Introduction:
First of all I want to tell everyone that intraday trading
in stock trading market would not be that much easier
at all. We have to watch out so many things at first
only then we can create a powerful trading system
for our consistent earning in stock trading market.
I am working more than 5 year's in stock and have
faced so many good and bad trading experiences
my life, but now I am earning consistent amount of
money from this business and today I would like to
share all of you that how you can also become a
consistent profitable stock trader in this market of
stock trading.
This free day trading course contain following of
this subjects given as below:
1.Introduction.
2.Basics of Intraday trading.
3.Prominent Daily trading Rules
4.Concept of Time Frames in Day trading.
5.How to choose best stocks?
6.When to buy and sell share?
7.How to choose a Good trading method?
8.Risk and Reward and its implementation.
9.Advantage of Keeping a Trading journal.
10.Right Timing of Entering and Exit?
11.When to avoid the trading in stock market?
12.How to Become a Professional Trader?
2.Basics of Intraday Trading:
The Concept of stock market would never
be easier to understand for newbies at once.
That's why we have started with some of
important basics of intrading which will help
you to know about the concept of day trading
deeply. So first of all we have to know that
what is the meaning of Intra day tarding here.
Day trading means buying and selling the
shares within one single day of trading
session or we can say trading within
short term call that is related to day trading
session only.As we know that earning can
be done quickly in short term trading or
day trading but along with it risk is also
attached higher to this acticity in stock
market when we have a day trading goal.
Here are some of the imporatnt things
about day trading:
1.High Risk Involved:There is High Risk
involved in day trading because when you
will start to do trade then if you are on loss
side then money can be reduced very quickly
For example:Suppose price falls very quickly
and you are on loss side then it will be hard
to do recovery from a buy call and you will
continue lose from a sell side volatility.
But risk is totally in our hands and I will
discuss later about it that how you can
reduce the size of your risk and loss from
better use of money management and
risk management in stock market.
2.Good Profitability:According to me
Good profitibility can be also seen in day
trading, as we have discussed earlier that
stock marekt contain high risk so its clear
that on other side you will win bigger also
If you are working with good analysis and
right predictions then you can earn good
enough from the market within the end of
the day trading session. Futhermore I still
believe that a good managerial skill is
important to done the things smartly here.
3.More Time and Practice:New traders
need more time and practice to get skilled
in this business so that they can understand
their trading properly to use in stock market.
A new trader should pay regular time for
practice and understanding, along with it
a new trader need a lot of experiments,
innovations and correction to get the best
output in this business.
4.Etc:Even there are so many other
advantages of day trading which you can get
from it for your business. For example you
can increase your leverage can do trade
with extra margin, Along with it good movement
can be seen in one single day in stock market
rather than long term holding which can give you
a nice advantage to earn more.
PENNY STOCKS TRADING STRATEGIES
WORLD STOCKS TRADING STRATEGIES
FOREX TRADING STRATEGIES ARE
GIVEN BELOW:
1.Moving average Trading Method:
Moving average trading method is one
of my favorite trading method, in this
trading strategy I use SMA 8,SMA20
and SMA 200 moving average.
This is a trend following trading strategy
in which we have to follow the trend, even
this can be used for scalping, short term
trading and long term trading.
SMA8: This is helpful to know the short
term trend reversal on chart and can be
used to exit from the market during the
trading when a reversal shown on chart
SMA20:SMA 20 is one of the my favorite
moving average and very important and helpful
to know about the trend of the market. When
Market is above 20 SMA then I go for the buy
Now you all think that its simple like others
but no, here I am using so many other tactis
which making this strategy so much interesting
like Elephant bar, One single Red Bar, One
Single Green Bar, Three to Five Bar method,
Twin Tower method, Breakout method, VBS
and VSS trading Method, Climate Trading
Method, etc.The Same thing I am doing when
there is a sell call on chart.
SMA200: The Grand Daddy, SMA 200
is one of the powerful moving average to know
about the intra day major support and resistance
areas SMA 200 moving average help me a lot
to understand the Daily reversal, Daily high
impact zone area, etc.
So these three moving average are major parts of
my trading strategy, but as I have said earlier that
I am using so many other trading methods to make
a complete trading method for the right validation of
my signals. Now its time to show that how to use
SMA8,SMA20 and SMA 200 combination.Screen
short is Given below:
2.SCALPING TRADING METHOD:
1.Scalping:As we know that scalping is
a very popular trading strategy in Penny stocks
trading. Even its popular in world stocks, forex
etc also. Here first of all we have to know that
what is a scalping trading strategy actually,
A scalping is a trading style in which a trader
try to make profit with small change in prices.
