Simple Intraday Strategies to be followed

Iam this time presenting you a simple intraday strategy by using this you can analyse your favorite stocks

and can analyse when to go long or when to short on intraday basis. In this article i took Nifty as an example

to showcast the Intraday view.

 

Before going to our analysis section let us recap what has happened yesterdays market.

 

Nifty Data for 02,June 2008

 

Open : 4869

High  : 4909

Low  :  4713

Close : 4740

 

Also have a look at Nifty intraday chart as shown. In the Nifty Intraday CandleStick Chart you see you can notice

5 types of EMA (Exponential Moving Average)

 

Click the above chart to get enlarged

3min - EMA  - Red Line (closely following candle Stick)

13min - EMA - Green Line

34min - EMA - Black Line

55-min EMA - Gold Line

200 min EMA - Yellow Line ( Wont visitble good in white background so i kept it orange )

 

 

Two Simple Rules to Follow

 

1) Go Long if 3 EMA is  above 13 EMA and 13 EMA is above 34min EMA with stop loss below 34 EMA

2) Go Short if 3 EMA is below 13 EMA and 13 EMA is below 34min EMA with Stop loss above 34 EMA

 

Remember : These Two rules wont follow in a range bound market and well behave in case of volatile market

 

If you witness from the stock that at 4870 it is clearly witness from the Intraday chart that 3 EMA is below 13 EMA and

13 EMA is below 34min EMA with Stop loss below 34 EMA. Cool We have founded  the selling point in Nifty.

So one can short the market at this level with minimum stop loss at 4890 above 34min EMA. If EMA pattern reverses  then your stop loss may hit.

But if you notice the chart it is clearly evident that the pattern doesnt changes until the end of the session so one can carry forward

to next day or else can book the profit.

 

For Real Time Intraday Charts visit our blog NSE Tracker ( Also found in our Important Link Section). Where you can find a nifty intraday chart with above mentioned EMA's

Also you are requested not to take trade based on this two simple theory alone. As lots of patterns and signals are there and

this pattern is one among them.

 

We will discuss more strategies in comming days. Till then stay tuned to book your profits

 

For any queries or clarifications please feel free to contact me at rajandran@gmail.com

 

Regards,

Rajandran R

Author - MarketCalls