| View previous topic :: View next topic |
| Author |
OPENING RANGE BREAKOUT STRATEGY |
ANS_KOL
White Belt
Joined: 16 Jul 2011
Posts: 84
|
Post: #1  Posted: Wed Aug 03, 2011 8:28 pm Post subject: OPENING RANGE BREAKOUT STRATEGY |
 |
|
dear all,
in the month of may, some gentleman/ madam came up with this strategy in the forum , but due to some unknown reason the post was removed. at that time he/ she stated that by applying this intraday strategy with nifty future getting around 300 points per month. i found the strategy effective and posting the basic of it. friends kindly modify and provide input to make it more effective. i also request the original developer of this strategy to come forward and help others for better understanding and application of the strategy.
THE STRATEGY-
1. After 5 mins of opening,ie @9.20 am take only high and low till then.
2.place buy order 2 points above the high.
3.place sell order 2 points below the low.
4.if buy order triggers make your sell order as stoploss.
5. if sell order triggers make your buy order as stoploss.
(DO NOT TAKE STOPLOSS BEYOND 20 PPOINTS).
6.exit your position on getting 20 points(or)
come out of the trade on hitting the stoploss.
7.again wait the price to come between the range of high and low of the first 5 mins, then again place order as you have done the first time.
8. if 2 stoploss gets triggered, stop trading for the rest of the day.
9. if 2 profit target gets achieved, then do not trade for the rest of the day.
10.if no buy or sell signal gets triggered @ even 11am, cancel all orders.
11.whentrade is triggered but neither profit nor stoploss gets hit for next 2 hours, exit the position at whatever is the price at that time.
12. generally 1 or 2 orders get triggered in a trading day
done very little modification and given a name- OPENING RANGE BREAKOUT STRATEGY....
great me..  |
|
| Back to top |
|
 |
|
|
|
rk_a2003
Black Belt
Joined: 21 Jan 2010
Posts: 2734
|
| Post: #2 Posted: Wed Aug 03, 2011 9:21 pm Post subject: |
|
|
ANS
I have also gone through this strategy earlier posted by some one as you mentioned. I tried paper trading for 2 days and the trades hapened to be a sell at day low and stop loss triggered both the days. Afterwards I did not even paper trade.
I know two losses need not discard a strategy. Some how I dont find 5 minutes range as convincing.
I feel Intraday Trading strategy is far more advanced. It's my feeling only. We need to trade notionally on this strategy for some time say 1 month then we can think about taking it up.
Is there any way to backtest this strategy.
RK |
|
| Back to top |
|
|
ANS_KOL
White Belt
Joined: 16 Jul 2011
Posts: 84
|
| Post: #3 Posted: Wed Aug 03, 2011 9:51 pm Post subject: |
|
|
dear rk,
I started paper trading from aug. while last 2 days it achieved its target, today both side sl got triggered.
I was thinking if it can be mixed and match with intraday trading strategy, ie taking the data @9.30 am and then place breakout orders.
this way, it may decrease the risk- reward ratio of intraday trading strategy.
moreover, i"ve lost around 150 points in intraday trading strategy in july.
dear rk, honestly, please, are you making money trading that strategy?????
ANS. |
|
| Back to top |
|
|
rk_a2003
Black Belt
Joined: 21 Jan 2010
Posts: 2734
|
| Post: #4 Posted: Wed Aug 03, 2011 9:57 pm Post subject: |
|
|
| ANS_KOL wrote: | dear rk,
I started paper trading from aug. while last 2 days it achieved its target, today both side sl got triggered.
I was thinking if it can be mixed and match with intraday trading strategy, ie taking the data @9.30 am and then place breakout orders.
this way, it may decrease the risk- reward ratio of intraday trading strategy.
moreover, i"ve lost around 150 points in intraday trading strategy in july.
dear rk, honestly, please, are you making money trading that strategy?????
ANS. |
Yes ,I am but with my own filters . Now I posted them in intraday thread. |
|
| Back to top |
|
|
hemzbond
White Belt
Joined: 21 Jul 2009
Posts: 30
|
| Post: #5 Posted: Thu Aug 04, 2011 1:59 am Post subject: |
|
|
hey guys
i m a green horn, i m wrking on this strat. i will be great full if u guys could help me evaluate if this strat is workable in the real market. i m not sure if it would work or may be it might need a little tweaking.
and it goes without saying, as off now dont trade based on these pointers
CRITICISM AND SUGGESTIONS MST WELCOME
INTRA DAY STRAT :
| Quote: |
USE 15 MIN TIME FRME IN NIFTY FUTURES
• Identify open and close of the first candle
• Long Trade
• If the second candle closes above the ofc (open of first candle) make an entry in the third candle if it opens above the close of the second candle.