Actually scalping is best in stock trading because
market have a gap early in the morning or when
a stock market open in a country and the first 1
or 2 hours of the trading can be best for this
strategy. Now the question is that how we have
to use the scalping trading method in penny stocks
world stock market?
world stock market?
first of all for that you should have a good
knowledge of one single bar concept for it
and the second thing will be moving average
we will learn later that how we have to use
those in trading, now here we will just tell
you that how to use them in scalping trading
strategy along with moving average and that
one single bar trading concept later we will
discuss about the one single bar concept
moving average have been already discussed.
one single bar trading concept later we will
discuss about the one single bar concept
moving average have been already discussed.
1 Style:The first style of scalping will be to
go with trend, in this strategy we will use
SMA8,20 and 200. When market will be above
of 200 sma then you have to just check that
you are getting one single bar concept there
on chart or not.
As you can see above in the char that we
have got the one single red bar here, means
When a green bar will start to cut the top of
last red bar then you have to place an buy
order in the market.You can send the risk
and reward of 1:1,1:2 or 1:3.
The same you have to do when you have sell
in the market but that you have to concentrate
on one single Green Bar instead of one single
Red Bar. Hope you got my point here.
2 Style:The second style of trading scalping
strategy is little bit differ here we are using
the reversal scalping trading method to
earn some quick amount of pips and money
from the market.
8 SMa and 20 SMA, Means this kind will work
In the situation of sell you have to follow the same
3.Technical Analysis Trading Method:
As we know that technical analysis
trading method is also one of the
popular trading method in stock
market, In this method we just follow
the past history of the market to buy
and sell on chart. Its already proven
that history repeat itself in stock
market, market is totally depend upon
the market demand and supply zone
and technical analysis is one of the
important method to calculate those
important areas of demand and supply
on chart. Now I would like to discuss
that how we can use the technical
analysis in stock market for our buy
and sell trade or for the market
analysis.
1.Along with trend: Technical
analysis can be used along with the market
trend in forex with the help of technical
analysis we can make money on both
market trends such as market uptrend,
market downtrend etc.
(a) In Market Uptrend:as we can in the
chart below that market is making
a higher high and higher low pattern
which means this a bullish trend and
technical analysis also give us a
very good indication of buying
in the market,
In this method we have
to just use the horizontal line below
market higher high and lower high
during uptrend.
(b) In Market Down trend:In market
down trend direction we have to just
concentrate on the lower high
and lower low concept.And same
technical analysis horizontal lines
will be used for the calculation of
trend direction, plus buying and selling
along with the trend direction.
As we can see in the chart above that
when there is a selling trend then
technical analysis show us very clearly
that all the market supports are broken
one by one from the market, it show that
there is a full chance for the market
bearish trend in coming hours or day
depend upon the time frames.
The same you have to do when you have sell
in the market but that you have to concentrate
on one single Green Bar instead of one single
Red Bar. Hope you got my point here.
2 Style:The second style of trading scalping
strategy is little bit differ here we are using
the reversal scalping trading method to
earn some quick amount of pips and money
from the market.
In this style you can use the strategy in both
side of the market, but I have given the exa
mple of buy calling only, you can see that
in the chart shown above that There is a gap
between
8 SMa and 20 SMA, Means this kind will work
nicely when a market is overbought or
sold in a short term range, You have just
wait for the gap and have to follow the strategy
here you can see that the green bars are cutting
the one single red bar,risk and reward will be
1:1 here and your stop loss will be below of that
red candle.
In the situation of sell you have to follow the same
but that time you have to use the green candle
concept of instead of red candle.
3.Technical Analysis Trading Method:
As we know that technical analysis
trading method is also one of the
popular trading method in stock
market, In this method we just follow
the past history of the market to buy
and sell on chart. Its already proven
that history repeat itself in stock
market, market is totally depend upon
the market demand and supply zone
and technical analysis is one of the
important method to calculate those
important areas of demand and supply
on chart. Now I would like to discuss
that how we can use the technical
analysis in stock market for our buy
and sell trade or for the market
analysis.
1.Along with trend: Technical
analysis can be used along with the market
trend in forex with the help of technical
analysis we can make money on both
market trends such as market uptrend,
market downtrend etc.
(a) In Market Uptrend:as we can in the
chart below that market is making
a higher high and higher low pattern
which means this a bullish trend and
technical analysis also give us a
very good indication of buying
in the market,
In this method we have
to just use the horizontal line below
market higher high and lower high
during uptrend.
(b) In Market Down trend:In market
down trend direction we have to just
concentrate on the lower high
and lower low concept.And same
technical analysis horizontal lines
will be used for the calculation of
trend direction, plus buying and selling
along with the trend direction.
