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Intraday_Entry_Exit_Simple_IndicatorHi, This indicator is based on the analysis that I have done on Bank Nifty , Nifty 50 and some of the NIFTY50 Equity Stocks and it helped a lot in providing indications when to take an entry and when to exit a trade Please feel free to provide feedback incase you feel this indicator can be improved or if something is not right Methodology Used:- Analysis is based on Exponential Moving Average Indicator Four different EMA Timeframes are used to create a pattern - EMA 20 , EMA 25 , EMA 45 & EMA 55 Combining these four EMA's we will create a pattern on the chart which will be used to read the data and identify Entry and Exit points for a trade This indicator works best on 5min timeframe. But you can also apply to 15min or 30 mins timeframe to get more confirmation before entering a trade Functionality :- Indicator Set A (EMA 20 & EMA 55) Indicator Set B (EMA 25 & EMA 45) Timeframe Used - 5 Mins How to Use the Indicator :- Looking at the placements of EMA 20 & EMA 55 lines on the chart, first we will identify Market Trend (Positive or Negative) and basis that we will apply our strategy Positive Trend: EMA 20 line will be on the upside while EMA 55 line will be towards the downside All four EMA Lines should be facing the top and shall be moving in the upwards direction Negative Trend: EMA 55 line will be on the upside while EMA 20 line will be downside All four EMA Lines should be facing towards bottom and shall be moving in the downwards direction Identify Entry and Exit Positive Trend Identify the point where Indicator Set A crosses each other . This intersection will be an indication that our Entry point is nearby Wait for Indicator Set B to cross each other . This intersection point will be considered to identify our exact Entry point. Lets say this is Point A Now look at the candle that is formed after Point A, wait for that candle to close and then note down the price point of High made by that candle. This High (Lets assume it to be X) will be our Entry Point but we will not enter at this moment Wait for a candlestick that closes above Level X wherein the LOW made by that candlestick should be above the price point X and the moment candle closes and fulfils this condition we will enter into that trade After entering the trade, we will keep a watch at our EMA Lines to find our Exit point and that will be at a place where these lines will again cross each other Wait for Indicator Set B to cross each other . This intersection will be an indication that our Exit point is nearby Wait for Indicator Set A to cross each other . This intersection point will be considered to identify our exact Exit point. Lets say this is Point B Now look at the candle that is formed after Point B, wait for that candle to close and then note down the price point of Low made by that candle. This Low (Lets assume it to be Y) will be our Exit Point Safe Traders can Exit there positions the moment any of our next candlesticks crosses below Point B while Risky Traders can wait for a candlestick to give closing below this Point B and the moment it happens they can Exit there positions Negative Trend Identify the point where Indicator Set B crosses each other . This intersection will be an indication that our Entry point is nearby Wait for Indicator Set A to cross each other . This intersection point will be considered to identify our exact Entry point. Lets say this is Point A Now look at the candle that is formed after Point A, wait for that candle to close and then note down the price point of Low made by that candle. This Low (Lets assume it to be X) will be our Entry Point but we will not enter at this moment Wait for a candlestick that closes below Level X wherein the High made by that candlestick should be below the price point X and the moment candle closes and fulfils this condition we will enter into that trade After entering the trade, we will keep a watch at our EMA Lines to find our Exit point and that will be at a place where these lines will again cross each other Wait for Indicator Set B to cross each other . This intersection will be an indication that our Exit point is nearby Wait for Indicator Set A to cross each other . This intersection point will be considered to identify our exact Exit point. Lets say this is Point B Now look at the candle that is formed after Point B, wait for that candle to close and then note down the price point of High made by that candle. This High (Lets assume it to be Y) will be our Exit Point Safe Traders can Exit there positions the moment any of our next candlesticks crosses above Point B while Risky Traders can wait for a candlestick to give closing above this Point B and the moment it happens they can Exit there positions I hope this Indicator will provide you with useful inputs and helps you in your Intraday Trades Wishing you all the best Happy Trading..!
