Candlestick

  • Candle Shunting

    Candle’s Body Shunting is valid for momentum or Strength Candles in Nimblr TA Price Flow Analysis. Bullish Strength Candle: Whenever Close of a Star marked or Strength Candle closes above the Open with a Body Height greater than 50% of Candle Height i.e. BH>50%CH it is known as Bullish Strength Candle. (Fig.1) Bearish Strength Candle: Whenever close of a star marked or Strength Candle closes below the Open with a Body Height greater than 50% of Candle Height i.e. BH>50%CH it is known as Bearish Strength Candle. (Fig.1) Fig.1 Bullish & Bearish Candle WHAT DO WE MEAN BY SHUNTING? What…

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  • Daily True Range (DTR) & Low Margin Cash Trading

    Daily True Range (DTR) as commonly referred is the Difference between High and Low to the Open of the Day. “Daily True Range has its importance in Day Trading where trades have to be squared-off by end of Day.” It revolves around trying to gauge any scope for further Intra day rise or fall in the direction of trade. It starts with noting the day’s high and low and the difference as a percentage to Open of the Day. It is a foot rule guide for measuring price flow in terms of percentages that can relate well to the percentage…

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  • Reversal – When does it occur?

    When Reversals Occur! What is the likely starting event when it is time for Reversals? Reversals could be at a High to go short or at Low to go long Step 1: Reversal starts with a day’s High (higher than the previous two days high or a day’s low) that is lower than previous two days Low. What does a Day’s high that is higher than previous two days High look like? Below is a 15 min chart of three days to illustrate. (Fig.1) Fig.1 15 Min chart  In Fig.1, you will find that a High formed during the day…

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  • How to Long Stay in a Trade

    Patience or Process? Can Process lead to staying with Patience in the Trade? We shall find out at the end of this article!!! “Early Exits out of fear and Impatience comes from Ignorance and Uncertainty of how much to Stay in a Trade!” With CCI we have a process that answers and provides a solution. Staying in the Trade is decided by CCI 34 5 min and with the strength assessment of momentum provided by CCI 34 30 min.  Both together are variables for either Staying in the Trade or defining Exit Strategy.  Cardinal Rule to Stay in a Trade…

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  • Scalping

    Scalping is a New-Age choice of most to trade with higher frequency for smaller duration and smaller gains. It is similar to running a Grocery Shop for smaller gains over multiple trades. It is best suited to those choosing short term certainty over long range expiry gains. At the end of the day, if in full momentum can be converted into a Positional Trades. Scalping is dynamic in nature but not as fast and furious as many would think so. What does it need? It needs a good Technical Analysis practicing system with well defined Exit Strategies. They shouldn’t be…

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  • Breakouts on Intraday

    Breakouts on Intraday Breakouts compromise of two things: Breakout Candles Breakout Lines Fig.1  Here is a typical Open Range (15 mins) Breakout on a 5 minute chart. Fig.2 Breakout Lines are primarily based on Candle High and Lows Candle Body Highs and Lows In Intraday Trading on lower time frames like 5min to 30 min the requirement is of two consecutive 5min candles to esnure that a min of 10 minutes of one sided price action occurs. The Breakout Lines in Intra Day Charts is based on Open Range of 15 mins. As said, there are two Breakout Lines, one…

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  • Breakouts on Daily Charts

    Breakouts on Daily Charts Breakouts compromises of: Breakout Candles Breakout Lines Breakout Lines are primarily based on: Candle High and Low Candle Body High and Low In effect, a Breakout is a Body Breakout of a Candle from the Body of the Channel or the Rectangular Box encompassing the Range. Breakout Candles are candles with Body Height > 50% Candle Heights as shown below in Fig.1 Fig.1  In Intraday Trading on lower time frames like 5minute to 30 min the requirement is of two consecutive 5 minute candles to ensure that a min of 10 minutes of one sided price…

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  • Non- Breakout Candles

    Non- Breakout Candles What are Non-Breakout Candles? Non-Breakout Candles have a small Body Height in comparison to Candle Height as shown below (Fig.1) Fig.1 Non-Breakout Candle They are called weak because by itself they cannot be leading to any trend direction and have to wait for the ensuing Strength candle to follow for the direction. If seen on a Breakout Crossing Line, it cannot give due confirmation of Breakout and have to wait for the ensuing Strength Candle, which if does not appear the Breakout is termed ‘Failed’ as shown below (Fig.2). Fig.2  Failed Breakout These candles are generally seen…

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  • Breakout or Strength Candle

    What is the Importance of Open and Close in a Candlestick Analysis?  It encompasses the Body of the Candle. It defines, generates and gives shape to the Body which goes on to summarize the day into Strength or a Weak Candle. Here’s how we can arrive at Body and Candle Height and decide on the type of Candle either a Strength Candle or Weak Candle (Refer Fig.1). Fig.1 To the extent of the Body Height of the Candle to the Candle Height it conveys whether the trend was one sided or both sided movement. A Strength Candle as above is…

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