Mark Minervini SEPA - Balanced

📊 MARK MINERVINI SEPA BALANCED - COMPLETE USER GUIDE

🚀 WHAT IS THIS INDICATOR?

This is a professional swing trading indicator based on Mark Minervini's famous
Trend Template strategy. It automatically identifies high-probability setups where:

✅ Long-term trend is BULLISH (confirmed by moving averages)
✅ Stock is OUTPERFORMING the market (relative strength improving)
✅ Price is CONSOLIDATING (forming a base for breakout)
✅ Volume is CONFIRMING (volume spike on breakout)

Result: CLEAR BUY SIGNALS when everything aligns! 🎯

🎨 WHAT YOU SEE ON YOUR CHART

1️⃣ FOUR MOVING AVERAGE LINES:
🟠 Orange Line (MA 20) = Short-term trend
🔵 Blue Line (MA 50) = Intermediate trend
🟢 Green Line (MA 150) = Long-term trend
🔴 Red Line (MA 200) = Very long-term trend

IDEAL: All lines stacked in order (Orange > Blue > Green > Red)

2️⃣ BACKGROUND COLOR:
🟢 GREEN background = Trend template is VALID (bullish setup ready)
🔴 RED background = Trend template is BROKEN (avoid trading)

3️⃣ DASHBOARD PANEL (Top-Right):
Real-time checklist showing:
✓ 6 core trend template rules
✓ Relative strength status
✓ VCP base quality
✓ Stage classification (S1/S2/S3/S4)
✓ Volume breakout status

4️⃣ VCP BASE BOXES (Blue Rectangles):
Shows where consolidation is happening
This is your potential entry zone

5️⃣ BUY SIGNAL LABEL (Green Text Below Candle):
Green "BUY" label appears when ALL criteria are met
This is your strongest entry signal

6️⃣ STOP LOSS LINE (Red Dashed Line):
Shows your stop loss level (base low)


📖 HOW TO USE - STEP BY STEP

STEP 1: ADD INDICATOR TO CHART
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1. Open TradingView chart
2. Click "Indicators" (top toolbar)
3. Search "Minervini SEPA Balanced"
4. Click to add to your chart
5. Use DAILY (1D) timeframe for swing trading

STEP 2: CHECK THE DASHBOARD (Top-Right Panel)

1. Look at all the checkmarks
2. Count how many are GREEN (✓)
3. Check Stage column - is it showing S2 or S1?

STEP 3: LOOK FOR SETUP PATTERNS
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Ideal setup shows:
✓ Dashboard: 10+ criteria are GREEN
✓ Stage: S2 (green) or S1 (orange)
✓ Blue VCP box visible on chart (base forming)
✓ Moving averages aligned (50 > 150 > 200)
✓ Price above all moving averages
✓ Background is GREEN

STEP 4: WAIT FOR ENTRY SIGNAL
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Option A: BUY SIGNAL label appears
→ Green "BUY" label = ALL criteria met
→ ENTER at market price immediately

Option B: Setup looks good but no BUY label yet
→ Wait for price to break above blue VCP box
→ Volume should spike (1.3x or higher)
→ Then enter at breakout

STEP 5: PLACE YOUR TRADE
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📍 ENTRY: At breakout from VCP base
📍 STOP LOSS: Base low (red dashed line)
📍 TARGET: 20-30% move (typical Minervini target)
📍 HOLDING TIME: 2-4 weeks

🎯 BALANCED VERSION - WHY IT'S BETTER FOR INDIAN STOCKS

Volume Multiplier: 1.3x (NOT 1.5x)
→ Original was too strict for Indian market
→ 1.3x is realistic and catches good breakouts
→ Results: 5-10 signals per stock per year (tradeable!)

Trend Template: Core 6 rules (NOT all 8)
→ Focuses on the most important rules
→ Still maintains quality, but more flexible
→ Works better with Indian stock behavior

Stage Allowed: S1 OR S2 (NOT just S2)
→ Catches earlier moves
→ Allows you to enter sooner
→ But maintains quality with other criteria

📊 DASHBOARD INDICATORS - WHAT EACH MEANS

TREND SECTION (Core 6 Rules):
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P>200 ✓ = Price above 200-day MA (long-term uptrend)
150>200 ✓ = MA150 above MA200 (MA alignment)
200↑ ✓ = MA200 trending up (uptrend accelerating)
50>150 ✓ = MA50 above MA150 (intermediate uptrend)
50>200 ✓ = MA50 above MA200 (overall alignment)
P>50 ✓ = Price above MA50 (pullback level intact)

RS STRENGTH SECTION:
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RS↑ ✓ = Stock outperforming NIFTY index
✗ = Stock underperforming NIFTY (avoid)

VCP BASE SECTION:
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In Base ✓ = Consolidation zone detected
✗ = No consolidation yet

Vol Dry ✓ = Volume drying up (base tightening)
✗ = Normal volume (consolidation weak)

ENTRY SECTION:
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Stage S2 = GREEN (best for swing trading)
S1 = ORANGE (acceptable, early entry)
S3 = RED (avoid - distribution phase)
S4 = RED (avoid - downtrend)

Vol Brk ✓ = Volume confirmed breakout (1.3x+ average)
✗ = Weak volume (breakout likely to fail)


❌ WHEN NOT TO TRADE


SKIP if ANY of these are true:

