How the Trading is done using Support and Resistance levels
Please refer following document carefully and trade accordingly.
Please Note -
1. We strongly advice to do paper trading before start trading with your actual money.
2. Due to market uncertainty and volatility and also as markets are highly influenced by lots of external factors it is strongly advised to book profits wherever applicable or take stop loss and come out of trade if you are not sure about trade.
3. We does not provide any guarantee that following parameters and factors will work in all market conditions and will achieve targets so we advice to do paper trading practice and gain experience and market knowledge before actual start trading with money.
4. New comers to share market and day trading should take very precaution and should not start with day trading directly.
Following strategy applies only for day trading (intraday trading)
There are four ways
1) If stock opens between R3 and S3
To Buy - Wait for the price to go below S3 and then when it moves back above S3 then Buy.
Stoploss - Place Slightly below S4 level.
Target - See below this article to know how to set the target and book profit.
To Short Sell - Wait for the price to go above R3 and then when the price moves down below R3 then Short Sell.
Stoploss - Place Slightly above R4.
Target - See below this article to know how to set the target and book profit.
2) If stock opens between R3 and R4
To Buy - When price moves above R4 then Buy.
Stoploss - Place Slightly below R3.
Target - See below this article to know how to set the target and book profit.
To Short Sell - When the price goes below R3 then Sell.
Stopless - Place Slightly above R4.
Target - See below this article - to know how to set the target and book profit.
3) If stock opens between S3 and S4
To Buy - When price moves above S3 then Buy.
Stoploss - Place slightly below S4.
Target - See below this article - to know how to set the target and book profit.
To Short Sell - When the price goes below S4 then Sell.
Stoploss - Place slightly above S3.
Target - See below this article - to know how to set the target and book profit.
4) Open price is outside the R4 and S4
Wait for the prices to come in range and trade accordingly as mentioned in above scenarios.
Now lets see the Target calculation
According our strategy we advice our traders to book low profits and do multiple traders because markets are uncertain and beyond anybody’s control.
So if the stock price is till Rs100, trader can take 0.5 paise as profit per stock.
• If the Stock price is between Rs 100 to Rs 200, trader can take profit of 0.8 paisa to Rs 1.0.
• If the stock price is between Rs 200 to Rs 300, trader can take profit of Rs 1.0 to Rs 1.5
• If the stock price is between Rs 300 to 400 , trader can take profit of Rs 1.5 to Rs 2.0
• If the stock price is between Rs 400 to 500 , trader can take profit of Rs 2.0 to Rs 2.5
• If the stock price is between Rs 500 to 600 , trader can take profit of Rs 2.5 to Rs 3.0
• If the stock price is between Rs 600 to 700 , trader can take profit of Rs 3.0 to Rs 3.5
• If the stock price is between Rs 700 to 800 , trader can take profit of Rs 3.5 to Rs 4.0
so on it continues…..
Please note - Basically traders think this is very small profit but in day trading if you want to get success then this type of booking profits assures you good returns at the end of the day.
To know how much profit can be generated using this technique please visit below link and you will be surprised to see the profits.
We call this strategy as “Take small profits and do multiple trades”.
Your Trading Place
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