NSE:BANKNIFTYShort
by Firewall87
3
BTC Analysis A Glimpse into the Week AheadBitcoin Market Analysis: A Glimpse into the Week Ahead Bitcoin's Ascending Path: EMA Strategy Insights As we step into a new trading week, Bitcoin is making headlines once again, hovering at a significant resistance level. Traders and analysts are keenly observing this price action, given its historical context of selling pressure at this zone. However, this time, the story might unfold differently, thanks to the bullish momentum indicated by the rising 20 and 50 Exponential Moving Averages (EMAs) on the 4-hour timeframe. Understanding EMAs and Their Significance Exponential Moving Averages (EMAs) are a popular tool among traders for their ability to smooth out price data and identify trends more quickly compared to Simple Moving Averages (SMAs). The 20 and 50 EMAs are particularly useful in capturing short to mid-term market trends. When both the 20 EMA and the 50 EMA are rising, it typically signals a strong bullish trend. In our current scenario, Bitcoin's price is not just above these EMAs but is also sustaining itself at a resistance level, hinting at potential strength and resilience in the market. Current Market Dynamics Bitcoin Price: As of now, Bitcoin is testing a key resistance level, one that has previously been a hotspot for selling. However, the persistent bullish sentiment backed by the rising EMAs suggests a possible breakthrough. Support Levels: 20 EMA: Positioned at $66,200, this level acts as the first line of defense for the bulls. 50 EMA: Positioned at $64,680, this level serves as a stronger support and a crucial line in the sand for maintaining the bullish outlook. Strategic Approach: Buy on Dips Given the strength of the rising EMAs, a prudent strategy for the week would be to adopt a "buy on dips" approach. This involves looking for opportunities to enter long positions when the price pulls back to either the 20 EMA or the 50 EMA. These EMAs are expected to act as immediate supports, providing a cushion for the price to bounce back. 20 EMA: Buying at this level can be a good strategy, as it represents the initial support. 50 EMA: This level offers a more robust support and serves as a critical invalidation point. If the price dips below the 50 EMA, it may signal a potential shift in trend, making long positions less viable. The Dynamic Nature of EMAs It's essential to remember that EMAs are dynamic and will adjust as new price data comes in. Therefore, continuous monitoring is crucial. Traders should keep a close watch on the evolving EMA levels and the price action around these zones to make informed decisions. Conclusion: Navigating the Bitcoin Waves As we navigate through the upcoming week, the interplay between Bitcoin's price and the EMAs will be pivotal. While the current bullish setup looks promising, it's vital to stay agile and responsive to market changes. By keeping an eye on the dynamic support levels provided by the 20 and 50 EMAs, traders can position themselves strategically to capitalize on potential upward movements, while also being prepared to adjust their stance if the market narrative shifts. Happy trading, and may your Bitcoin journey be prosperous! 🚀
BITSTAMP:BTCUSDLong
by rakeshreddym
1
banknifty analysis,aviod false breakout and how to follow trendi usually dont post on indices but this analysis will help you for both indices and stock analysis but will be much useful for option buyers as stock buyers they wont lose if stock is side ways guys usual learning rsi below 30 oversold above 70-80 over bought different people take it differently and macd above center line buy below center line sell, or in macd 26ema crosses 9 ema sell , or 9 ema crosses 26 ema buy moving averages when smaller moving average crosses larger moving average buy and when larger moving average crosses smaller moving average sell ,, and some guys use super trend they buy when given buy signal and sell when given sell signal , so everyone know these basics then is it that simple ? answer is no,it is not that simple there would be false signals most of the time and all tecnical indicators most of them are derived from price ,,there are also volume based indicators and etc. that is a different thing , so finally as saying goes "bav bagav hay market may" price is the god of market so all you need is to follow trend by confluence of signals (confluence trading) where multiple signals will give you a confirm trade--this will only happen when there is a trend so in case if you think you have too many indicators just follow trend . so one of the main essential thing is to get confirm trade and to avoid false signals lets get that with the above banknifty chart so you can see arrow1 where moving averages are so close which is nothing but convergence which also indicates sideways market so wait for a direction or breakout ,so why i use both macd and moving averages is you can see macd uses 26 and 9 ema and provides center line ,and moving averages i use are 20,50 100, so at that point you can see price broke above moving averages and there was rally and you can see on macd also there was strong convergence where arrow 2 is pointed and is above center so finally it broke out on higher side and trend is uptrend best way to take a trade is price completely above or below all the moving averages and in macd above center line or below center line ,,,so at arrow one you get a trade. so after a shift move you can see rsi was at 86 at arrow 8 and there was a hanging man candle that day market gap up opened , so it was sideways it did not fell immediately as soon as rsi is in overbought range there is no need that market need to fall when rsi is above 80 as i said it is just derived from price but indicates to stay cautios thats all, so you can see the trend is still up as price is still above mas ,and there came a fall of 368 points in one 15min candle ,which filled the gap of that day ,but later you can see the red circle where price is side ways