Well, today you are going to learn this trading strategy, which you can either say is the Brahmastra trading strategy or as I say, triple confirmation intraday strategy. Now why am I saying intraday, well, this strategy is not only intraday, if you want, you can use it for swing trading or positional trades, but for intraday, you have been demanding for a long time that you need an exclusive strategy.
Well, I would like to tell you that have not disclosed this strategy anywhere before today, I have not shared it anywhere. I implement this strategy myself and the results of this strategy are great. If you talk about risk to reward ratio, then if you use this strategy, then your stop loss is very low and you can get a lot of profits. Well, what I am saying now, I am going to show you exactly on the computer screen. You can back test this strategy as mochas you want.
This strategy will always see you working, whether you trade in Nifty or in Bank Nifty, you can put it on any stock. In fact, this strategy will see you working in Forex and Crypto. Now I have made a lot of value of the strategy, now the time has come to show you the strategy, but one thing I will tell you, after learning this strategy, you will first trade the paper and see and back test yourself to see if this strategy is really working for you, because the strategy you will learn today, this is going to be a very unique strategy for you. It is very simple and effective.
So here we go. Now let me teach you this brilliant strategy. Here you see, I have opened the Bank Nifty futures chart. Now you take the example of Bank Nifty here, take the example of Nifty, whatever is your favorite stock. I will show you the back testing of this strategy on the stock you say. Her ewe sees what we want to know, how does this strategy work.
Before understanding this strategy, you will have to understand about three indicators here. These are three such technical indicators that you can apply on your chart and from today you can start seeing the results. Number-one, you see here, you see an indicator here, Super trend. I remove the super trend, now you will see that in the super trend you see a green line and red line. Now it is important to understand that we have applied the super trend.
The second one here is VWAP. You can see the blue line of VWAP. You can write it in this way by going to the indicators. You will get VWAP, you will get super trend. Similarly, we have applied Mandate the end. Look down here. I remove MACD, apply it, you can see it is MACD. Now what these three indicators are trying to tell you, how do we trade according to them.
First we understand this, then I will tell you about the strategy. Now see the live market is going on. This strategy has done a great job today. In fact, in back testing, you will also see the data that it will always look working. When it will not work, I will tell you at the end of this blog.
Now look here, first of all, when we are talking about the super trend, super trend is a trend following indicator. It tells you what is the trend going on now. Now for example, you can see arrow here. You can see this red arrow. Similarly, you can see a green arrow heretic will full screen it. You will see it more easily. Now if you can see this red arrow here, this green arrow is visible. What is it trying to tell you?
Depending on how many minutes it is on the time frame, I will show you an example here. If you see the time frame, we have taken a 5-minute time frame here. It means that a candles showing what happened in 5 minutes. Similarly, 10 minutes, 15 minutes, 30 minutes, hourly, daily, we can put candles here. We can see in the chart on different time frames. Now what do you know from this?
Many people ask questions that if we are doing intraday trading, then which candle will be best? You can see the chart on the time frame of 5 minutes or15 minutes. Here I put it according to 5 minutes. Now I am trying to tell you that this super trend tells you what is the trend going on now. Now see here in this candle, the super trend gave a signal that the trend has become a downtrend.
Now downtrend means that you sell it. Should I sell it only on the way of super trend? This happened only when signal was generated and I am taking an action according to it. But as I told you that we will trade only after triple confirmation. In fact, I am going to tell you the most amazing thing at the end. Here the super trend gave signal. See below, you can see some lines here.
You can see a blue line and a redline. So this blue lines called a fast line. The red line is called a slow line. Thesis nothing but exponential moving averages. MSVD means moving averages convergence divergence. So now what we have to see here is that first of all we are talking about crossover. When the blue line, I will show you with another example here.
When our blue line crosses the red line from below, for example, in this case, the blue line crossed the red line from below, it means that here signal is generated that you can buy if you want. As we took an example, let’s come to the example that if the blue line has intersected the redline from below, then signal is generated here that you can buy. With this, our second confirmation will give our super trend. If our super trend is also saying to buy, then this is my dual confirmation.
But will I buy now? My third question is that see here, there is a line of VWAP. This VWAP shows you on the chart of futures because you see volumes infutures. If you just puta chart of Bank Nifty, I will show you here that if I simply open Bank Nifty, then you will see on Bank Nifty that you will not see VWAP. Just a second, see this line of VWAP will not come because we do not see volumes in Bank Nifty.