• If the third candle opens at the same point as the close of the second candle wait for the next candle that opens above the clse of the second candle.
• Now ofc becomes initial stop loss and SAR (stop and reverse) Or alternatively the mid point of first candle can b made the SAR (stop and reverse)
• I prefer the mid pint as sar
• Initial sl at time of first entry should not be more than 20 pts . if its more then that wait for the prices to reach ofc or cfc as the case may be or buy just one lot with 20 pt as sl
• Stop and reverse: u get stopped out when the candle closes below the sar and u reverse ur positin after watching the second candle close after being stopped out
• Short trade
• If the second candle closes below the cfc (close of first candle) make an entry in the third candle if it opens below the close of the second candle.
• Now cfc becomes SAR (stop and reverse) or the mid point of first candle becomes SAR
Exit
• Buy 2 lots sell the first lot at a profit of 15 points, if the mkt starts retracing keep the sar as ur sl and if it goes beyond 15 points in ur directin u can have entry +10 as ur initial sl and have Tsl or 10 ema crossover or avinash targets as exit points
• Add positin using rejections from 10 ema ( 10 ema in 15 mtf is very close to 30 ema in 5tf )
Points to remember
• No entry / re entry before the open of third candle
• Market trend can be cnfirmed around 11:45
• entry will be determined by ofc / cfc and reentry will be determined by sar
• Take all the re entries during the day dnt give up if u r making losses, even in a range bound market the losses would most probably be covered at the end of the day
• Watch out for the previous days high / low they act as resistance and suport
|
|
|
| Back to top |
|
|
rainbow
White Belt
Joined: 25 Feb 2010
Posts: 202
|
| Post: #6 Posted: Thu Aug 04, 2011 6:26 am Post subject: Re: OPENING RANGE BREAKOUT STRATEGY |
|
|
Ans_kol AKA 'great you' 
The gentleman who came up with this strategy goes under the name of Nick Katariaz in Icharts. you can send your *contributions* to him. His thread was entwined somewhere into the Avinash Intraday trading strategy.
Cheers
Rainbow
| ANS_KOL wrote: | dear all,
in the month of may, some gentleman/ madam came up with this strategy in the forum , but due to some unknown reason the post was removed. at that time he/ she stated that by applying this intraday strategy with nifty future getting around 300 points per month. i found the strategy effective and posting the basic of it. friends kindly modify and provide input to make it more effective. i also request the original developer of this strategy to come forward and help others for better understanding and application of the strategy.
THE STRATEGY-
1. After 5 mins of opening,ie @9.20 am take only high and low till then.
2.place buy order 2 points above the high.
3.place sell order 2 points below the low.
4.if buy order triggers make your sell order as stoploss.
5. if sell order triggers make your buy order as stoploss.
(DO NOT TAKE STOPLOSS BEYOND 20 PPOINTS).
6.exit your position on getting 20 points(or)
come out of the trade on hitting the stoploss.
7.again wait the price to come between the range of high and low of the first 5 mins, then again place order as you have done the first time.
8. if 2 stoploss gets triggered, stop trading for the rest of the day.
9. if 2 profit target gets achieved, then do not trade for the rest of the day.
10.if no buy or sell signal gets triggered @ even 11am, cancel all orders.
11.whentrade is triggered but neither profit nor stoploss gets hit for next 2 hours, exit the position at whatever is the price at that time.
12. generally 1 or 2 orders get triggered in a trading day
done very little modification and given a name- OPENING RANGE BREAKOUT STRATEGY....
great me.. |
|
|
| Back to top |
|
|
ANS_KOL
White Belt
Joined: 16 Jul 2011
Posts: 84
|
| Post: #7 Posted: Thu Aug 04, 2011 9:30 pm Post subject: |
|
|
day-1
paper trade result-
@9.20 am
h-5427
L-5410
buy @5429, sL- 5408, TARGET- 5449
sell @5408, sl- 5429, target- 5388
trade 1- bought @ 5429, sL triggered @ 5408 (- 21)
trade-2- sold @5408, sL triggered @ 5429(-21).
after this market took direction and met the target downside, but by that time 2 loss booked, so according to the strategy, no more position taken,
total loss of 42 points on day 1.
let s see what s store in coming days.
