iCharts Discussions

[newinvestor]

Hi,

I have been watching how to make the trades , and find that the EMA strategies are effective and profitable.

However, if one misses the initial entry signal or wants to re-enter after profit booking, entry on pullback to 20 EMA or 50 EMA looks safe ( NIFTY as well as most stocks have been bouncing back from 20 or 50 line ).

Can I have opinions from other forumers on when to enter? If one places an order near the 20 EMA , and the price keeps going down , it is a problem.

If one keeps too low an entry trigger, and the price bounces back from above, the chance is lost.

Can we discuss how difefrent forumers approach the question of when to enter a pullback trade?

Some strategies that come to mind are are as follows ( no back testing done).

Feedback and suggestions welcome.

1. After the price starts falling from a high towards the 20 or 50 EMA, keep putting buy orders above the previous day's high.
2. After the price starts falling, enter after 2 consecutive daily green candles appear , provided that each closing is above that of the previos day.
3. Set an EMA crossover as the entry trigger. CMP crossing 5 EMA or 8 EMA , or 3 EMA crossing 8 EMA. More suggestions / options welcome.