Must Read ArticleA.Day Trading Made EasyB.Wise Stock Investment Tricks C.F&O Trade TechniquesD.Currency Trading TechniquesE.Commodity Trading TechniquesF.Understand the EconomeyDay Trading Made EasyA.Learn intraday tradingB.Day trade using gann methodC.Day trade using fibonacci methodD.Day trade using elliot waveE.Day trade using technicalF.Introduction to decoupling methodDay Trading Made EasyA.My experiment on gann methodB.My experiment on fibonacci methodC.When to do day trade ?D.Why to use our intrday calculator ?E.Why to take our intraday call servise ?F.Best trade plan to win intraday trade ?
Intraday Trading Using Gann Method
B. we will derive the resistances from the low and supports from the high in every 15 degree interval.
C In the price cross over of 30 degree in resistance side we will buy the stock and vice-verse.
Do remember we will use this method for making swing trade. That means we will close our buy position at the sell entry point and initiate fresh short at that point. Some time we will come across with the situation where in the buy entry and sell entry will be placed very close to each other even equal to each other. This is called congestion band. If congestion band present in my experiment then I will make entry on the 1st target points.
Let me explain with an example : Say I have identified day high and low of State Bank of India (SBI) as 2220 and 2176 at a particular time and currently SBI is trading at 2187. if I wish to enter a trade based on this procedure then I will do the following.
A.Assuming 180 degree as 1 the 15 degree will be 0.0833.
B.My resistances will be two square of (square root of LOW+0.0833),two square of (square root of LOW+0.0833*2),two square of (square root of LOW+0.0833*3) and so on. In SBI case it will be 2183.78,2191.57,2199.37,2207.19,2115.03,2222.88.Supports will two square of (square root of HIGH-0.0833),two square of (square root of HIGH-0.0833*2),two square of (square root of HIGH-0.0833*3) and so on. In SBI case it will be 2112.16,2204.33,2196.51,2188.71,2181.
Now I will conclude my experiment with following out come my buy entry is 2191.57 and sell entry is 2204.33. In this case the sell entry is higher than the buy entry price and the current price also below my buy entry price. If such a situation exists then I will place my buy entry stop loss 2183.58 and sell entry stop loss as 2112.16.
What will be my swing trading decision in this case ? If the stop loss triggered for me after a failed attempt of buy entry then I will close the buy trade at 2183.78 and initiate fresh short trade at that point with stop loss for 2191.5 and targets will be 2176.06,2168.34... this is derived by subtracting the difference of 2183.78 and 2191.5 from 2183.78. same way you can derive the targets for the long entry if the stop loss of 2112.16 trigger.
how to do intraday trade using fibonacci method ?