HEMANT PARIKH
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TRADING SYSTEM UPDATE FOR 29-11-2013 ( HEMANT )

Hemant Parikh at 09:45 PM - Nov 28, 2013 ( ) Views: 672

5 5

 

 
***FIVE AVERAGES---
---The system uses five averages:   
  • 3 day close average (3 SMA),
  • 3 day  high average ( 3 HMA),
  • 3 day low average. (3LMA),
  • 8 day close average. ( 8 SMA),
  • 34 day close average (34 SMA)
 
***CALL GENERATION---
---Initiate long when the close is above 3 day high average (3 HMA) and 3 day close average (3 SMA) crosses above 8 day close average (8 SMA). (Stop loss 3 day low average)
--- Initiate short when the close is below 3 day low average (3 LMA) and 3 day close average (3 SMA) crosses below 8 day close average (8 SMA). (Stop loss 3 day high average)
 
****SCORING SYSTEM ----
1)      When 8 SMA > 34 SMA then the Trend is UP (score +1)
2)      When 8 SMA < 34 SMA then the Trend is DOWN ( score -1)
3)      When 3 SMA > 8 SMA then the Bias is UP (score +2)
4)      When 3 SMA < 8 SMA then the Bias is DOWN ( score -2)
5)      When Closing is above 3 HMA then Momentum is UP ( score +1)
6)      When Closing is below 3 LMA then Momentum is DOWN ( score -1)
7)      When Closing is in between 3 LMA and 3 HMA then Momentum is NEUTRAL( score 0)
 
****IMPORTANT POINTS----
1)      All averages are simple moving averages.
2)      Stop loss works on closing basis.
3)      Use scoring system for trade quantity.
·        Trade four lots when score is +4 or -4
·        Trade three lots when score is +3 or -3,
·        Trade two lots when score is +2 or -2
·        And trade one lot when score is +1 or -1.
4)      Always remember that trading system works best in trending market (When ADX is rising ) and give poor returns in trading range market (When ADX is falling ).

 

SOURCES : DR. JIGNESH SHAH


(1 to 4 out of 4) - Latest Replies on Top | First | << Previous | Next >> | Last |
Raghavendra Char at 11:03 PM - Nov 28, 2013 ( )

Oh, sorry it is Dr Jignesh Shah's views. I know you are bullish on Reliance. Thanks for clarification, Hemant ji.

Hemant Parikh at 10:55 PM - Nov 28, 2013 ( )

DEAR Raghavendra Char JI ,

THIS IS NOT MY TRADING SYSTEM..

I M LONG IN CASH AS PER MY LEVEL & TGT...

Raghavendra Char at 10:36 PM - Nov 28, 2013 ( )

Hemant ji,

If I am correct you are Long in Reliance, but as per the above it is a short with 3 lots. Are you reversing the trade Hemantji?

Ke Mi at 10:22 PM - Nov 28, 2013 ( )

HEMANT SIR, UR POSTS ARE SIMPLY AMAZING. THANK YOU SIR

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