Im taking the baby steps in this intraday trading business now. These days, my analysis is working well. Execution of the entry and placing the initial stop is also good. The stocks moves in my direction for some time. I trail the stops to the pivot points as per my plan. But in the afternoon session, my trailed stop is gettting triggered and my profits are all gone with a slippage. This is happenning almost every day in my trading. So can someone please help me in determining the exit criteria.
it is important to know the time interval on which pivots are being used by you, if you are using daily pivots for intraday trading then the problem is apparent… if you like pivot trading then u may use half hourly/ hourly pivots for intraday… else u may draw trendlines on 5mins/ 15mins/ 30mins charts as per your risk apetite and trail the stoploss from there… or u may like to use OI data as well to get an idea of support and resistance in case of fno stocks… else vaguely u may take off half profits at some point where u are comfortable and trail the rest at cost hope this helps
You can use Fibonacci Retracements of the move from structural low/high as the exit. But, you cannot use it as stop trailing, rather as a limit order that might keep changing. You can also use Fibonacci Retracements present in the higher timeframe as exits in the lower timeframe trading.
I trade 15min charts and my stop movements are also the 15mins pivots only. When the market goes so steep, i will shift to 5min pivot stop trailing. But i just wanted to know, is there any exit strategy based on the ATR and other indicators apart from this pivot break exits where i can exit with a limit order or so??
Thanks for your valuable time…
That sounds good. But can you provide me a link where i can go through some basics about those fibonacci levels. I know about those retracements and projections. Can you please elaborate the last statement in your answer to make it a bit clear for me…??
Thanks in advance…