Weill see in Bank Nifty futures. Just a second, we have to write Nifty Bank. So in its futures, we see the line of Vaped in its futures, we see the line of VWAP. Now what does this line of VWAP tell us? Income there where we were so that you will understand the things better. Example, we had someone else, but we can take it from here too. It doesn’t matter.
So here you see, here too you can see a crossover that the red line is intersecting from below. Here the crossover is happening. Your blue line and in the next candle, there is an intersection and in the next candle, the super trader told us to buy.
So what is our objective here that when we buy, then VWAP tells us first that the volume weighted average price, VWAP means volume weighted average price. It guides us that what will be the right entry and what will be the right stop loss for us. Now what does this mean? See, the price generally has to come close to VWAP.
You will see in the whole day’s trading; the price is going to go close to VWAP. If it goes away from VWAP, then see the example here, VWAP is below, how much is the price up, but this is a tendency that the price will come close to VWAP. So if you are understanding this thing here, then you have understood this strategy to a large extent.
If MSCD told me to buy, if super trend told me to buy, then if a signal is generated here, then it doesn’t matter. In the next candle, here super trend also generated signal that you can buy and if the price is close to VWAP, Theni can take the entry. If it is far, then I will not take it, but if it is below VWAP, then it is better. Why is it good? Because the price will go close to VWAP.
So if the price is already low, then the price will try to go up. I get another signal from here’s if the price is here, then it tries to run to VWAP. How big a candle is made in front of you? So if the price is going down, then it tries to go to VWAP, but we also have to see what MSCD told us, which trend is going on. If the trend is going on here, then the example is going on here, then will not buy here.
Now this example is like this, you can take as many examples as you can while back testing. Now we are talking about buying, then we will talk about selling. We were here, which was our last example. So here you saw that there was a crossover, it intersected from below, the red line, the super trend said buy, the signal came. And see if your entry was here somewhere, then what will be the price?
The price will generally come close to VWAP. So the price has to go up, we also found out. Now here we are seeing the crossover of MSCD, we also have to see the divergence, so I will tell you about that also. So I hope you have understood things up to this point. Now see after this, if you buy anywhere here, then what will be your target and what will be your stop loss, itis important to understand this.
If your buying is coming here, then now you bought in one crossover of MSCD, when the blue line intersected the red line from below, but when the red line crosses the blue line from above, then the downtrend can start from here.
So what does it mean that you can sell here, so if you bought anywhere here and you go to this candle where the crossover has happened, you sell here, then you made huge profit. If you traded in options or you traded in interest, then you will get huge profit.
So if you here is an example of bank nifty, so you have traded in futures, so you get a good profit, now because I said that you can dowel are seeing futures, back testing anywhere, we will see here, so you can come back as much as you want, if you sea crossover here, you saw a crossover, but did super trend tell you to sell it, no, super trend said go here and sell it, if you want, you can follow here because it is continuing,
but what will bathe best, that the crossover is also with it, and if we are selling the price, now here is an example of selling, so now I take a recent example, let ‘stake the example of today, so look here, now here, the uptrend was still going on, after this, a super trend generated signal that you can sell, did you see a crossover in MACD, yes, crossover in Mahdi’s also made on the same candle,
on which the super trend is saying that you can sell, now look here, when I get two confirmations, the third I have to see VWAP that my entry rate, what is the meaning of entry rate, if your price is above VWAP or near VWAP, then it means that if the price is up, then what will happen here, the price will go to VWAP, then the price will fall, if the price was here, then it has to come near VWAP from here, if it has to come near VWAP, it means that you can have a right entry,
but you can wait for confirmation that the next candle is doing a low break of the previous candle, so you wait for confirmation, it is even better, there is no issue, you got a candle on the time frame of 5 minutes, in the next 5 minutes, you got confirmation that yes, the low break has happened, so now your entry is correct, and how long will you be made, as long as there is no crossover below again,
so today when I am writing this blog, then you see how well this strategy has worked, you can see it anytime, if talk here, there was a crossover in this candle, after the crossover, super trend said buy, now see one thing, here super trend said buy, now it is important to explain stop loss here, because look, the price has come down after going up, so the entry is near VWAP,
you will say that VWAP is going down, but is it right, the thing is that yes, itis right, why is it right, because the price is below VWAP, so it will try to go near Vaped it happened in the next candle, now what happens after that, the price falls a little, you see that the blue line was almost going to cross, it did not do it, and the trend has not changed, so you will remain in your position,
