iCharts Discussions

[Gemini]

Sincere thanks, Chirag, for posting this approach and explaining , step by step , on creation of worksheet which can be maintained on one’s own computer.
My learning from the discussions are summarised as below:
1. BB values are calculated using closing value of the stock / index. Column G indicates width of the BB.
2. I personally, have decided to use BB width as key indicator. When the value drops below, 100 (for Nifty), I shall be watchful as breakout is expected very soon now. I shall be even more watchful when value drops below 90.
3. Now, I shall watch the level at around 3 pm to understand if the level is below (the previous days) BB-Low or level is above (previous days) BB-H .
4. If it is above BB-H,
a. it indicates upward breakout. I shall buy small qty and carry the position. I shall note down the value of BB-Middle line for that day.(say, this happens on Tuesday)
b. Next day (Wed) , I shall keep the SL as previous days BB-M (Tuesdays BB-M). If breakout is confirmed, I can add a few more qty. at around 3 pm.
c. If nothing happens, I shall carry forward
d. Once again, I shall keep the SL as previous days BB-M (Wednesday ‘s value)
e. And so on and so forth.
f. To improve my returns, I can keep the daily target (say 10 points) and keep on adjusting my SL to ensure that even if I am stopped out, I get my total points from that trade (say, if trade is carried forward for 3 days, on fourth day, I shall target to get at least 40 points through TSL
5. If it is below BB-L,
a. it indicates downward breakout. I shall shall small qty and carry the position. I shall note down the value of BB-Middle line for that day.(say, this happens on Tuesday)
b. Next day (Wed) , I shall keep the SL as previous days BB-M (Tuesdays BB-M) ). If breakout is confirmed, I can add a few more qty. at around 3 pm.
c. If nothing happens, I shall carry forward
d. Once again, I shall keep the SL as previous days BB-M (Wednesday ‘s value)
e. And so on and so forth.
f. To improve my returns, I can keep the daily target (say 10 points) and keep on adjusting my SL to ensure that even if I am stopped out, I get my total points from that trade (say, if trade is carried forward for 3 days, on fourth day, I shall target to get at least 40 points through TSL
6. In fact, after breakout is confirmed, what it really means is that now the market is in a trend Any other trend-indicator based method (my preference : SSPS) method can be used for further trade management.
7. This method is for Swing trading (as data used for generating is based on daily TF) and hence, will result in lot of saving of daily trading tension.
8. Over time, visual inspection of BB chart can give the indications and one can do away with worksheet method.

Request feedback on suggested approach.

I must sincerely thank colleagues who enrich the forum and SB through sharing of knowledge and encouragement to new traders.

[vinay28]

chirag, sorry, I am unable to give any comment

[sethu45]

Chirag, I am zero in BB and awaiting to see the miracle of this as stated by you.

[parva]

Chirag sir...
Thanks for all the efforts you are putting in.
I want to ask the results of this system..if you are doing trading based on this how many monthly points one can get using this strategy..? I hope you are trading in NIFTY so you can tell how much one can expect from this...although returns are dependent on NIFTY moves but still one can have an idea...

Thanks again.

PARVA

[chiragbvyas]

[Gemini]

Dear Chirag,

Thanks. This discussion has definately helped. Yes, you are right onlu with BB width squeeze indicator, one will have to look at multiple scripts at the same time.

I must also thank SVKUM who has been guiding us on same strategy for intra-day.

In my opinion, mantra for success is "Stay Disciplined, Have patience..."

Wishing all great trading...

[sonila]

Chirag bhai, one request, if possible, plz post excel sheet for nifty and few other stocks, like u posted for yes bank. Thnx.

[vishal7072]

Mr. Chirag has given the formula for column d,e,f but not for g column

[rajanmadhavan]

Dear Chiragbvyas first thanks for your great effort to learn about BB. I gone through the post from page 1 to last I did don’t found any ware how to get the column “g” value.

If you don’t mind can you explain or give the formula to get that value.

Thanks & Regards
M.Rajan

[Vevensa]

G = (D - F)

[maooliservice]

Dear Chiragbhai,

Please simplify how to caluclate value of D & F

Regards

Mohan

[chiragbvyas]

Dear Friends,

Columns A B C are high,low,and close prices of the script.

now put your cursor to d10 and then type the formula

=sum(c1:c10)/10 (that is 10 days sma or middle line,as BB calculated on ema/sma)

then drag down that cell up to last line of yr excel sheet

now put cursor at e10 and then type the formula

=d10+(1*stdev(c1:c10)) (that is upper band of BB) drag down

then put yr cursor to f10 and then type

=d10-(1*stdev(c1:c10)) (that is lower band of BB) drag down

now d column is middle line e is UB and f is Lb so let it be in correct manner

click on column e and do right click and select insert

so between UB and LB i blank column is there now select d column and right click then select cut and then paste it to that blank column.

so in d column it is UB , in e column it sma10 or middle line and in column f it is LB now put ur cursor to g10 and write formula =(d10-f10)

when doing cut paste if there is any blank column is there pls delete it

hope all doubts of my all friend's are cleared and they are able to use this right from tomorrow itself.

happy trading.

Note: if someone wants to know formula for my previous trade set up of 55sma high low and close, feel free to ask

Regards


Chirag B.Vyas

[chiragbvyas]

[chetan83]

[chiragbvyas]