one side or the other. Once the direction is decided, the price will freely move toward a new area of value since it is being driven by initiative market participants. Exhibit 1: Exhibit 2: 3. Typical Day Illustration: The Typical Day is characterized by a wide initial balance that is established at the outset of the day. On this type of day, price rallies or drops sharply to begin the session and moves far enough away from value to entice responsive participants to enter the market. The responsive players push prices back in the opposite direction, essentially establishing the day's trading extremes. The market then trades quietly within the day's extremes for the remainder of the session. The opening rally or sell-off is usually sparked by reactions to economic news that hits the market early in the day. This opening push creates a wide initial balance, which means the day's "base" is wide and will likely go unbroken. A wide base during the first hour of the market will likely mean that the day's extremes will also remain intact, or unbroken. During this type of day, you will usually see price trade back and forth within the boundaries of the opening range, as fair trade is easily being facilitated. Exhibit 1: Exhibit 2: 4. Expanded Typical Day Illustration: Similar to the Typical Day in that it usually begins the session with early directional conviction. However, price movement at the open is not as strong as that seen during a Typical Day. The initial balance is wider than that of a Double-Distribution Trend Day but not as wide as that of the Typical Day. Hence, it is susceptible to a violation later in the session. Eventually, one of the day's extremes is violated and price movement is seen in the direction of the break, which is usually caused by initiative buying or selling behavior. During an Expanded Typical Day, both the upper and lower boundaries of the initial balance are susceptible to violations. On any given day, you will see one, or both, of the boundaries, violated, as buyers and sellers attempt to push the price toward their own perceived levels of value. Exhibit 1: Exhibit 2: 5. Trading Range Day Illustration: Both the buyers and sellers are actively auctioning prices back and forth within the day's range, which is usually established by the day's initial balance. On this day, the initial balance is about as wide as that of a Typical Day, but instead of quietly trading within these two extremes throughout the day, buyers and sellers are actively pushing prices back and forth. This type of day is basically like a game of tennis. The players stand on opposite sides of the court and take turns volleying the ball to one another throughout the match. Likewise, buyers and sellers will stand at the extremes of the day and will enter the market in a responsive manner when the price reaches the outer limits of the day's range. Responsive sellers will enter shorts at the top of the range, which essentially pushes price back toward the day's lows, while responsive buyers will enter longs at the bottom of the range, which pushes price back toward the day's highs. This type of market day offers easy facilitation of trade and gives traders amazing opportunities to time their entries. Exhibit 1: Exhibit 2: 6. Sideways Day Illustration: On this type of day, price is stagnant, as both buyers and sellers refrain from trading. This type of session usually occurs ahead of the release of a major economic report or news event, or in advance of a trading holiday. There is no trade facilitation and no directional conviction. The initial balance is rather narrow, which at first indicates the potential for a Double-Distribution Trend Day. However, the initiative buying or selling required for a Double-Distribution Trend Day never enters the fray, which leaves the market terribly quiet the rest of the session. The Trading Range Day and the Sideways Day sound similar, but the difference lies within the participation levels of both buyers and sellers. Exhibit 1: Exhibit 2: So, with this, we are done with all types of trading days. Remember, each of these types of days is not set in stone. While every market day is similar to a day from the past, similar does not mean "exactly." You must be able to snuff out the subtleties of each new day as it relates to a day from the past. Steadfast practice creates a valuable experience. Disclaimer : This is NOT investment advice. This post is meant for learning purposes only. Invest your capital at your own risk. Happy learning. Cheers! Rajat Kumar Singh (@johntradingwick) Community Manager (India), TradingView What type of trader are you? A day trader, or a swing trader? Let me know in the comments. Also, if you need a PDF of this post with all the charts and illustrations, check out the links in the signature section (under the post).
