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how to make 60 crores in 5 years with 20000 investment |
vinst Black Belt
Joined: 09 Jan 2007 Posts: 3303
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Post: #91 Posted: Thu Jul 07, 2011 12:41 pm Post subject: |
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pipstocks wrote: | Hello vinstsir,
Plz elaborate that how did u find loss of 600 point till june 2007???
NF Charts with 8/34 ema from 1 jan 2007 to june 2007 shows profit of around 300 points. Plz check n confirm.One can use ema 3 or ema 5 instead of ema 8 which helps us to get exit with minor loss (very near to entry level) during whipsaws. |
hi pipstocks,
Thanks for posting the chart. I'll post my results in evening.
regards
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ongc123 White Belt
Joined: 02 Dec 2010 Posts: 75
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Post: #92 Posted: Thu Jul 07, 2011 5:17 pm Post subject: |
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shukra wrote: | May be a good idea to ask the one who started this string. He must show how to achieve it.
Simply writing off an idea because it is not easy to conceive it is premeture act. | ..... hi alll....i use this stregty 10 days back in NF i bought at 5549 date 28-6-2011... and rite now nf traded at 5740.. and i part book today ... i use this 34EMA WITH 3EMA CROSS OVER.... i just change to ema 8 to 3EMA AVG...THANXS
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Rahulsharmaat Black Belt
Joined: 04 Nov 2009 Posts: 2766
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Post: #93 Posted: Thu Jul 07, 2011 5:37 pm Post subject: |
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Problem is not the Buy or short--- that we do above 34 EMa or below 34 Ema--
But what macanism to book it--- because now long at 5549--- it may go to 6000-- n then give exit at 5650-- so majot portion of gain is gone
Example : 25 march -- long at 5583--- high was after that 6000-- but exit at 5700-- so 300 point oppertunity gone
short at 5700--low 5330-- but exit at 5600-- as candle closed above 34 ema-- again 300 point oppertunity gone---
Long at 5600--exit at 5523--- short at 5523-- went to 5180---- but again exit at 5549-- again 370 point oppertunity loss---
how to control these
in 3 months it gave 420 point gain and this long giving 200 more, But oppertunity loss is almost 970 points --thats too much--
we need something to control this
we can exit at close below 3--8 ema--- and long above that --
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ongc123 White Belt
Joined: 02 Dec 2010 Posts: 75
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Post: #94 Posted: Thu Jul 07, 2011 5:51 pm Post subject: |
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Rahulsharmaat wrote: | Problem is not the Buy or short--- that we do above 34 EMa or below 34 Ema--
But what macanism to book it--- because now long at 5549--- it may go to 6000-- n then give exit at 5650-- so majot portion of gain is gone
Example : 25 march -- long at 5583--- high was after that 6000-- but exit at 5700-- so 300 point oppertunity gone
short at 5700--low 5330-- but exit at 5600-- as candle closed above 34 ema-- again 300 point oppertunity gone---
Long at 5600--exit at 5523--- short at 5523-- went to 5180---- but again exit at 5549-- again 370 point oppertunity loss---
how to control these
in 3 months it gave 420 point gain and this long giving 200 more, But oppertunity loss is almost 970 points --thats too much--
we need something to control this
we can exit at close below 3--8 ema--- and long above that -- | rahul bhai... i back test from feb 2006 to 2011 june.. i found there is so many gain point but stop put not givan that point that we show dureing the months of time...so control is must...i mark eg... first u take NF 4 LOT...1 BOOK AT 200 POINT 2 BOOK AT 400 3 BOOK AT 600-750 POINT AND FINAL LOT BOOK AT 1000 POINT SO i think its work v well as par my view and back testing also...
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Rahulsharmaat Black Belt
Joined: 04 Nov 2009 Posts: 2766
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Post: #95 Posted: Thu Jul 07, 2011 6:22 pm Post subject: |
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i have tested 34 EMA-- high-- close n low-- Set on daily-- along with 3 EMA also-- when 3 ema cross 34 high-- Buy--- and sell when it cross 34 Ema low--- Results are good---
now one more thing --- i will test in it today and post here-- Suppose took a position at 3 em,a cross 34 ema high-- at 5550-- will hold it -- till it falls 100 points from any level after long--- will book longs-- n wait--- same if short at 5500--- will book longs when 100 point rally comes from any low point--- so let me test it and will try to post date wise trades with this statergy in excel here soon
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vinst Black Belt
Joined: 09 Jan 2007 Posts: 3303
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Post: #96 Posted: Thu Jul 07, 2011 6:42 pm Post subject: |
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Rahulsharmaat wrote: | i have tested 34 EMA-- high-- close n low-- Set on daily-- along with 3 EMA also-- when 3 ema cross 34 high-- Buy--- and sell when it cross 34 Ema low--- Results are good---
now one more thing --- i will test in it today and post here-- Suppose took a position at 3 em,a cross 34 ema high-- at 5550-- will hold it -- till it falls 100 points from any level after long--- will book longs-- n wait--- same if short at 5500--- will book longs when 100 point rally comes from any low point--- so let me test it and will try to post date wise trades with this statergy in excel here soon |
100 points look acceptable when NF is 5500. it won't remain suitable when NF drops to 4000 or goes to 7000. this is the whole problem with profit-booking ideas. On the other hand, remaining with 34-8 ema, too much gains are wasted and slip away. Many times, one close below 8ema, so out of position (long). next day above 8ema, again take position. such occurences are also many.
I am posting my results from feb 2007 to Sept-2008 as excel file. see that till Aug-2007, there was continuous loss, then profits started accruing and getting retained.
