Swing Trading using SMA

13 thg 4, 2021

Indicator - Simple Moving Average with length 34 days and source close price
Once plotted, we have to identify an alert candle

Characteristic of an alert candle are

1) It touches the SMA
2) Close Price is greater than SMA Value
3) Low Price is lower than SMA Value
4) Close Price is greater than SMA Value (green candle)

Also note that the stock is in uptrend - Minimum 10 previous candles formed above SMA line
Entry - Buy at High of Alert Candle
Exit
Stop Loss - Lowest of the Low ( Lowest price in past 3 days)
R = Entry - Stop Loss

Target 1 ( 50% ) - 1:1 i.e., Buy Price + R
Target 2 ( 50%) - 1:3 i.e, Buy Price + 3R
Once Target 1 is achieved move SL to Buy Price

14 thg 4, 2021

Ghi chú

Stock : NMDC

Date: 26th March- Alert Candle Formed
Entry@128.80
SL 122
R = 6.8
Target 1 - 135.6 ( achieved)
Target 2 - 149.2 ( not achieved) - Exit 50% shares at 135.4 (improvisation after 2R, moved the SL to last day Closing Price )

16 thg 4, 2021

Đóng lệnh: đạt mục tiêu

Target Reached for 2nd position.
Entry @140.25
Exit @145.10