We developed the system for intraday traders. Segments included are nifty 50 stocks (including Nifty and Bank nifty), options and commodities.
Buy when green coloured arrow appears on the chart and sell when red coloured arrow appears.
IMPORTANT NOTE: 5 COLOURED LINES (ENTRY, STOPLOSS AND 3 TARGET LINES) ARE ALWAYS PRESENT ON THE CHART. BUT TAKE THEM IN TO CONSIDERATION ONLY AFTER THE FIRST SIGNAL IS GENERATED.TILL THE FIRST SIGNAL IS GENERATED, IGNORE ALL THE FIVE LINES AND WAIT FOR THE SIGNAL.
For all signals, there are 3 targets and 1 Stoploss. Important point to note is that, first target equals Stoploss which maintains a good risk reward ratio. This was done taking small clients in to consideration. Clients having good positions can keep booking at all 3 targets.
When Stoploss (SL) triggers, the signal will be reversed asking you to exit the trade and enter in to fresh reverse trade. So, clients need to place double quantity as SL (one for exit and one for fresh entry)
1. Arrow - Indicates fresh buy/sell (Green arrow for buy and red arrow for sell)
2. Star - Indicates exit present position (Green star indicates sell exit and red star indicates buy exit)
Using the above indicators, some of the cases seen on the charts are as follow:
1. Only Green Arrow – Indication for BUY
This will be the first signal of the day – As there is no previous signal, no green star with green arrow
2. Only Red Arrow – Indication for SELL
This will be the first signal of the day – As there is no previous signal, no red star with red arrow
3. Red Star with Red Arrow – Indicates to exit present buy position and enter into fresh sell position. This kind of symbol appears from second signal as there is a previous buy position to exit
4. Green Star with Green Arrow – Indicates to exit present sell position and enter into fresh buy position. This kind of symbol appears from second signal as there is a previous sell position to exit
5. Double Star – Trade close for the day
Green arrow or Red arrow will be generated as the first signal of the day. As there is no previous signal, we do not get any red star or green star to exit the previous position in the first signal.
From second signal, for sure we get red star with red arrow or green star with green arrow which indicates us to exit the previous position (in profit or loss) and enter in to fresh position.
For commodity stocks, Stoploss and first target will be around 1% which is proved to be the best with 90% accuracy. So clients are requested to trade with less quantity and wait for bigger targets instead of taking more positions and exiting for less profit. This also reduces your brokerage.