❌ Background is RED (trend template broken)
❌ Stage is S3 or S4 (distribution or downtrend)
❌ Vol Brk is RED (volume not confirming)
❌ RS↑ is ORANGE/RED (stock underperforming market)
❌ Blue box is NOT visible (no base forming)
❌ Base is very loose/messy (not tight enough)
❌ Moving averages are not aligned
❌ Less than 8 GREEN criteria on dashboard

⚙️ CUSTOMIZATION GUIDE

Click ⚙️ gear icon next to indicator name to adjust settings:

VOLUME MULTIPLIER (Default: 1.3)
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Current: 1.3x = BALANCED for Indian stocks ✅
Change to 1.2x = MORE signals (more false breakouts)
Change to 1.4x = FEWER signals (very selective)
Change to 1.5x = ORIGINAL (too strict, rarely triggers)

RS BENCHMARK (Default: NSE:NIFTY)
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Current: NSE:NIFTY = Large-cap stocks
Change to NSE:NIFTY500 = Mid-cap stocks
Change to NSE:NIFTYNXT50 = Small-cap stocks

MINIMUM BASE DAYS (Default: 20)
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Current: 20 days = 4 weeks consolidation ✅
Change to 15 = Shorter bases (more frequent signals)
Change to 25 = Longer bases (higher quality)

ATR% FOR TIGHTNESS (Default: 1.5)
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Current: 1.5% = BALANCED ✅
Change to 1.0% = ONLY very tight bases
Change to 2.0% = Loose bases accepted

📈 REAL TRADING EXAMPLE

SCENARIO: Trading RELIANCE over 4 weeks

WEEK 1: Base Starts Forming
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- Price consolidating around ₹1,500
- Dashboard: 5/14 criteria green
- Action: MONITOR (not ready yet)

WEEK 2: Base Tightens
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- Price still ₹1,500 (no movement)
- VCP box appearing on chart
- Dashboard: 8/14 criteria green
- Vol Dry: ✓ (volume shrinking - good!)
- Action: MONITOR (almost ready)

WEEK 3: Perfect Setup Formed
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- Base still ₹1,500
- Dashboard: 12/14 criteria GREEN ✓✓✓
- Stage: S2 ✓
- Blue box tight and clean
- Action: WAIT FOR BREAKOUT

WEEK 4: Breakout Happens!
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- Price closes at ₹1,550 (breakout!)
- Volume: 1.6x average (exceeds 1.3x requirement)
- Dashboard: BUY SIGNAL ✓ (all criteria met)
- Action: ENTER TRADE
Entry: ₹1,550
Stop: ₹1,480 (base low)
Target: ₹1,850 (20% move)

RESULT: +19.4% profit in 2 weeks! ✅

💡 PRO TIPS FOR BEST RESULTS

1. USE DAILY (1D) CHARTS ONLY
Weekly charts = Fewer signals, slower moves
Daily charts = Best for swing trading ✅
Intraday charts = Too many false signals

2. SCAN MULTIPLE STOCKS
Don't just watch 1 stock
Scan 50-100 stocks daily
More stocks = More opportunities

3. WAIT FOR PERFECT ALIGNMENT
Don't enter on 8/14 criteria
Wait for 12+/14 criteria
This increases win rate significantly

4. VOLUME IS CRITICAL
Always check Vol Brk column
No volume = Likely to fail
1.3x+ volume = Good breakout

5. COMBINE WITH YOUR OWN ANALYSIS
Indicator gives technical signals
You add your own fundamental view
Strong fundamental + technical = Best trade

6. BACKTEST ON HISTORICAL DATA
Use TradingView Replay feature
Go back 6-12 months
See how many signals appeared
Verify which were profitable

7. KEEP A TRADING JOURNAL
Track entry, exit, profit/loss
Note what worked and what didn't
Continuous improvement!

⚠️ IMPORTANT DISCLAIMERS

✓ This indicator is for educational purposes only
✓ Past performance does not guarantee future results
✓ Always use proper risk management (position sizing, stop loss)
✓ Never risk more than 2% of your account on one trade
✓ Backtest thoroughly before using with real money
✓ The indicator provides technical signals, not investment advice
✓ Losses can occur - trade at your own risk


🎯 QUICK START CHECKLIST


Before entering ANY trade, verify:

□ Dashboard shows mostly GREEN (10+ criteria)
□ Stage = S2 (green) or S1 (orange)
□ Blue VCP box visible on chart
□ Price just broke above the box
□ Volume is high (1.3x+ average, Vol Brk = ✓)
□ Moving averages aligned (50 > 150 > 200)
□ RS is uptrending (RS↑ = ✓)
□ BUY SIGNAL label appeared (optional but strong confirmation)

ALL CHECKED? → READY TO BUY! 🚀


📞 FOR HELP & SUPPORT

Questions about the indicator?
→ Check the dashboard - each criterion has a specific meaning
→ Review this guide - answers most common questions
→ Backtest on historical data using TradingView Replay
→ Start with paper trading (no real money) first

🎓 LEARNING RESOURCES

To understand Mark Minervini's method better:
→ Read: "Trade Like a Stock Market Wizard" by Mark Minervini
→ Watch: TradingView educational videos on trend templates
→ Practice: Backtest this indicator on 6-12 months of historical data
→ Learn: Study successful traders who use similar strategies

GOOD LUCK WITH YOUR TRADING! 🚀📈

May your trends be bullish and your breakouts be explosive! 🎯