As we can see in the chart above that
when there is a selling trend then
technical analysis show us very clearly
that all the market supports are broken
one by one from the market, it show that
there is a full chance for the market
bearish trend in coming hours or day
depend upon the time frames.
Breakout trading strategy is also one of
top trading strategy in stock trading
market but most of trader's don't know
properly that how they have to use the
breakout trading strategy properly, actually
there are two types of breakout trading
strategy in stock market which you can use
in your trading for making the better analysis
of the market. Here is the first trading strategy
that mostly fail and only some time they work
properly for the market buy sell. Here is the
example.
1.Simple Breakout:Mostly this type of breakout
become failure and trader's have very rare chance
of making money with these breakouts. As we
can see below in the graph that market
have shown two breakouts but both these
two don't show any good response and after
some time a market reversal have been seen
in the market.
Actually there are so many
traders in stock market who start to buy
and sell according to these breakout points,
but these are not right to perform any buy
and sell action in live trading marekt.First of
all we should check that is any kind of good
support and resistance area is manufacturing
after that breakout or not. Lets talk about
the second breakout trading method in which
I will tell you how you can earn money from
the right breakout trading strategy in stock
market.
2.Effective Breakout Trading Strategy:
As I have said earliar that in effective
breakout trading strategy we don't have
to just buy and sell after that breakout
so many time this kind of setup can be
only a trap for traders. Trader's mostly
go with them and market make them
emotional and loser with the market
reversal after breakout. The right
pattern of breakout trading strategy
will be to focus on the good trading
setup. For more explanantion please
see the below image.
Here we can see in the image that this
is the right style of making buy when
breakout is appearing in your favorite
trading stocks. As we can see that
after the breakout we don't have to
just go with buy or sell at once, in
the example we have seen that first
we have to wait for the pullback and
then we have to wait for the one
single bar trading strategy or elehpant
bar trading strategy confirmation for
buy furthermore in selling condition you
can do the opposite of it, means wait for
the pullback and then you can use the one
single green bar and elephant bar concept
for sell.
3.Prominent Daily trading Rules:
1.Use Demo trading Account Properly:
First of all its important to do couple of
months demo trading practice before any
live stock trading. If traders will go directly
to live trading account then it can cost them
a huge amount of money, because lack of
basic knowledge would also charge them
a big money in real account so better to
start with demo trading practice at first.
2.Invest Less:New traders can't
come up with a good experience and
knowledge at first so they have improve
about it at first and that's why it become
so much important for them to start with
lower amount of money. And when they
will get enough understanding and knowledge
then later they can think about it to increase
the amount of their investment in stock
market business.
3.Stop Gambling:Mostly new traders
start to work with gambling when they join
as a new trader in live trading market of stock
trading business.New trader's don't have a proper
trading plan,discipline and mindset and that's why
they mostly start with gambling which should be
avoided by them as soon as possible they can
In real gambling is not the solution of consistent
gains, its worst can damage our career very badly
here in this business.
4.Proper Learning:it does no matter we are
performing with demo trading account or real
trading account proper learning will be very essenti-
al to see some fantastic growth in our trading knowledge
and experience. I know there are so many trader's in stock
market who just spend time for seeking money, means they
don't want to pay proper focus on right learning and just
try to buy and sell for no reason. A proper learning will help
us to do trade on right time within a proper reason.
5.Avoid Over trading: As we know that over trading is
also dangerous in this business. In Stock market its better
to work with proper planninga and goal, That's clear that
our goal will be shorter so better to close down our charts
and pc when we have our target in account already. Even
in the situation of loss we should avoid over trading because
it can lead to the emotions and higher losses in account.
Better to keep some rest after a loss or in a profitable
condition its also best to check the future trades in next
trading day session rather than the same day.
6.Stick to your trading plan: Its very urgent for trader's to
stick to their trading plan always, there are so many market
conditions which can force us to change our mind for trading
but it should be important for us to follow our trading planning
without any change. Because if once we have entered in market
then any kind of change can force us to close our trade with loss
most of time. So better to check everything before placing
any order in the market.
7.Find your trading Edge: Finding our trading edge could be
so much helpful for us in stock market business. With the help
of finding our trading edge it will be easy for us to work with our
trading patterns, our risk size selection, etc. It can also help us
to decide that what to do, how to do and when to do, Means it
will make our trading plan more effective than before.
8.Follow the Trend: According to me following trend would be
very helpful in stock trading business. As we know that
every share have a trending market, and that can be our best
time to enter in the market. This is also written everyone on
net that "Trend is Our Friend" and its a very true thing, following
trend would give you a clear idea about market demand
and supply zones in stock market.
