इस Trading Strategy से Powerful Stocks में Trade करें । #Learn2Trade Session 26
Welcome to the 26th session of learn to trade series I am Vivek Bajaj and have been in the market for sometime and Annapurna is here with me to learn how are you? I am good sir, how are you? we are recording the second video today we recorded 25th and 26th together, so we look the same if decided to record two videos in a day due to Corona so that we have a video inventory thank you for coming to office and helping me record this content, I appreciate this gesture I told you about intraday trading in the previous video and a strategy on it you haven't practiced it yet you will do it now. I forgot to mention something identification of the right stock is very important for intraday there are so many stocks with movement and it's difficult to track all the more you narrow down your stock through the EOD filter in StockEdge and select the high probability stocks that have higher chances of an activity, then you will enjoy you cannot keep more than 10 positions in intraday trading, as you will need time to square up your trades if something goes Berserk but I understood one thing after speaking to you, you don't enjoy intraday trading you learnt from me but it doesn't seem like you want to do intraday trading honestly I am not sure if I can give time from 9 to 12. This is a very dedicated thing I want to tell all the intraday traders that this is a full time job like a wage earners job you need to be involved full day and its biggest problem is that you become too dependent on the market suppose you fall sick, and you can't work for 4 days then you can't earn on those days it's uncertain and dependent on you. How will you work if you go on a holiday? you are on holiday in Goa and you're trading on the laptop. What's the point of the holiday?
if you have to trade in your holiday then it's not a vacation it's work I agree that intraday is not something that everyone would love to do so I thought to show you a strategy. We're doing strategy discussion now first 24 sessions were focused on building up your base, and now we will discuss more on the strategies today we will discuss a strategy which I like to call 52 week strategy. There's a bird, Eagle what do you think of an eagle? people run away from it as they say that it steals your eyes it looks down from such height and it knows where the eye is, it's target. Focus Eagles biggest strength is that it can fly above all the birds, sometimes even above the clouds its in its own world. They are powerful. We should look for Eagles even in stock market the stocks that are powerful, it might look expensive. Eagles look like larger than life
the stock might look expensive and difficult to get your hands on but if you do get it then you get the power. Eagle stocks. The stocks that are creating higher highs it's on the top in its own world. There's a zone called 52 weeks zone What is 52 week high? 52 weeks means 1 year. A stock that is on its 1 year high there should be some reason that it's on its 1 year high. Let's look at the chart
let's go to your template. This is your template. if I see the last 1 years data this is Godrej consumers last 1 years data. This is at its 1 years highest point it means that it's at its 52 week high. Let's see another stock Hindustan Unilever. this is last one years date of Hindustan Unilever. It is not at its 52 week highest point but it's somewhere here.
I have a Theory. 52 week high zone theory. a stock within 15 per cent of its 52 week high is under the bulls control is there any logic for 15%? We studied empirically, that a stock in uptrend will not fall more than 15% if it's within 52 week high if it falls then sell it as It's become weak. There's a bull, a bear and an operator in each stock the operators which is between bull and bear. It's believed that the operator sticks to the high stocks and he will not let it fall. You would you want to trade in the stocks which is 52 week high you would want to go with the operator. Since you're working in the cash market you cannot short
you need to trade by buying. You can buy two stocks, one that is already down there is a stock Idea. if we see the past 1 years graph, it's at its 52 week low zone this was the lowest and it is near this. This is down, will you trade in this? no
we can if you know and operator and you spoken to him and is telling you to put in the money as he has invested in it we need to network for that and meet other people and be close to the operator to put in the money but if you do not know the operator or are unable to speak to him dare you put in money in it, because we don't know when the operator will come and make the price go up we will not work in hope, we will work concretely the stocks in the 52 week high zone are Good stocks for me and I will find opportunities to trade in it. Let's go to StockEdge if you go to scans, price scans, 52 week Breakout scans, close crossing 52 week high 10 stocks that closed yesterday it crossed the 52 week high close crossing 52 week low, closed within 52 week high zone meaning the stock is near 52 week high zone of 15% near 52 week high zone close entering the 52 week high zone means to stock which was not in the high zone has just entered the high zone closed within 52 week low zone, close entering 52 week low zone Let's see the first one close crossing 52 week high, so many stocks are breaking ITS 52 week high I will treat in these stocks as they are in uptrend, they are eagles but they've already crossed the 52 week high. So? There are chances of correction That's the misconception, it's not your fault that's what we been taught if a stock is expensive than there are higher chances of it falling the expensive stocks will become more expensive and the cheap stocks will become more cheap this is the biggest characteristics of the share market. They have become expensive and can become more expensive let's leave these. These stocks have higher risk, let's agree that the stock which is already increased has lesser chances of increasing
let's come to low risk stock. The stocks that have entered 52 week high zone these stocks have entered the 52 week high zone, there are common stocks who entered and also created a new high. Gave value of 15% in one day Venkys increased by 17%. It became high as soon as it entered Godrej consumers increased by 21%, Godrej Industries by 9% these are expensive stocks so you might feel that it's increased a lot let's see Venky's chart. Let's see the chat in your model. Venky's
do you remember this model? super trend is positive, it's broken the swing high it's an uptrend stock with higher delivery and volume, let's check the delivery there has been good delivery so it means that it's an uptrending stock RS is also up, it is outperforming the market, RSI is also up When will we buy this stock? risk reward ratio is unfavourable now till it consolidates here, or it comes down and makes the risk reward ratio favourable I will not trade in it. We will buy the 52 week high stock but only at a price which is either a confirmation of a Breakout or nearest to the price retracement so I will not trade in Venkys. Let's see the Godrej consumer sir I have a question. What if it does not go down? there are more stocks it's ok if you missed it, we need to evaluate a risk before trading there will be some stock which is made for us, we will check those see Godrej consumer, it gave break out at its high. There was no previous high in the previous case the upper level and the lower level very far. But in this case there are chances that it might reverse from this point if you get the opportunity to buy at this level. You need to study the charts of all these stocks