now one more thing, what will be your stop loss, generally what happens is that the candle in which you are entering, you put a stop loss of low from the previous candle, so if you want, you can trade by putting stop loss of low below this candle, which did not touch low, if it happened, then you go out, why go out, you will not carry the position of loss here, if the stop loss hits, then go out immediately, why because you see the risk to reward ratio here, how much itis made,
if I am telling you that you are entering from this candle or this candle, if say that you have entered from this candle, then you have put a stop loss of the previous candle, now if this high break has not happened, then you see how small the stop loss was here, and if the risk was so low, then see how much the reward was, so if you were to enter from here, then if you have entered here for example, you have entered at 35400,you have entered at35400,
so now the rate has come to 35100, in 300.1 days, now the thing is not that you will get 300.1 days every day, you have to see that how many times my triple confirmations happening, for example, you saw a crossover here, you saw crossover, but did the super trend say no, it said in this candle, it said no, it said in this candle, anyway, it said in this candle, after this, are we near VWAP or far, you will say it is far, but for selling this is good, because the price will try to go near VWAP,
and this candle has gone down lot, in fact, what it means to say is that if you get the right entry, now suppose you had taken the entry here, then your stop loss of its high was so small, and if you talk about the target, until I said that you are not seeing the crossover again, that is, you went here and came to the crossover, the crossover is done, you go out, so you made good profit and you do its back testing,
however much you do, you do it yourself, the crossover happened here, but did the trend change or not, then the entry is not made, the crossover happened here, did the confirmation of the super trend come here, then the entry is made, no matter how much it comes, I will say that you come here, your crossover happened here, did the super trend say it, it did not say it now,
when the super trend is saying, then we have to see how far and how close the VWAP is, and what is best is that when the crossover happens, then the super trend generates the signal, so it didn’t do it here, we won’t do it, we can avoid the trades, we don’t have to trade every time, we have to trade, snow for example, you had a crossover here, if you see after 1-2candles, even after 2-3candles,
you can see that the super trend has changed, you can take the entry if you want, but the best scenario is that when the crossover happens, then the super trend says that yes, the trend has changed, like it happened in this candle, so entry can be made here, and here in this candle, you can go out, so if you trade like this, then you have to understand what are our benefits and losses,
one most important thing is that if you see the probability of winning, it is huge, but for that the market should follow a trend, if the market is in any trend, see here the trend is sideways, then you won’t make much profit in this, in sideways market, this is the only thing, that in sideways market, this strategy doesn’t work very well, but when you are trading according to a trend, see here, here the crossover happened, but did the super trend give the signal or not, the super trend gave the signal, you won’t trade,
you can leave it, because the super trend changes very quickly in sideways market, see here, it is saying buy, it is saying sell after a while, so you can get stuck, because there is no triple confirmation, if there is a triple confirmation, then only you will trade, see here, crossover happened, super trend said that the trend has changed, you will take the entry, till when, till the crossover is not happening, so you see, risk to reward ratio, you see, how amazing risk to reward ratio comes here,
but if you would have traded here, only on the sayings of super trend, then you would have got stuck, why would you get stuck, you would have taken the entry somewhere and then the price was going down, so this only one super trend can get you stuck, but according to triple confirmation, there are chances that your loss will be very less, your profit will be more, so how are we going to trade, now here took the example of bank nifty, you take anyone’s example,
you take the example of Reliance, I will show you the example of Reliance, we open the Reliance chart, so we opened the Reliance chart, same indicators are there on the 5 minute time frame, here the signal was generated that super trend said sell, below MSTD said sell, and I said the price is very high than VWAP, it is good for us, it is higher than VWAP, it will go to VWAP,
it went down, the price fell, you sold here, you sold around 2430, alright, the market has fallen from here, in the same way when buying signal is generated, there was a crossover here, but the buying signal did not come, it came later, and try that it comes exactly the same, after some candlelit comes,
you can trade if you want, but you can avoid those trades also, because it is not necessary that I have to trade only in Reliance, where all three indicators are working for the same, we will trade there, now let’s come to understand the biggest thing in this whole strategy,
sometimes what happens, people can also do loss, I will try to explain to you how, for example, I will take Nifty here, I will take Nifty Futures here, I have opened the futures chart here, now I will try to explain to you, understand that, for example, you are seeing here that the signal is generated in Nifty, there is a crossover, a good entry is made, good profits, good, strategy is working amazing,