9.Technical analysis:Technical analysis is also one of
the best and effective traditional way of analyzing the
market in this business. Following technical anlaysis
would be so much profitable to judge the market best
support and resistance areas, and they are also
important to know the market supply and demand
fluctuations.
4.Concept of Time Frames in Day trading:
Time frames selection will be so much
important for trader's when they are working
with a short term goal, or when they have a
day trading goal in mind.We can perform
short term trading with long term time frames as
well but its hard to understand the short term
signal in long term time frame so many time.
Personally I have done some time short term
trading in h4 time frame also but got more
better output from those two short term time
frames.There are some of popular time
frames which can be best to perform with day
trading goal in stock market
Some of them are as follows:
1. Minute 2 time frame:In day trading or short
term trading as much as lower time frame you
choose more better quick entry and exit points
you will grab in stock market. So Minute 2 time
frame is one of the best time frame to know the
direction of short term market trend. Later I will
explain that how you have to make the Minute 2
time frame effective with some of popular trend
follower indicators. I personally Mostly use the
minute 2 time frame in my trading analysis,
It give me a lot of help to do trade with quick
trading patterns or my favorite trading patterns
without any long waiting time.
2.Minute 5 time frame: This is also one of the
best time frame to do trade with short term
target. If you are not satsfied with minute 2 time
frame and getting more misleading siganls in
that time frame then you can concentrate on 5
minute chart time frame. Five minute chart
time frame could have more accurate signals
than the 2 minute time frame. Its totally depend
you that how you have to manage those two time
frames for your analysis. Personally I mix both to
get an best validation of my trading signals.
Pros and Cons of Minute 2 and Minute 5
time frame:
Pros:
1.Best for short term trading:Short term time frames
are best for short term trading goal. especially if traders
are searching for short term trading goal then they can
use Minute 2 and Minute 5 time frame for their trading.
2.Easy to Find Short term Trend:Its easy to find the
short term trend market direction with the help of those
two short term time frames. If a trader would have better
understanding and experience of those two time frames
then trader can do mastery in short term tend analysis
with these time frames.
3.Edge:Short term time frames can also help
traders to find out their edge in stock market
trading. For example if you are regularly getting
your target in your hands within proper consistency
under lower amount of losses then its a clear sign
for trader's that they have got their trading edge now
in this stock market business.
4.Good Flexibility:Those time frames would only
charge the short term amount of risk for your trades.
but its depend upon your management also that how
much risk you are taking for your trades, I believe that
1/2% risk trade formula is best for traders.Furthermore
trade will be closed in few days and we can just find out
one more another trading opportunity to do trade in the
market. Means to say that here in short term trading
we don't have to hold our trades for long run, some time
in long run we have to hold our trades for a very long term
time and that can be so much frustrated and time
consuming as well.
Cons:
Short term time frames have some disadvantges for
traders and if there are some advantages then there will
be some disadvantages as well and some of them are
given as below:
1.Time Consuming: As we know that in short term
time frames we have to pay more long term time
for trading than the long term trading. In long term
analysis we have a concept called set and forget
but in short term time frames its possible to do that
here we have to a regular trading within a trading
session some time especially if we have continue
losses in a day. Futhermore there are many ways
to make our day trading less time consuming but
it still be more time consuming than those
long term time frames.Trader's could have their
own opinion about this, but this is my poersonal
opinion what I feel about those time frames.
2.Misleading Signals:There is no doubt in it
that short term time frames are more misleading
than the long term time frames. Short term time frames
like Minute 2 and Minute 5 come up with a regular
short term buying and selling patterns so its obvious
that so many time we will see the misleading
signals also on those shorter time frames.
3. High Cost:The other disadvantage of short
term time frames is that we have to pay high cost
for trading in them. Due to frequent trade buying
and selling entries, we have to pay a higher cost
to broker with it. But its not a big problem for those
trader's who know that how to handle their
money management and risk management in trading
I believe that if a trader have good experience and
trading system then we can convert that high cost
in lower cost or trading or brokerage.
4.A lot of Focus: In short term trading and time frames
we need a lot of quick focus during trading, we have to
watch out some of stocks continuously,in long term
frames we don't have to follow this kind of concept.
Trader's need a quick response and have to place their
order's very quickly so many time in short term time
frames. So need a quick action than long term time
frames.
5.How to Choose the Best Stocks?
Most of new trader's don't have a much
knowledge and understanding of choosing
best stocks in stock market. And this become
so hard for them to understand that how they
can find good stocks to invest money in them.