you cannot just trade in the first stock that you see. See this stock it created a 52 week high and it became weak today. This is yesterday's data the market is live now and market has corrected it and is available at a lower level now there is no volume when it fell down but it did have volume when it went up there is a 52 week High Zone in it, and there was delivery yesterday this stock is interesting for us as we are getting it in our price zone. This is the zone it's a good thing that we are getting it around 500, super trend is positive it's near the demand zone and there is no weakness or selling pressure RSI is above 50. This stock is fulfilling all my parameters so I will create a position in this
green candle shows the buyer strength and the red candle shows the seller strength in this case when the price fell the sellers did not sell, the weak people left who rode with the rally have left today, maybe profit booking? profit booking or weak booking. Not everyone is ok with the volatility this is a good price for you to buy. My thought process is that the stock which is entering the 52 week high zone could be a good list to work on you need to track the charts to analyse if the stock is relevant for you or not should I select the first 10 stocks in this list? You need to see all the stocks you never know which stock might be relevant for you. Don't keep the mind set of tracking just 10 stocks in fact make a combination scan. Make a combination 52 week plus delivery 52 week breakout, close entering 52 week high zoom and then delivery, high traded and delivered quantity we will get the stocks which satisfies both the conditions these stocks are very relevant for us. You can add more filters to it to reduce the number of stocks these stocks are very relevant for us and these are major stocks major stock implies that we have given NSE's 700 stocks if you make it all NSE then you will get all the stocks of the 2000 stocks but you don't want so many stocks, you want to reduce it so that you can do focus trade you can choose major stocks and refine it with stocks whose market cap is between 1000 to 10000 crore you don't want to trade on the big stocks but moderately smaller stocks you can also choose a sector if you know about any sector. This is Avanti Feeds
let's see the chart, this is today's candle and this was yesterday's it is bullish on a falling market, volume is good, RS is strong, RSI is good it's gone above the breakout, super trend is positive, so we need to create position in this stock but I want buy now I will wait for it to retrace. You don't always get a cheap price this is a good price to buy, it's at 525, and tomorrow you will get it at 532 532 and your stop loss is 525. You have a stop loss of 10 rupees, which is 2% 2% stop loss is ok for you to buy. In previous case your stop loss would have been 7% to 8% that was a problem, 2% stop loss and 5% target move is what you want you can enter as the risk reward is favourable in this case. Do you want me to repeat? Got it sir. You need to build on it. I have shown you the concept
you can create multiple combinations, I want go deep into it my presumption is that you know all the combinations of StockEdge learn it if you haven't. There are more similar combinations there's something called 2 your break out, i.e., 104 weeks then there is 5 year breakout. The stock that is breaking its five-year high close crossing 5 year high. Cadila, Siemens, NMDC. These are all breaking 5 year highs
These are part of major stocks, if I change it to NSE, I get so many stocks that is trading at five years high let's go to Cadila. This is a bumper trading at five years high. If you look at the previous chart it had given a break out at this point in 2017 and it broke today we can play for a longer period of time. You need to keep a bigger stop loss there are higher chances of it going up as it's broken its five-year high we can treat for a longer period of time, this is called momentum if a stock is in momentum then write the momentum. you can take 52 week high, 2 year, or five year
there is a higher chance that it will go longer in the five year, so your stop loss will be big if I consider this as a stop loss, it is 555 and its price today is 622, the stop loss is 10% but the chances of Return is also 25 to 30%. There is a higher risk but the chances of returns are also high for a trader like you or for people who want to do part time trading and can't be involved in the market full time 52 week high, 2-year high, or 5-year high strategy is a phenomenal strategy trust strategy and work on it. We have given everything in StockEdge price Breakout is in front of you so why go here and there if you can see the model in front of you to make money practice this Annapurna. Since you asked I told you intraday you can do that if you want, but put in more money using this strategy there is a higher probability of making more money This is one of the strategies you can use, we will discuss more we have started the strategy window, we will discuss the strategies that I feel is relevant for you so you're telling me something about eagle. This is eagle. Cadila is an eagle I myself create a lot of strategies. If you go to strategies in StockEdge there are some readymade strategies. We have created Eagle in the bullish strategy
I have given the combinations of eagle, which I feel defines eagle I have shown a transparently, anyone can understand this these are all the Eagles stocks. Create a watch list of these stocks I have created an Eagle watch list in tradingview. These are all eagle stocks whenever I get an opportunity to enter the stock, and exit it sometimes stop loss gets hit as these are all eagle stocks and are very volatile I do lose money but on the net I do make a profit. This is a readymade strategy available in StockEdge I would suggest you not focus on the eagle. Focus on 52 week high + delivery + swing eventually you will be able to create your own eagle strategy this was a strategy discussion with Annapurna, I hope you liked it use it and tell me if you liked it or not. Give the feedback in the comment below
if there is a question that you want to ask that I have not taught Annapurna then added in the comment and we will try to record a video on it till then keep liking my video, keep sharing as it's a Free exercise share the entire playlist specially if there is someone at your home like Annapurna, or your housewife your mother, or a young teenager. This series is specifically for a younger audience take advantage of it and help me to make India financially educated on the stock market thank you for watching this video. Bye
2021-06-06 19:54
