Best Swing Trading Strategy || Profitable Trading Strategy
We will discuss below topics in this article:
1. What is swing trading?
2. Which trading is good for beginners?
3. Which swing trading strategy is profitable?
4.What is 44 moving average strategy and how to use it?
5. How 44 moving average works?
6. How to do mastery on this 44 moving average strategy?
7. How to identify Uptrand?
What is swing trading?
Swing trading is a short term profit gaining strategy. In this strategy you can hold your position from day 1 to several weeks.
Which trading is good for beginners?
Swing trading is good for beginners then other trading because you can purchase shares in delivery and If market falls for few weeks you can keep your holding. It is totally up to you either you want to sell your holdings or not in the delivery orders. Once the market recovers you can sell shares and book your profit.
If we talk about other trading like future & options or Intraday. It offers you 5x margin so that you can buy lots of quantity of shares but It offers you certain time limit to hold your stocks. Once the time limit end. It doesn't matter you are in profit or loss, you will have to sell your holding otherwise your broker will sell it without your permission and charges also applies to you.
Which swing trading strategy is profitable?
Every swing trading strategy is profitable, If you have discipline and control on your emotions in the market because discipline is the key of success. You need to do mastery in any one strategy. You should be aware with advantage and disadvantage of your trading strategy. Practice 100 charts in a day and Practice will make you pro in the market.
What is 44 moving average strategy and how to use it?
44 moving average is the closing price of last 44 days.
Now, we will talk about our "Profitable 44 Moving Average Swing Trading Strategy".
Rules of the strategy:
1. Find the bullish stocks with the help of scanners. If you are beginner, I suggest you to manually find the rising stocks by practicing charts. So that you can learn.
2. Stock should not be side ways. It should be bullish.
3. Apply 44 simple moving average on the chart.
4. Select daily timeframe on the chart.
CHART
The pink line is 44 moving average
See, price is taking support the 44 moving average (see the blue circle in chart)
Green candle's price opens from the below and close on the above as I draw in the chart.
How to take a trade with this system?
Candle should take support on 44 moving average as mentioned in image.
Buy above the high and stop loss will be the last 2 candle's closing price. Example- candle opening price is 100rs and closing price is 150rs. Your buying price will be 105rs and Stop loss will be the last 2 candle's closing price. Your target should be double of stop loss price for example last 2 candle's price was 80rs means you are taking 25rs lose per share. So, you take expect 1:2 target which will be 50rs on per share according to this example.
How to do mastery on this 44 moving average strategy?
1. Discipline and control on emotions is the key.
2. Remember that stock market is a best business, don't trade like gambling and avoid tips of shares from anyone.
3. Do your own Research and follow this strategy.
4. Practice at least 50 charts in a day.
5. Do mastery in swing trading first, then jump to intraday, future & options.
6. While practicing on the old chart data, mark the trade on chart that where else you could get the trade with 44 moving average.
7. Follow risk management.
How to identify Upgrade?
Apply 200 moving average on the chart. If it is rising that means the trend is bullish.
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