august 2019 is a notable month. My little niece was born and i travelled to USA to be with my sister and her husband and my little niece Anaya!
Also August 14th 2019,I have also tweaked my strategy. The basic reason is that i was entering late. So new strategy is Trading at horizontal lines. I got this idea from reading Naresh Nambisan at this article.
Now is this buying low and selling high? It seems he is just risking a lot by trying to catch falling knives. for example in the “method how and why” on point 4 it surely says “Buy at the top sell at the bottom “. Yes i was not precise in this tag line. I should have been more precise. the paragraph following the tagline says – Buying at the beginning of the trend or thereabout indicates that. So i am changing that to – “Buying in strength and selling in strength” No this is also not precise
So what am i going to do – last few months of observations i have seen – Buying at the demand zone – or where prices have stabilized after a run down or down trend. Selling at supply zone after the prices have stabilized after a run up or up trend.
big picture above in the daily chart – a 800 points up swing from august 6th low to Sept 12th high.
Sept 5th was a bench mark candle +135 points shoots up the 50 days SMA (simple moving average). Closes (7874) up almost 100 points above the 50 Days SMA (7783). High of 7904. Then next 3 days goes down 200 points to a low !! again it goes up Hit 8000 and then goes down 200 points to a low in 2 days!
again on Sept 20th a strong red candle 87 points down. Yesterday Sept 23rd 2019 does not even hit 7900
You can see in the above chart – three times it tested 7900 and it failed down.
9/22 4 pm it tested
11 4 hours candles or 88 half hour candles and it could not go past 7900.
So short at 7900 for about 150 points profit.
happy trading !