Now days every new trader want to know
that how he or she can invest money with
good stocks?
Actually this is really important to know
that how we can invest our money with
right brokers, becausing investing with
wrong ones and blow our shipe very
earlier in this business. Here we all have
an aim to earn consistent money from
the market, eveyone want to become
financially free. Today I will discuss
some of those points which can
help you to find out good stocks
to invset your money with them.
So lets start.
1.Check Top 10 to 20 Stocks:
First of all we should check online
that what companies are on top right
now. All we know that now days its
not difficult to find out the top
10 or 20 companies on those
exchanges, we can easily get the
information about the on net.
2.Filteration: The second thing will
be a lot of practice, here I am not
saying anyone to do regular practice
in those 10 to 20 stocks. I would
recommend trader's to filter those
stocks and just go for the selection
of 3 to 5 stocks. So actually we have
to work with top 3, to 5 stocks.
3.Practice:Now we have to few months
of regular practice with those 3,5 shares
and it can help us to determine that which
of them suit to our trading character.
Here its also important to know that which
kind of trading character you have, Personally
I don't do trade more than 2 stocks. Because I
feel much comfortable when I do trade with
2 stocks at one time.
4.Trading System:A good use of trading system
would be also essential to make your profitable
with selection of your stocks, I believe that a
good trader can do trade with any kind of stock.
Here he have to just work with a good trading
system and if he have a good mastery in this
business then its does not matter what kind
of stock he is choosing he will be profitable
eventually.Building a good trading system would
be very important to give our best in our stocks.
5.Keep your eyes Open:As an investor and
trader both we have to keep our eyes always
open and have to be careful with the market
movements and fluctuations. We should also
pay attention on companies fundamental events,
technical analysis etc. It can keep us active all
the time and can give us future movements ideas
of those comapnies. Furthermore as a trader
we have to keep ourself active also especially
if we are spending time with intra day trading
then it become so much important to keep
ourself active with the movement of short
term time frames charts.
6.Avoid the Volatility: I believe that avoiding
Volatility in Stock market would be also so much
important. So many time I have seen that
trader's start to buy or sell a share when it
have a bigger movement already for the day.
Talking about the market cycle here, we all
should have proper knowledge of market cycle
and should avoid a big volatility.Its better to
place our order when a market cycle is
starting to build on chart or when its on its
birth.
7.Cheap and Expensive Stocks:
Its also important to know that cheap
stocks means not only a big profit always
So many time traders start to buy cheap
stocks and they believe that it will cross the
big amount of positive price movement change
very soon. But that's not true at all, in cheap
stock we have to still find out the best one and
there are a lot which are not suitable for trading
in exchanges. Along with it the same thing can
happen in Expensive stocks, some time they
can be good if you are buying or selling them
on right time and area. Talking about the same
common sense and understanding here.
8.Financial Result:The Financial result of
the companies can also tell us clearly that
which kind of health a company have, We
can find out companies health report any time
on internet, and can come to know that we
should invest our money with them or not.
Here there is on guarantee that good companies
will always do the best, some time they can go
in deeper trouble also. So we have to check
their financial result time to time.
When To Buy and Sell a Share?
Actually this is a process where you
have to pay attention on the use of your
trading strategy because that will be directly
related to your Entry and Exit area or
Buying and Selling in Stock market.
There are some these steps which we
have to add in our trading system to know
about it that when to buy and sell a share.
1.Trading Method: A good trading method
would be very important to know that when
we have to buy in the market and when we
have to exit in the market. In next post
I will tell you that how you can find out
a good trading method for you. Actually
there are so many methods in stock market
for trading but a trader should choose them
according to their taste, character etc.
2.Planning: A proper planing will be also
much essential to buy and sell a share
in market. This is nota few seconds of
guess where it will be easy to know that
where market trend will go in next a few
minutes or hours.So planning is crucial.
3.Experience:A regular experience of
the market will be also important to know
that when we can buy or sell a share on
right time in market. Here I want to add
again the term trading method, because
until we don't have a trading method
till then we would not have the experience
gaining in stock market. Actually the method
of trading and the term experience both are
connected with each other, during the use
of method we have knowledge but don't
have experience and we will learn it later
when we will start to implement our
knowledge in live market.
7.How to Choose A Good trading method:
Choosing a good trading method is really
important to make an effective trading analysis
of the market. A trading method can play
the role of a backbone for our business. In
stock market there are so many dffer trading
methods which can be helpful for trader's to
earn money in this business. But this is really
hard to think some time that what kind of trading
method would be best for our business.Now
I would like to discuss those points which can
help you to choose a better trading method for you.