but some people trade on a 1 minute time frame, on 1 minute, on 3 minutes, it is possible that the more time you trade on the time frame, you will trade on 15 minutes, you are getting better confirmation, if you look at 15 minutes, then you can see a crossover here,
almost here, you can see crossover here, and you can see that the super trend has said and the market is falling from here, but if you look at it in just a minute, then a lot is happening in the market, the super trend also changes in the middle, look at the example here, here it is saying, infect, it is saying today that buy,
now some people will get stuck, why will they get stuck, they were looking at the 1 minute time frame, you saw that there is a crossover, the super trend also said that I will buy, yes, the price has gone up little, but ultimately why will you get stuck, because when the fall has come after this,
then a very good fall has come, some people are still in the trade, what should you do for this, here you should also see PCR, PCR means put call ratio, where will the overall market go today, how can we know this, see here I use a software, order render, I have told you before,
so here you see, I will go to the derivatives here, see here, I was seeing from the beginning that the signal generated by order render here So in between, the VWAP signal is saying buy and sell Now why don’t you get confused If I see the overall sell signal is the signal generated
So one thing is that I am not going to buy today in call option If my PCR is negative, for example, I trade in Bank Nifty, If I am going to trade in options, then I am not going to trade open Bank Nifty If the PCR of Bank Nifty is saying that today it is negative, there is a sell signal in the market And here the PCR is not improving Means you have to understand that it gives a signal directly Today is the market to buy, today is the market to sell If today is the market to sell Then something happens today, I will not buy
So you will not get stuck, because many times people get stuck Here in my strategy, you will feel that yes, the signal has been generated See the strategy works have seen your back testing of the strategy, no matter how old you are If all your things are matching
So ultimately, for example, look at this example Here your crossover came from below After the crossover, your signal was generated, booms you can back test this strategy anywhere If you see this strategy here, the crossover came, after one and a half candles you see That ok, the sell signal has also been generated hereafter that, it is above VWAP, means it will go to VWAP Boom, price is down
So whether it is a 1 minute time frame or 5 minutes, I am trying to show you an example You have to understand this, look at the example here The crossover came from below But exactly here your super trend did not say So if you want you can leave it did not say here, super trend said buy, super trend said after few candles So you can avoid this Now sometimes people get stuck in this, suppose you bought here
But your stop loss has been hit, your stop loss has been hit in this candle Although the trend has not changed, but why did the stop loss hit If you had taken the entry here So the low of the first candle was broken The stop loss has been hit, your strategy has not worked First thing I said that crossover and your super trend signal was generated together, it was generated in a while But still if you did the entry
Even though you understand that VWAP has not passed yet, the price is below Swathe price will go up, which has gone But now ultimately in this strategy, see what is the day of today Today ultimately if the day is of selling Here in PCR, the signal of the option is showing sells if it is showing sell, then I am not going to buy That’s why you won’t get stuck If it is selling, then when the trade of sell will come
Then we will sell and we can earn a great profits if you understand this, then you will understand a very amazing strategy Which I say that this is a great strategy Because you can do back testing of this anytime You can do back testing of how old it is Example see here Crossover happened, signal generated After the signal was generated, the price went up And now there is one thing here If we talk about stop loss, we took the entry, but the stop loss did not hit You can stay until the intersection of MACD is not repeated If it happened here, you can go here
So profit will be made, the super trend can change in the middle Because if a big candle is made in this way, then it can change But if the stop loss is not hitting, you can stay But if the stop loss is hitting, you go out So this is a simple strategy person who does not have much technical analysis knowledge at today’s rate Is also new, he can understand the strategy and can minimize his losses
See here, there is a crossover from below After that, you get a signal VWAP is very high, you take the entry The price will reach VWAP and you will stay until the crossover happens again You make profits You can book partial profits in the middle It’s not that I have to book profit in the end Until the crossover does not come again, you can book partial profits Because we all say that profits are profits So if there is a profit, you can books you first back test this strategy But the most important thing I told you You can use auto trader Even if you trade in stocks It is also important to understand that here Even if you trade in commodity
So all the signals are obtained that ultimately what you have to do If you are trading in gold, silver, crude oils overall you will know what you have to do For example, if I take here If you trade in copper here It is written that you can sell below 646If you trade in aluminum, it is written that you can buy above207Similarly, you also know about commodities here You also know about stocks So you get a lot of knowledge in this software You get a lot of signals in this software So this software will be very useful to you.