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4 ,5) MAGIC OF TREND.pptx

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4 ,5) MAGIC OF TREND.pptx

  1. 1. ADITYA RAJPUT SWAPNIL GAIKWAD POOJA THORAT CHAITANYA MARATHE Research Analyst & Relationship Manager Research Analyst & Relationship Manager Research Analyst & Relationship Manager Relationship Manager TEAM
  2. 2. OUR MENTORS AMIT BALAM Director TWJ Learning Solution AKASH KOTWAL Research And Training Head TWJ Learning Solution
  3. 3. MAGIC OF TREND
  4. 4. OVERVIEW  It is positional strategy.  We use three indicators in this strategy.  Strategy backtested on indices i.e. Nifty and Banknifty.  We take only directional trade. 5
  5. 5. 6 HULL SUITE QQE MOD  It is a Hull Moving Average.  It is extremely fast moving average that eliminates lag altogether and improves smoothing at same time .  Hull variation- HMA & THMA  It generates a trading signal whenever the Hull Suite crosses above or below the price.  The Qualitative Quantitative Estimation (QQE) indicator works like a smoother version of the popular Relative Strength Index (RSI) indicator.  The QQE indicator is a momentum based indicator to determine trend and sideways.
  6. 6. 7 Change Time Frame Chart to 1 Hr. Change ATR length 10 to 100 Change Factor 3 to 3.6 SUPERTREND
  7. 7. RULES  Time Frame – 5 Min  Script- Nifty and Banknifty.  Add Hull Suite, QQE MOD, Supertrend Indicator.  When Supertrend is Green we take only buy trade.  When Supertrend is Red we take only sell trade.  Buy Entry- Green candle+ Green Hull Suite+ Green QQE MOD Bar  Sell Entry- Red candle+ Red Hull Suite+ Red QQE MOD Bar  We use buffer points to take entry • For Buy entry = H+H*0.05% • For Sell entry = L-L*0.05%  Buy exit at next sell entry condition  Sell exit at next buy entry condition
  8. 8. HOW TO TAKE BUY ENTRY 9
  9. 9. HOW TO TAKE SELL ENTRY 10
  10. 10. 11 NIFTY BACKTESTED DATA CORPUS TO BE DEPLOYED  FOR TAKING TRADE IN NIFTY FUT WE NEED 1.1 LAKH  AS PER THE MAX DRAWDOWN WE NEED TO TAKE BUFFER AMOUNT OF 90 THOUSAND  SO WE NEED ACCOUNT OF 2 LAKH FOR 1 LOT NIFTY TRADE.
  11. 11. 12 BANKNIFTY BACKTESTED DATA CORPUS TO BE DEPLOYED :  FOR TAKING TRADE IN BANKNIFTY FUT WE NEED 1.5 LAKH  AS PER THE MAX DRAWDOWN WE NEED TO TAKE BUFFER AMOUNT OF 1 LAKH  SO WE NEED ACCOUNT OF 2.5 LAKH FOR 1 LOT BANKNIFTY TRADE.
  12. 12. 13 ADVANTAGES  We can capture a rally in trendy market by using this strategy.  Easy to execute.
  13. 13. 14 DISADVANTAGES  We miss one rally when supertrend change.  Maximum loss or drawdown in sideways market.
  14. 14. 15 CONCLUSION  This strategy totally system based.  We can capture directional rally.  We can generate monthly 8-10% by using this strategy.
  15. 15. Thanks! Any questions? 16

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