Simple and easy tricks for intraday trading. Which is the simplest intraday strategy ?with a success rate of almost 75% for Indian stocks?

Which is the simplest intraday strategy (with or without indicators) with a success rate of almost 75% for Indian stocks?

Posted by: Thinking Boxx Team

16-01-2022

Best strategies are the ones, where you trade with the simplest method possible, if you read on you will find the strategy at the end in the form of a video.

Note- This strategy involves candles and hence I have started with explanation of candlesticks.

Candlestick charts are the backbone of price action trading and most of the traders use them, which makes it even more powerful. I would request you to use candle charts because only those things works in the market which are used by majority.

Here is how you can read and understand candle charts:

• First understand the important data points in the candlestick bars. Here is a diagram explaining the same.

• Understand the interpretation of candles based on closing. For example if a candle is closing at its top 25%, it is bullish and if closing at middle it is an indecision candle. Like I have shown in the below picture.

• You also need to understand the psychology behind candles. Mere knowing the candle pattern will not suffice. If a pinbar is forming , what does it means. Lets take a bullish pinbar. A bullish pinbar is a reversal pattern, which says that bears tried to take the market down but bulls won the battle at the end, indicating that the candle is a bullish candle.

• Then you need to learn, how to combine candles, so that you won’t have to memorize anything other than required. Because there are so many candles , which makes it impossible to memorize all of them. Here is a pic of the same:

• Then there are some patterns which should be on your tip all the time and you need to memorize all of them. Which are- Pinbar, Engulfing, Morning/Evening star, Inside bar etc.

If you going for intraday only then at least be sure that you have a proper risk-reward ratio in your mind. Intraday can never be carry forwarded in delivery so please be sure about that. If you are losing then don’t do the mistake that everyone is doing. First, they take a position in intraday than if they are losing something than they carry that for the second day and go for the same. As the position is taken for intraday then it should be closed on the same day only.

This is for the technical side, If you have some knowledge of technical or some kind of that than you can go for 60 Minutes or 240 Minutes charts for the same before going into that it would give you more idea about entry and exit price so that you can have a better risk-reward ratio.

HOW IS INTRADAY TRADING DIFFERENT FROM REGULAR TRADING?

There's only one difference between a regular trade and intraday trade. It lies in taking the delivery of the stocks.

In intraday trading, you square-off your positions the same day. So, your sell order offsets your buy order. This way, there is no transfer of ownership of shares. A regular trade gets settled over a span of days if not longer.

KIND OF STOCKS TO CHOOSE FOR INTRADAY TRADING

In intraday trades, you need to square-off your position before the market closes. So, it is essential that you choose stocks that have enough liquidity for executing such trades. This is why many recommend high liquid stocks like large-cap stocks. This can also minimize the chances of your trades impacting the share price of the selected stock.

Few things to remember.

1. Don't stick to losing trade.
2. Be mechanical.
3. It's by the end of the day when the total is positive.
4. No. Of trades can be many.
5. It doesn't require any unread or historical charts.

I am sharing my last month's statement from one of my accounts from Eqwires Research Analysts in which they gave me 93k Profit in a single month's time frame. The statement is from the time correction was in place because of the global market and politics. They were able to predict accurate movements in such a harsh market.

Remember a few points while deciding about any trade:

• Don’t buy falling stock or especially when it’s facing resistance because it can trap you and give you big losses. The latest examples are PSU Banks which were falling continuously. Never buy them for intraday though it looks attractive to you.
• Buy only those stocks which are taking support and not coming down with the market and rising with the market so that you will get good money in intraday.
• Don’t trade in stocks who have any kind of news, results, or any controversy because it’s completely gambling to trade like that. always avoid trading in this kind of sector or stocks.
• Always apply a proper stop loss while you initiate any trade and maximize your profit by modifying your stop loss to cost so that whenever a big movement comes, you can generate a big profit.

Now coming to the strategy, it is very simple but very effective.

step 1. Define your support and resistance area.

Step 2. Wait for price to come to that area.

Step 3. Enter on rejection or breakout based upon candle formation.

step 4. Book profit based upon reversal and exhaustion pattern.

In this video I have provided you with same strategies using this method in detail

If you want to get the benifit of my recent giveaway, see this video

Thanks for reading.🙏