iCharts Discussions

[sathya999]

holy grail

was reading this on another blog.
The holy grail is not traingle breakout, head and shoulders etc.. but it is the first pullback.
Hmm so lets take an intra timeframe, a daily timeframe, 2/3 stocks/indices and see how they develop over period of time.
Rules
Pullback defined by CCI(3) (ST idea) oversold in uptrend, overbought in downtrend. I have seen RSI(2) also being used for defining oversold/overbought. Or CCI(7) for daily CCI(3) for intra
Pullback is taken when price is still above/below our reference ema. For example uptrend pullback should stop above 34 ema.
Once you get pullback, wait for a candle close beyond the oversold/overbought candle.
SL will be overbought/oversold candle close as appropriate according to the uptrend/downtrend.

I am curios to see possible interpretations of this chart..... i.e. ur views on this chart.Keeping in mind the above narrative.

[radheradhe]

gajab kya modified kiya system ko lago raho bhai...kewl

[sathya999]

Tomorow we could get Red close below 34 ema. So we can enter short according to this stratergy. (I have pasted the chart)

TSL then will be close in green above 34 ema.

[sherbaaz]

Hi Sathya,

For pullback u can use 3 ll or 2ll+id(in an uptrend and vice versa) also in and uptrend and trend can be defined in 2 ways one by slope of 20 ema (or any other) or with the help of +dmi and -dmi.

also if u put adx>=30 during a pullback, will give u good results. as then the strength of the trend would be very strong.

Regards,