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Last edited by vinst on Thu Jul 07, 2011 6:59 pm; edited 1 time in total |
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Rahulsharmaat Black Belt
Joined: 04 Nov 2009 Posts: 2766
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Post: #97 Posted: Thu Jul 07, 2011 6:54 pm Post subject: |
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my idea is it should be 2% on n average-- drop of 2 % -- book longs-- same rally of 2 % book shorts
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Rahulsharmaat Black Belt
Joined: 04 Nov 2009 Posts: 2766
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Post: #98 Posted: Thu Jul 07, 2011 7:03 pm Post subject: |
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from jan 2007--till jan 2008--- gain was almost NIL
wont that lead to frurstation-- because after that massive fallor big rallies gave mail gain-- so we need some thing which works in normal amrket also
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vinst Black Belt
Joined: 09 Jan 2007 Posts: 3303
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Post: #99 Posted: Thu Jul 07, 2011 7:09 pm Post subject: |
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Rahulsharmaat wrote: | from jan 2007--till jan 2008--- gain was almost NIL
wont that lead to frurstation-- because after that massive fallor big rallies gave mail gain-- so we need some thing which works in normal amrket also |
normal strategy of crossover won't work in normal (ranging) mkt. so we need 'abnormal' strategy !
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ronypan White Belt
Joined: 07 Aug 2010 Posts: 197
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Post: #100 Posted: Thu Jul 07, 2011 7:34 pm Post subject: |
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So, What can be done, What is the solution?
Rahulsharmaat wrote: | from jan 2007--till jan 2008--- gain was almost NIL
wont that lead to frurstation-- because after that massive fallor big rallies gave mail gain-- so we need some thing which works in normal amrket also |
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grizzlybull White Belt
Joined: 26 Sep 2010 Posts: 80
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Post: #101 Posted: Thu Jul 07, 2011 7:49 pm Post subject: |
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zritesh wrote: | This strategy make sense. If you will follow this,i don know about crores but you will make handsome profit. Just few things which i have added from my side:
*Use stoch with this strategy. when price crosses 34 ema just check if stoch is overbought or not.if its overbought then avoid the crossover as it can come back below 34 next day or two.90% time you will be on the right side of the market.
*For swing you can add 8 ema. After pullback from up or down either you can use 8 ema cross or stoch to see whether its a valid swing.But if you will fix your target on the both side either 300 points or may be 400.most of the times you will hit your target after cross over(it depends whether you want to drive your profit longer or you want to fix.)
This is what i am doing(but just from past 6 months both in nifty and commo)Experts opinion is welcomed
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how r your profits?
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grizzlybull White Belt
Joined: 26 Sep 2010 Posts: 80
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Post: #102 Posted: Thu Jul 07, 2011 7:56 pm Post subject: |
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pipstocks wrote: | Hello vinstsir,
Plz elaborate that how did u find loss of 600 point till june 2007???
NF Charts with 8/34 ema from 1 jan 2007 to june 2007 shows profit of around 300 points. Plz check n confirm.One can use ema 3 or ema 5 instead of ema 8 which helps us to get exit with minor loss (very near to entry level) during whipsaws. |
i think you're using a simple crossover strategy, buy when 8 goes above 34, short when 8 goes below it, simple go with the momentum strategy, which will work AMAZINGLY in such trending markets.. the only losses tht ocurred was after the decline of 2008 when it started making a base.. obviously you should use a long term indicator like 100- 150 day EMA, to avoid the crossover strategy.
if someone traded minifty for 5 years using a crossover strategy with good loss control, he would porbably be able to retire.. but here's the catch - DO YOU HAVE THE GUTS TO PUT YOUR WHOLE CAPITAL BACK IN THE FUTURES MARKET ONCE IT CROSSES EVEN 4 LAKHS? (note: this was not shouting, this was for emphasis)
example, once the 20,000 bvecomes 3,8 lakhs and then 7 - 10 lakhs, noone will have the courage to actually put 10 lakhs , make it 30, then 70, then 2.1 crores then 28 crores, then 45 crores etc. so this will probably be a permanent castle in the clouds.
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vinay28 Black Belt
Joined: 24 Dec 2010 Posts: 11748
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Post: #103 Posted: Thu Jul 07, 2011 7:58 pm Post subject: |
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Well said
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grizzlybull White Belt
Joined: 26 Sep 2010 Posts: 80
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Post: #104 Posted: Thu Jul 07, 2011 8:02 pm Post subject: |
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vinst wrote: | Rahulsharmaat wrote: | from jan 2007--till jan 2008--- gain was almost NIL
wont that lead to frurstation-- because after that massive fallor big rallies gave mail gain-- so we need some thing which works in normal amrket also |
normal strategy of crossover won't work in normal (ranging) mkt. so we need 'abnormal' strategy ! |
a rational decision would be to completely avoid a ranging market, unless you like using oscillators, but that didnt work too well during the flat market after the recession
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Rahulsharmaat Black Belt
Joined: 04 Nov 2009 Posts: 2766
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Post: #105 Posted: Thu Jul 07, 2011 10:08 pm Post subject: |
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i calculated it-- place 34 ema high--- low -- close on chart
1] Buy when rate close above 34 ema high and 3 ema cross 34 high
2} book when price retrace 100 points from high-- or 100 points from low in case of shorts
3} if after exit-- price close in band-- and then close above 34 high-- go long-- same with short --after exit-- if price close in band--and then close below 34 ema low-- short
calculated 5000 net points in 48 months
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