ANS. |
|
| Back to top |
|
|
smartcancerian
Yellow Belt
Joined: 07 Apr 2010
Posts: 542
|
| Post: #8 Posted: Thu Aug 04, 2011 10:23 pm Post subject: |
|
|
| ANS, 2nd trade was to be exited @ 5417..(after exact 2 hrs from the time of entry)...you forget d rule.. |
|
| Back to top |
|
|
ANS_KOL
White Belt
Joined: 16 Jul 2011
Posts: 84
|
| Post: #9 Posted: Thu Aug 04, 2011 11:37 pm Post subject: |
|
|
| smartcancerian wrote: | | ANS, 2nd trade was to be exited @ 5417..(after exact 2 hrs from the time of entry)...you forget d rule.. |
correction! correction!
2nd trade-s@5408, b@ 5417(- 9 points).
total- -30 points.
dear smartcancerian, thanks for correcting me, actually I am also a cancarian(dob 8 th july), but not a smart one.
ANS. |
|
| Back to top |
|
|
smartcancerian
Yellow Belt
Joined: 07 Apr 2010
Posts: 542
|
| Post: #10 Posted: Fri Aug 05, 2011 7:59 am Post subject: |
|
|
| back testing & trading this strategy(along with mix & match avinash stgy ).. for the last 2-3 months..expectancy is positive but strategy needs more refinement/filters/rules which i am working on..request other ichartians to contribute.. |
|
| Back to top |
|
|
ANS_KOL
White Belt
Joined: 16 Jul 2011
Posts: 84
|
| Post: #11 Posted: Thu Aug 11, 2011 10:13 pm Post subject: |
|
|
For last few days ie monday, tuesday , wednesday, thursday, i found opening range more than 20 points, so according to the strategy no trades taken on those days.
in a way it is a plus point of this strategy, it may help us to stay away from the high risk trades in such high momentum volatile market conditions.
let s see how this strategy works in the coming days...
ANS. |
|
| Back to top |
|
|
rk_a2003
Black Belt
Joined: 21 Jan 2010
Posts: 2734
|
| Post: #12 Posted: Tue Aug 16, 2011 8:04 pm Post subject: |
|
|
Hi ANS !
I tried to send you an ebook of Turtle trading just by guessing your e mail ID .But all the 3 mails bounced with out luck.
Unfortunately we can not share our mail ID's here , though there is no restriction on guessing.
I am not sure whether I can upload it here due to copy rights issue. What is the way to send it to you?! 
RK |
|
| Back to top |
|
|
ANS_KOL
White Belt
Joined: 16 Jul 2011
Posts: 84
|
| Post: #13 Posted: Tue Aug 16, 2011 8:42 pm Post subject: |
|
|
| rk_a2003 wrote: | Hi ANS !
I tried to send you an ebook of Turtle trading just by guessing your e mail ID .But all the 3 mails bounced with out luck.
Unfortunately we can not share our mail ID's here , though there is no restriction on guessing.
I am not sure whether I can upload it here due to copy rights issue. What is the way to send it to you?!
RK |
dear rk,
it s really kind of you that you tried to send me the turtle trading strategy.
but if this website does not permit something then we should respect their rules and regulations.
as we have become friends in this forum may i know which city and country do you belong to and what is your name?
In case you are interested, i am from kolkata (INDIA), and my patients call me dravinandan.
thanks friend.
ANS. |
|
| Back to top |
|
|
rk_a2003
Black Belt
Joined: 21 Jan 2010
Posts: 2734
|
| Post: #14 Posted: Tue Aug 16, 2011 9:22 pm Post subject: |
|
|
ANS!
I am RamaKrishna, Indian,Telugu .Right now in Hyderabad.I am a Permanent Resident of NewZealand too.I am an Electrical & Electronics Engineer and working in Broadcasting Industry.
My friends call me RK.
That's It. Nothing more.
RK |
|
| Back to top |
|
|
smartcancerian
Yellow Belt
Joined: 07 Apr 2010
Posts: 542
|
| Post: #15 Posted: Wed Aug 17, 2011 7:52 am Post subject: |
|
|
| hello rk, does turtle system will improve ORB system..??? or is it a different system?? |
|
| Back to top |
|
|
|
FAQ
Search
Memberlist
Usergroups
Register
Profile
Log in to check your private messages
Log in