1.Know Your Character:
First of all we have to know that which kind of
trading character we have. I am talking about
the Long term trading, short term trading, middle
term trading character here in this line. As we
know that all trader's don't have the same trading
goals and characters, some of them like to do
trade with short term goal and many of them like
to pay focus on long term trading analysis and
target. So first of all its important to know that
you are a short term trader or a long term trader
2.Traditional Methods:During the selection of a
trading method it would be so much important
to know the best ones at first, as we know that
Trend trading methods, technical analysis trading
methods these two are very popular in stock market
Even you can do trade with the scalping. But
mostly people use the technical analysis and
trend analysis. So I would recommend you to work
with trend based method, and technical analysis
method.
3. Practice Makes a man Perfect: This is very
true that our practice can make us perfect in this
business. As much as practice we will do much
better trading result we will get. So its does not
matter that which kind of trading goal you have just
spend few minutes or hours every day with your
practice, so you can know more and can gain
more and more experience in this business.
4.Drawdown:Its important to know that which
kind of drawdown our trading system showing
us during trading the trades, for example if
our drawdown is only about the 10 to 20%
then it means that we are working with a good
trading system, but if drawdown is going higher
like 70 to 80% then it mean we don't have to
that trading system in our business.
5.PROS and CONS: Trader should have a proper
knowledge of his trading system pros and cons
both. It will help him or her to know trading system
requirements, weak zones, strenghts etc. Knowing
about our trading system PROS and CONS can
give us a master trading system to earn in stock
trading market.It can also give us a full potential
to work with strengths and weaknesses smartly.
6.Profitablity of our Trading System:After couple
of months practice we can easily know that which
kind of profitability we are getting from our trading
system even we can lose money from it if we are
not using it properly or if we are using the wrong
trading system. But it can help us to know that
we need a change in our trading system or not.
And if good profitability is going one then it means
we don't have to change anything in our system.
7.Non Complex:Its also we have to check that
our trading system should not be much complex.
There are a lot of trader's who use a big set
of indicator's on chart and try to make their
trading system complex to understanding.
They make their charts so much colorful
from indicator's but actually that is not the right
way to understand the market, where we need
couple of things to make it non complex, like
trend analysis, technical analysis, plus a
good mindset.
8.Risk and Reward and its implementation.
The risk and reward ratio is one of the
prominent part of our trading, or I can say
that if you have to earn the consistent money
or have to reduce your losses in your business
then it become so much important to maintain
a good level of risk and reward every time in
your trading. We have to make sure that
we are working under a trading system which
have a very good capability of gaining good
risk and reward from our trades. But if still
you are facing it difficult to gain good risk
and reward in trading then please follow
some of these steps which can improve your
risk and reward trading in forex, They are as
follows:
1.Follow Trend: Following trend can be so
much helpful to earn good risk and reward in
market, in this method we have to just go
with the swing of the market and have to
set a good risk and reward in our trades, Our
reward should be always better than our risk
so that we can decrease our losses and can
gain good consistent earnings regularly.
As far I know following trend can provide us
1:3,1:4 and so on risk and reward in forex.
2.Pick up Top and Bottom:If you are a long term
trader then better to find out the major support
and resistance and they are called as top and
bottoms areas of the market also, short term
traders can follow the short term swing which
can also give them good risk and reward on
intra day bases trading. Later in our trading
strategies section we will discuss that how
you can work with good risk and reward
based strategies in stock market.
3.Market Cycle: Market cycle end and birth both
can provide us a very good opportunity to earn
money from some good trades I am not only talking
about the starting of market cycle, when a market
cycle will end then there will be a reversal and
that can be a good chance to earn good risk and
reward based trades from the market. But only a
few trader's have the right that when there will be
the right reversal in market., mostly trader's follow
the wrong reversal patterns which give them losses
in most of their trades.
4.Breakout Trading methods: Breakout trading methods
are also so much beneficial to get a good risk and reward
trading in forex, but its important to know the value of your
trading analysis to make a good use of best breakout
areas, in real most of trader's don't know that which market
breakout is best to perform with good risk and reward, They
do trade with the wrong once, which move reverse to them
and hit their stop loss area.
5.Scalping:Trader's can also earn good risk and reward
opportunities trades in scalping trading methods, most
of people say that scalping is higher risky and bad becase
we lose quick money. But I believe that we can still earn
good risk and reward trading opportunities in scalping. For
that personally I pay focus on market reversal, I do scalping
with pin bar and some other reversal trading methods, later
I will discuss all of you that how we can earn good risk and
reward trading setups knowledge from scalping methods.