Editors' picks
NSE:NIFTYEducation
by johntradingwick
25
BREAKOUT vs FAKEOUTTrading breakouts is a most profitable trading strategy that involves buying or selling an asset after a long period of consolidation. Confirming breakouts before jumping into a trade is the key task to become a successful breakout trader. Now lets see about the important key points to consider to confirm such valid breakouts TYPES There are different types of breakouts including 1)Trend line breakouts (diagonal form of S&R) , 2)Horizontal price breakouts, 3)Pattern breakouts (double top, double bottom & other) 4)All time highs/lows breakouts, 5)Fib level breakouts etc., The support and resistance lines that are drawn at potential breakout points "should be seen as area/zones instead of fixed lines" . BREAKOUT : A breakout is when the price of the stock breaches a support or resistance levels that has previously formed followed by a strong candle close. FAKEOUT : A false break or fakeout, as the name implies, is any move above a resistance or below a support followed by a reversal that fails to close above or below the broken level. WHEN THE FALSE BREAKOUT HAPPENS : A false breakout happens when there are no enough buyers or sellers to continue supporting the stock towards the breakout direction. In the examples above,the upper false breakouts happened because there were no enough buyers to continue pushing the price higher & tends to reverse similarly viceversa for the lower false breakout. VARIOUS SCENARIOS OF FALSE BREAKOUT POINTS TO REMEMBER 1)False breakouts can be avoided by waiting for strong candle closure above or below the levels to confirm the breakout strength. 2)Avoid the breakouts with non-stop parabolic movement (without pullback or retest). 3)Instead of using a single line as support or resistance, it is better to have an area/zone that covers all shadows in previous touches. 4)To take entry, always wait for the zone to breach by the candle closing confirmation combined with price action. Hope it was helpful to you, Happy Learning & Profit making :) Thanks & Regards Divyaapugal
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NSE:NIFTYEducation
by Divyaapugal
29
Railway Track Pattern Railway track pattern Don't know how many are known to this pattern but in my trading years i have noticed that Morning star/Evening star and railway track patterns are the most seen candle stick patterns at reversals i personally trade this pattern in all the markets. Some even call this as order block. It doesn't matter what you name this pattern ... it works phenomenally 1. What's so special about this pattern : This is a confluence pattern, If you get to see bullish RT in 1hr TF if could be morning star pattern in lower TF and could be a bullish pin bar in higher TF, which means you are literally covering 3 time frames in just one pattern 2. Where to identify and consider the pattern: Majorly at support for bullish RT(Railway Track) and resistance for bearish RT could be any sort of Support Resistance and/or Pivots, look for the volumes for better confirmation. 3. Entry and Exit with SL : One can take entry with two different ways. Aggressive and Safe entry. If you notice the chart above there is a line drawn on the RT candle mid which will act as your entry for safe entry and SL will be the low of the candle in bullish RT and high of the candle in bearish RT Exit will be according to your trading style and timeframe used or take confluence from other indicators/price action These RT candle mid will be working as Support and Resistance in future. You can see the above chart for reference. Cons of the pattern : The pattern works well in all the time frames yet it has its pros and cons just like any other pattern yet they seem to be more informative. once you see Bullish/Bearish RT being failed there is 70% possibility That you will get to see a move on the other side. Concept is very similar to Block order / fulfilling left over orders. Lower timeframe signals are not that reliable in some markets but can be considered if used with confluence If the concept looks vague look at the chart above, This is just an idea, workout on the pattern and its probabilities before going live. Note : Just for educational purpose and not a recommendation.
NSE:BANKNIFTYEducation
by TeamTaurus
4
How to better time your entry and exit in Swing Trading?This charts shows the possible areas where one can look for trading opportunities (through Price Action Strategy) and be profitable from it. Swing Trading is better for beginners in Stock Market and Price Action is one of the ways to approach Stock Market. Through Price Action, one can identify the current market structure (uptrend/downtrend/sideways) and so better trading decisions can be made, which will pave way to better time entry and exit. Drawing trendlines, patterns, support and resistance and reading candlestick patterns are some of the ways in Price Action Trading. A good price volatility of a stock is essential especially from the traders perspective, as traders tend to make profit from the market using its volatility. Another important thing in taking up a trade is choosing the right Time Frame because in terms of volatility many of the stocks would fit into 1 Day time frame, some stocks would fit into 1 hour time frame, 4 hour time frame or 30 mins time frame etc. With all this in consideration, one can be expected to make entry in breakouts and shorting in breakdown. One should manually go through as much charts as possible and add to their watchlist that fits into their strategy. This roadmap is one of many ways to approach trading in Stock Market. This is just for Educational purpose. Thank You
NSE:HDFCAMCEducation
by Sivabharathi03
Indicator for Intraday Trading - with BUY/SELL Signals Hi, Here the trading made easy with Signals... Its a Combined Pivot Boss Price Action Strategy Indicator. This indicator was created based on Pivot Boss, RSI and Price Action Strategy. BUY Signal - Go Long at middle price of the Candle, SL low of the candle. SELL Signal - Go Short at middle price of the Candle, SL high of the candle. Indicator Details: Daily CPR Levels Pivot Points Weekly CPR Levels Next Day CPR Levels Camarilla Levels Pre - Day, Week, Month - High / Low Levels Money Zone - Value Area Levels SMA , EMA and WMA Moving Averages Bollinger Bands with Multi Time Frame Magic Band Price Action Candle Pattern Along with this Trend and Strategy table added in the chart which indicates about the Trend. I also included BUY / SELL labels to take positions. Happy Trading!!
NSE:BANKNIFTYEducation
by vijiviven
3
How to use "Bollinger Bands" indicatorHey everyone! We have guide to help learn "Bollinger Bands" indicator. This indicator work all type of trade example intraday,swing trade ,BTST trade,weekly trade,Long side trade. What is a Bollinger Bands? A Bollinger is techanical analysis tool and you apply this tool price chart three lines that compose .one simple moving average (middle band) and other upper and lower bands typically 2 standard deviations +/- from a 20 day simple moving average what do Bollinger bands Tell You? This total highly popular and many people believe this indicator Price move to the upper band ,the more case 70 to 80 percent overbought and closer price move the lower band this case oversold the market Upper Bands Bollinger Band ssee chart nifty 50 daily time frame 19 oct 2021 price face resistance and go down side and big fall Lower Range Bollinger bands see chart nifty 50 daily time frame 29 jan 2021 price go down side lower band and support move upward.(lower band work support zone) Narrow Range Example bollinger Bands See chart Nifty 50 daily time 28 july 2021 Bollinger band Narrow range this case go upside the breakout upside and price go down side to breakdown chart
NSE:NIFTYEducation
by HARISHRAO99
1