Strategy Name: Break Out strategy
Profit Probability: 70%
Requirement: Discipline in trading
Time Frame: 5 min
Limitation: Intraday and scalping
I have personally taken more than 100 trades on this trading strategy. This is one of the best trading setup for new traders. If you are new in share market and want to be consistent profitable then this is best strategy for you. Excited to know more? Lets start
Open your trading platform at 9.15 AM. Watch the first three candles closely. Each candle should be 5 min candle. That means you have to watch the market for first 15 min. Do not take any trade in first 15 min time as market reacts on the base of overnight news and activities. Now mark a line on high and low of this first fifteen minute candle range. Now you have got a range for the day. You should not trade within this range. Wait for the range break.
You should trade only in the direction of range break. If it breaks the high of fifteen min range then go for long (means buy the stock). If it breaks in the downside of fifteen min range then short sell is recommended.
Precautions
If the first 15 min range becomes too wide to be normal then you should avoid taking trade with this strategy.
You should take extra precautions on Thursdays.
Always apply your common sense and general intelligence while trading in stock market.
Be disciplined and apply stoploss. If two consecutive stoploss hits then you should stop trading for that day!
Note
. Take 10 trades applying this strategy and comment bellow your experience.