9.Keeping a Trading Journal.
Do you all of know that how much
stock trader's keep a trading journal
on daily, weekly bases?
According to me no traders' have
the right idea that how much traders
keep a trading journal in stock market
business.
Even most of you reader's don't have
trading journal in your business right?
Same thing had happened to me when
I don't had a idea of keeping a trading
journal.
Couple of year's back I got some idea
about keeping a trading journal and since
then I am regularly following a trading journal
on daily bases. Keeping a trading journal can
bring a very good improvement in our trading
and it have so many great advantages for
trader's :
It does not matter how you keep active a
trading journal, its always have some
advantages for your, most of people who
know its value like to follow it on regularly
bases, they write down their daily trading
result on a notebook and start to pay proper
attention it. Our trading journal is great to
give us a clear idea about our trading mistakes.
In stock market so many trader's don't have any
idea that how they are buying and selling, and
what kind of trading style they are adopting.
But by keeping a trading journal we can easily
understand that how much improvement we need
in our business. It can tell us about our trading
strategy, trading plan, method, management etc.
Some of them are as follows:
1.Help Knowing Yourself:Keeping a trading
journal will help you to learn yourself deeply
as I have said earlier that it will help you to
understand your trading system, which
contain a trading plan, your trading system,
strategy management etc.
2. Up to Date:Keeping a trading journal can
also help to keep us up to date all the time
because we are writing every day trasanctions
in our trading journal so it will be easy to know
that what's going in our business and stock
market.
3.Innovations and experiments:By the help of
keeping a trading journal regularly we can also
do so many new innovations and experiments
and those can be good for our trading knowledge
and business. Who knows even we can find out
something great for the life time earning.
4.Correction in Mistakes:Its clear that if we don't
have a trading journal then we would not any
better correction in trading becuase a trader
can't remember all the things in mind without
making an trading journal. But if we have a trading
journal then we can remove our mistakes and
find out a better solution for them as well
5.Experience:We can also increase our level
of experience by keeping a trading journal
in stock market. If we will good correction
by learning from our mistakes regularly then
it will be very good improvement in trading and
it will surely increase or enhance the level
of our trading skill and experience in stock
market.
10.Right Idea of Market movements?
According to my experience
only the trading strategy and methods
alone can't explaine you that what
is the right time to enter and exit in the
live market. Personally I have tried
so many time to enter in the exit by the
signals of my trading strategy when there
was less volatility or when there was
poor movement in stock market.
I have learned from my experience
that volatility can be seen only time
to time and if you are working with a short
term goal or intra day trading goal then
it become so much important for you to
do trade with the right time.
Following are some of tips which will help
you to understande the right time of entry
in the stock market, but I can be wrong here
as well, because every trader have a unique
way of trading but in my experience I have
searched that there is a time in stock market
when there is a good movement and when
there is a slow movement. So lets start
discussion about it.
1. First 1 hour 30 minutes:According to my
experience first 1 hour and 30 minutes are
very important becuase almost we got
every day good movement in those 90
minutes. After that market go in sideways
or consolidation phase for a few more hours
I have seen so many time that when stock
market open then bigger or larger volatilty
can be seen in first 90 minutes.
2.Last 1 hours or 60 minutes:This is the second
seen of the market when a good movement can
be seen in stock market. I personally do trade
only in those two market timings, last 1 hours
of daily trading sessions is also so much crucial
because it have to decide the marker higher and
lower for the day. and so many time we can see
good volatility at the end of the day.
3.Climate Correction:Most of we have also
seen that when a market have a very large
movement for the day then it mostly reverse
to back and try to do some recovery in market.
A stock which have more than 3 to 5% increase
ment or drop for the day can show some reversal
movement next day, which can be also a good
time to enter in market, But here I am only talking
about the larger company stocks, you can
neglect the penny stocks from my comment.
Furthermore I will suggest trader's to gain some
experience about it and spend some time in live
market, I know that most of you have experinece
and have a long trading year's in stock market
business so you can understand it very well that
when there is a movement and when there is not
a good movement, but if you have still some doubts
about it then start to analyze the market from today,
and watch when good movement is there in market, I
am sure that my above words would not be wrong about
the movement.
11.When to avoid the trading in stock market?
