The best traders have a trading plan.

But 98.8% of the new traders, don't know how to make one.

I analyzed @niki_poojary's account, to learn how we can create a plan on our own.

Here's the simple 8-step process:🧵

Step 1: Multi-time frame analysis

This is done to:
- Find the structure (HH-HL means bullish, LH-LL means bearish)
- Align trades with the trend on the longer timeframe
- Find important Support/Resistance levels
- Trendlines

She does this to find the direction and levels.

Step 2: Identify Patterns

There are two kinds of patterns:
1. Patterns on the chart. (Eg, symmetrical)
2. Candlestick patterns. (Eg, Bearish Engulfing)

She keeps a track of all these patterns and updates them on @niki_poojary daily.

Trades all these patterns without fail.

Step 3: Option Chain analysis

In isolation, OI data won't work. It depends on the way you analyze it.

If you have a bullish view look for high Change in OI added on the put side. Vice versa for a bearish view.

This is just a confirming tool for the view that you've taken.

Simply knowing the direction doesn't mean that you'll make money.

After these, we need to figure out which options we will sell by managing our risk.

This depends on:
1. Individual's Risk-taking capacity
2. Conviction
3. Desired Return
4. A lot of practice

A simple #TechnoFunda screen using @mystockedge -

Relative Performance + Relative Strength + CFO

#MANORG - R.Damani has 2.17%

Now from here you get to digging in more
https://t.co/KhIxJ38GvL

https://t.co/SgZ6Y28qe4

@vivbajaj

Trading Mistakes & Lessons Learnt 🧵

1) I always keep my mistakes & lessons learnt in front of my screen while trading.
Bcz we as traders tend to commit the same mistakes everytime.

So seeing your learnt lessons everyday ensures that you avoid them.

#trading #mistakes

2) In 2017, I analysed all my trades and saw that I have majorly lost in stock futures and profits came only via index trading.

I accepted that I am not great at stock trading & been trading index only majorly since then & have never missed a day trading BankNifty

3) I decided to adjust all of my past losses to 1 % of capital to see the effect of capping the downside.

I would have had a gain of more than 230 % if I had capped losses at 1% of cap.

Lesson: Keep losses per trade less than 1% of capital no matter what !

4) While trading index options, I lost sometimes due to IV rise,flash crash, and option freezes.

Lesson: Never take markets lightly & Always keep protective stops in the system (and not in your mind) to keep loss in control in case of blackswan.

5) Being an option seller, I have a tendency to manage my position by rolling up/converting to calendar etc.

So many times I have wasted 1 or 2 weeks just to close a loss making trade at cost😢

Lesson: I do manage now but exit as soon sold options become ITM or 2 x in value.

#TigerStocks

Companies doing fantastic fundamentally, reflected in their quarterly results and showing amazing price strength.

Tigers should be part of your tracker. Use @mystockedge to create such combinations.

One secret to catching big winners:

1. In a bull market like this, stock should have atleast done more than 50% in last 6 months.

2. Stock should trading within 25% of 52 week highs

3. Should be breaking out of base or recent highs after correction

@chartmojo @caniravkaria

Offcourse, this rule does not to recently listed stock as there is no history. They could still do well otherwise.

Day trading offers many trading opportunities to make quick money.

But if there is no trade opportunity in Nifty/Banknifty, then what to do?

How to shortlist stocks for intraday trading? there are some simple

My top recommendations for the Chart Patterns if you are interested.

The time has finally arrived to simplify how we use the volume indicator on our charts. With a Tradingview script at the end, here is a thread🧵 on what “simple” volumes are, & how to use them: 👇

The conventional volume indicator is full of ‘noise’ in that all volume bars are given the same importance. Color & size are the two informations they provide. But this information is “across the board”, irrespective of when it’s important enough or not.

The Simple volume indicator is minimalistic, in that it strips away the conventional volume indicator from a lot of “noise”, & help narrow our focus on actionable volume bars only. It displays only 3 type of volume bars prominently: blue, green & red.

Other than these 3, all other volumes are “noise” & need not be kept into any actionable consideration. All these inconsequential bars are grey. Moving average of the volume is also purposely hidden, as the grey bars themselves are indication of a below-average volume.

While initiating a long entry, we need to look out for only these 3 volume bars, & arrive at our decision. PPVs are the best indicator of institutional accumulation. Multiple PPVs in a consolidation base, & in a breakout candle are very bullish signals.

who said this? 😲

Just got this email from the Indian Hotels Company
Good campaign #DekhoApnaDesh
Especially when most of the holidays are happening domestically. No wonder the Stock is Strong.

This is just information sharing. I may be holding this stock. Please do your own research.

@Rohan_Se Trendlyne has all the research reports available for free for most stocks.

@Trendlyne

Here are all for Laurus

@sourabhsiso19 Hi Sourabh, I’m sure you would be overwhelmed by getting a long list of random picks, so I thought to share a methodical approach. Please see my notes. I'd be happy to run my Python script and get a small list of stocks for your review sometime tomorrow.

Supertrend is an excellent trend indicator for active investors. It makes the process of trend identification simple. Check these super trend scans in @mystockedge

Carnage in broader market is something of a characteristic of the final leg of correction.

Broader market bleeds more than index to scare off the retail from smaller stocks.

Can go on for few weeks.

These are what market is nervous about
#Dxy #DollarIndex #UD10Y

ARS values updated in @mystockedge as per @premalparekh bhai's successful model.

#rswarriors

1. Stocks moving in tight range after hitting new ATH
2. Stock is among Top 5 in sector leaders
3. Sector out performing overall market
4. Rel strength at ATH
5. Volume flowing into the bullish side

Is probably closest I have seen to the #Holigrail which many are looking for

Pyramiding 101 👇
https://t.co/p7EnhB2Ztr

If you guys followed onething in case of #tv18broadcast #TV18BRDCST which we discussed so many times I guess..
Then you must have saved your money & avoided such setup in advance 😊

** Never expect multiyear breakout when monthly RSI above 70 **