EMA crossover trend follow
Doosre naam: Trend follow, EMA crossover, EMA 20 and EMA 50 cross, low risk chart strategy.
Is page ke kuch hisse abhi English mein hain.
Formula
Step 1: wait until more than 50 candles have closed, so both lines are ready. Step 2: Buy when, on a closed candle, is above EMA 50 and on the candle before it was not. Sell is the mirror. Step 3: entry = the next candle's open. Step 4: stop = entry - 2 x . Step 5: R = entry - stop. Target = entry + 2R. Step 6: the trade ends at the target, the stop or the day's last close. If 1 candle reaches both, the stop counts. Only 1 trade runs at a time.
Ise kaise padhein
Step 1: 50 se zyada candles close hone tak rukein, taaki 2 lines taiyaar hon. Step 2: closed candle par EMA 20, EMA 50 ke upar ho, aur pichhle candle par upar na ho, toh Buy. Sell iska ulta hai. Step 3: entry = agle candle ka open. Step 4: stop = entry - 2 x ATR. Step 5: R = entry - stop. Target = entry + 2R. Step 6: trade target, stop ya din ke aakhri close par khatam hota hai. 1 candle dono chhoo le, toh stop ginte hain. Hamesha sirf 1 trade chalta hai.
Example dekhein. ATR (average true range) haal ke 1 candle ka aam size hai, high se low tak. Maan lein ATR 25 points hai aur agla candle 25,300 par khulta hai. Stop 25,300 - 50 = 25,250 hai. R entry aur stop ke beech ki doori hai, isliye R 50 points hai. Stop lagne par 1 trade itna haarta hai. Target 25,300 + 100 = 25,400 hai. Yeh entry se 2R aage hai. Is rule se trader aise jeet sakta hai. Har jeet 2R hai aur har haar 1R. Isliye 10 mein se sirf 4 trades sahi hon, tab bhi aap aage reh sakte hain. 4 trades lein. 2 stop par -2R dete hain aur 2 target par +4R. Total +2R hai, yaani yahan 100 points. Jeet ke chance tab badhte hain jab aap closed candle par cross lein, badi chaal ki disha mein trade karein, aur stop wahin rakhein jahan rule ne rakha. Stop lage, toh stop ne apna kaam kiya. Usne nuksaan 1R par rok diya, jaisa plan tha. Yahan low risk level ka matlab chauda stop hai. Chhote jhatke us tak kam pahunchte hain, isliye woh kam lagta hai. Try karne ke liye Paper Trading kholein aur Indicators mein EMA 20 aur EMA 50 on karein. 1 ka order dene se pehle 3 daam likh lein.
Yeh kya nahi batata
Sideways bazaar mein yeh rule mushkil mein rehta hai. Lines baar baar cross karti hain, aur har cross stop par khatam ho sakta hai. Flat aur uljhi lines mein hue cross sabse zyada stop tak jaate hain. Yeh rule der se bhi chalta hai, kyunki lines cross hone tak move ka kuch hissa ho chuka hota hai. Din pehle khatam ho, toh trade aakhri candle par band hota hai. Stop ke paar gap se nuksaan 1R se bada ho sakta hai. Hamare practice markets par yeh rule kuch trades jeetta hai aur kuch haarta hai.
Jude hue concepts
Practice desk par candles dekhein
NIFTY aur BANKNIFTY ke practice desk par chart dekhein. Yahan samjhe hue idea se uski tulna karein.
An EMA is a smoothed price line.
Aage padhoATR (Average True Range) measures volatility.
Aage padhoLot size is the number of units of the underlying that one derivatives contract stands for.
Aage padho