There is no doubt in that Stock market is a life
time business and we can participate in the
market five days in a week. But this is also
essential to know that we can't do trade all the
time, there is a time in market when we have to
just keep patience and have to just follow
the theory of watch and sit only.Lest
start to discuss about those scenarios
when we have to avoid the trading in stock
market. They are as follows:
1.Fundamental News:So many trader's don't
know about the fundamentals impacts, those
can be so much quicker some time and can
move the market within a very long way, as
far I know there is no correct analysis which
can be fully effective all the time on fundamental
events and that's why we have seen that trader's
start to work with Buy stop and Sell stop trading
method on news trading. But if you are a intraday
trader then better to wait for a while after the news
announcement, we can just wait for the right time,
means to say that when the high impact is already
finished then we can start to open our orders in
market, that's why I always take rest for 10 to 15
minutes when a new release in market.
2.Sideways Market:There are so many trader's who
love to follow the trend in short term time frames
but this is a market which can create so much
problem for then when they are following the trend
in short term time frames, this is mine problem also
I can't do much better trading when a sideways
market scenario is coming in front of me. I will
recommend trader's to use the technical analysis
during this time and always pay attention on
moving average indicator, because it can also
give you a very good idea about the trend market
and sideways market pattern.
3.All time high and Low breakout:This is a market
of stocks which can be called a uncertain market,
as we know that market is uncertain and some
market can cross the all time high and lower points
on charts, According to me most of time we read
that technical analysis is best to follow but in this
conditions its hard to say that which kind of result
we will get from the technical analysis, because
we are facing the first time this scene in the market
and can't say anything about the technical analysis
because there is no past to check this kind of pattern
on chart.
4.Continue Losses:Keeping patience and rest will be
also beneficial when a trader have continue losses
in account, so many time this happened to me too
but now I always close down my trades for the day
when I have 2 to 3% loss in my account. I think
this is one of the best method to control our psycho
-logy in forex market. When a trader is continue
losing then the emotion can force him to go against
the trading rules and he or she starts to work
with a revenge trading method, which is actually
not the right style of trading. But keeping ourself
away after the losses for a while will give us
a fresh mindset and planning again later to do
trade in stock market.
5.Psychology Control:Here I wand to add one more
thing that is the control of psychological aspects
in stock market. As I have discussed in earlier
post that emotion is very dangerous for trader and
it can burn our trading account very quickly if we don't
have a proper solution of its control. The main problem
is that emotion can lead to so many mistakes and
problems like greed, fear,aggresive trading, ignorance
of trading rules, etc. It can make trader blind and
make him or her worst any time here.So according
to me when we doing trading in stock market then
its important to know that we have a good control
on our emotions or not, and if we don't have than
better to forget about the earning first, and first
we should start to know and learn that how can
we control our trading psychogy in stock market.
12.How to Become a Successful Trader?
Well There is no proper answer for this
that how to become a successful trader
in stock market, but according to my
experience its depend upon our experience,
learning, practice, correction, dedication which
can make us successful trader in forex. There
are so many imporatnt factors upon which this
totally depend upon that which kind of trader
we are right now in this business. Some of them
I have already discussed above. But the main
point could be the understanding of the market.
Frankly speaking in first 4,5 years I have a very
bad experience in my life and I was feeling that
I was one of the bad trader on this earth, but
when I have started to learn things correctly
then I come to know that trading can become
easy for me if I have couple of good things in
my trading. Now I would like to discuss those
points with you they are as follows:
1.Trading Mindset:Or I can say that the
psychology control. This is really very
important to adopt the right psychology
in our business. You all can search about
it and read everywhere on the net that 80%
success come from the control of our
mindset. Shocked?
Yeah this is really true that if a trader
good trading mindset it mean he or she
have grabbed that 70% success already
in this business.Because by controlling
our psychology there will be no problem
of wrong management, fear, greed,
emotions etc in our trading.
2.Good management:A good use of risk
managemenr and money management are
also so much important to maintain a good
level of accuracy of earnings in our trading
account. You can see that when we don't
have the right management then most of
time risk can go higher and 99% of time
we have losses in account. But a good
management can lead to the margin money
and it can reduce the big loss in account
3.Strategy:Here is the last thing Our trading
strategy, 20% success is also depend upon
our trading strategy if we don't have a good
trading strategy then so many things can go
wrong. Like wrong entry and exit points, wrong
trading analysis, Regular losses and higher
drawdown etc. Using a good trading strategy
is really important to make a good use of
trading patterns in stock market.
Now this is the time TO Share my Personal
trading strategy with all of you.Actually
these trading strategies are suitable for
all kind of trading sectors and platforms
you can use them in big stocks, penny stocks
forex trading market etc. I am sure
that most of you don't have any idea of these
strartegies because they are the hidden
ones and only a few percentage of traders
know about these strategies.I am working
with some of these strategies and getting
good success rate in my trading account
so far, last 2,3 year's I have a good consis
-tent gains in my account from these
strategies. Lets start to discuss some
of them.






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