Trading with Median lines is a system and a leading indicator suitable for Swing trading.I am following this strategy for Nifty and Bank Nifty with good results.Those interested to trade with Charts and Price action to analyse target price, support and resistance levels will find this strategy very interesting.

Feedback welcome!Happy trading...

Saturday, October 8, 2011

8.10.2011_Bank Nifty

Median Lines and Stochastics for finding Trade entries and targets.

Attached is 60 min Bank nifty chart , where the method of finding trades using combination of [B]Median lines, Stochastics and 50 sma[/B] is explained.

The point emphasised is to be on the lookout for a confluence of triggers like Horizontal resistance / support lines with stochastics OB / OS zones and the meeting of price bars at the Median Lines,Upper median lines,Lower median lines .
The trades with entry points with a stoploss point giving a higher Risk:Reward ratio of minimum 1:3 are to be taken rather than with a lesser ratio.

No comments:

Post a Comment