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Monday, August 15, 2022

Rules

First 30 min
IB  above yesterday's high:

As long as  IB low is respected, no shorting thoughts

We can allow IB low to be tested once, but ONLY if it is tested the second time, we can go short assuming there is more profit booking than there is long build up.

but as long as we are trading above yesterday's high, the trigger buy on 3 min tf  is a reason to go long, so it ACTS as a SAR

Only if the BB band is broken on downside, we have reasons to go short aggressively.   

Since the SAR is very far away... we ignore add @ LL till first pivot Low is formed. Now we can use LOD as SAR. When we have second pivot Low, we can use lower of the 2 pivot low as SAR.

 We can add at half day's range or 25 point below 

IB below yesterday's Low:

As long as  IB HIGH is respected, no Long thoughts

We can allow IB High to be tested once, but ONLY if it is tested the second time, we can go long assuming there is more profit booking than there is short build up.

but as long as we are trading below yesterday's low, the trigger sell on 3 min tf  is a reason to go short so it ACTS as a SAR

Only if the BB band is broken on upside, we have reasons to go long aggressively.   

Since the SAR is very far away... we ignore add @ LL till first pivot High is formed. Now we can use HOD as SAR. When we have second pivot High, we can use lower of the 2 pivot High as SAR. 

We can add at half day's range or 25 point below 

IB inside yesterday's range

We dont pick a direction till ' BB band ' or ' HH-LL Band ' is broken. 

If it is inside yesterday's range and inside BB Band, then we can expect a trendless rangebound day and exit all at BB.

We expect price to flatten out, we avoid using HH-LL Band for entry exit and shift to Add@BBLow and exit AB1 @ BB high

Add is at Bb Low

 


IB at yesterday's Low or High:

 


Yesterday's low / high acts as key level and and we will trade above or below this key level...

Candle Below yesterday's low... we will stay short...

Candle Above yesterday's High... we will stay long...

Unless LL/HH is above / below ley level, there is no add@ LL, 

We can add at half day's range or 25 point below 


After 30 min

When 3 min tf bar is blue/Purple, we assume trend is strong, we are trading with the bar color

Add @ LL and lower

EXIT AB2 @ HH or BE (which  ever lower)

EXIT AB1 @ 22 or HH (which ever higher)

EXIT Main @ 101.5 if  HOD / LOD is virgin

EXIT Main @  51.5 if IB is tested both ways


When 3 min tf bar is Green/Red/Grey, We assume trend is weak, we are trading with the bar color

Add @ BB Low and lower

EXIT AB1 @ HH or BE (which  ever lower)

EXIT Main @ 22 or BB High (which ever higher)


If SARed and We  survived 1234 rule, we are trading against bar color, then we can only once at add @ LL and ignore Bar color. Place  SL at Pivot or BB/IB Break

Add @ LL (no more adds)

EXIT AB1 @ HH or BE (which  ever lower)

SAR @ Pivot or BB/IB Break

1234 SAR Rule:

If we are SARed on the short side by shorting to low of the 1st Purple bar low, then the HIGH of the last Blue/Green bar is the SAR for 4 consecutive bars. After 1234 bars, if our Blue bar high survives, then we remove the SAR and shift it to the high of the last 2 pivot High or HOD


   

Red Dot Rule :

When we get a red dot in either direction, the low of the previous bar is SL for all longs. Build positions again from LL

Assumption is price is stretched and has invited sellers and price will revert to mean

1234 rule applies here...if SL survives for 4 bars, then we use this SL to exit AB1 else its exit for all

IB Entry Rule :

When We do not get add in the first 30 min, we can buy the IB high with strict sl @ Ex bar low for AB1 for a target of 22 points

1234 rule applies here...if SL survives for 4 bars, then we use this SL to exit AB1 else its exit for all


BB Cloud hit rule...

when we hit BB Cloud...

convert positions to spread or exit AB1...

if cloud is pierced... exit protective leg of spread... or add to positions

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