where 20 ma is converged in price but still above 50 ma and you can see on macd arrow 3 it gave sell signal but the trend was side ways, so it is a false signal but it was above center line which indicates still uptrend but with some consolidation so next day price again gaped up filled gap , still above all ma and macd still above center line, arrow5 indicates convergence and rsi also indicating +ve divergence so till the trend is up do not take any bearish positions as long as above mas follow trend and market rallied. so at arrow seven you can see rsi is at 83 at 20 jul 14:15 candle the next 15 min candle there was a 108 point fall this also one of the false moment , you can see macd is still above center,and macd moving averages are +ve and price still above all mas, the next candle market fell another 80 points and recovered in the same 15 min candle, ""so another point is while taking trade let the candle closing be happening completely"", later market went to 46369.5 and rsi was at 74.77 at that high candle ok now rsi is decreasing from 83 to 74 so beraish divergence but still above mas, and going forward 21 jul 10:00 canlde you can see macd 9 ema crossing 26 ema and rsi is decreasing so wait and watch no trade to take later price was side ways and made some higher highs and higher lows but still not below mas at arrow 6 you can see finally macd is below center line but still 100 dma is respected but 20 and 50 are broken so not a trending market as price is not above all ma, at arrow 4 20 ema and 50 ema converged and rsi already in bearish and macd below centerline and macd emas also -ve so no bullish trades only bearish, so going forward price broke 100 ema and rsi going down and macd also , but you can see as the candle 25jul 11:30 it closed below 100 ema but next two had doji and it reversed a bit this is a difficult place to predict , but still macd below center line and rsi beraish and ma -ve crossover but a new point when you see there red consective maribozu candles it is 3 black crows , and three 3 green are three white soliders but in trending like this when you find three continous red candle mostly the next one will be green and vice versa in these type of situations so be careful , exact three black crows and 3 white soliders i will come up with a different post but in this set up they are false candels and you can see 3 green and there was a fall and again came 3 red then again at arrow 9, 2dojis and again 3 green candle at arrow 9 you see macd 9 ema is crossing 26 ema and rsi is showing positive to oversold signs,and ma are tavelling side ways, which is convergence ,so now market already sloped down as ball falls from high into smaller steps market made hh and hl (higher highs and higher lows) and stabilizing , so moving averages are converging and are so close , and there formed inverse head and shoulder with perfect head and shoulders as you can see two dojis in between and 3 red candels and 3 green green candels in head part at arrow 11 macd crossed center momentum is picking up, rsi is showing +ve divergence at arrow 10, at arrow 11 price is moving above mas with confirmed inverse head and shoulder, so you get another trade so finally expiry day came that too montly expiry and price hit the previous high , which is a resistance, so at the same peak there came 3 consecutive red candles so is this a real three black crows yes it is, you can see the fourth cadle is not green , and that is the candle that broke all 3 ema and closed below 100 ema, where arrow 12 is pointing 27 jul 11:15 candle ,also macd is above center but bearish crossover, rsi also bearish and price closed below all mas which is main thing followed by three black crows this was a real 3 black crows valid one , the fourth candle gave a strong validation so here comes another trade. at arrow 13 there was again 3 red and you can see followed by two green this always a false reversal in strong treding down , if in trend this occurs the trend will again be the same even for 3 white candels vice versa, and arrow 15 showed rsi 30 but is false , when going down trend the people who follow rsi 30 buy concept might entered here causing 2 green candle that hits tsl and stoploss, but in 3 rd candle you see again big fall so do not go againts these type of trends , these are just pull backs in treding where you can add quantity if you have conviction in set up, ,, similar you also saw in uptrend there are some falls but finally price moved higher ,same here also when going down dont go in reverse, so finally at arrow 14 the price took support on trendline that i drew on daily time frame , now macd is +ve but below center line, rsi is showing positive price above 20 ema but not above all emas so wait till you get confirm call let price move above all emas i think there will be again ma convergence wait for it or see if trendline breaks usually 1st week of month around 4-5 dates mutual funds buy so wait for all conditions to meet. so final conclusion, price above all mas very very important for trend followers, mas may be lagging indicators but are purest derivation of price macd above or below center along with macd ma crossover rsi divergences is lead indicator any pattern or interesting candle sticks or with bigger time frame trendline follow the trend for indice trader if option buying they make only if market is trending , so always wait for trend do not over trade . or if you want brekout method wait for averages to get close and see if other conditions are in your favor bingo!!! hope everyone enjoyed and learned something , and when experience builds up you will be in much more advantagious situation never depend on one indicator you can change the system with super trend also , but atlast everything is trend as price either need to go up or down or sideways . disclaimer- this is not any investment call or idea , this just my view and it can go wrong ,this is only for educational purposes trade at your own risk :)
NSE:BANKNIFTY
by techno_funda_guy