Optimized Open High low strategy (Read More and Buy)
- July 17, 2019
- Posted by: PurpleTrades
- Category: AFL
Open High low strategy is one of the popular and very common strategies among traders.
The basic logic of This strategy is :
When Open = High of the first candle (of any time frame) Go short on open of 2nd candle.
Similarly, when Open = low of the first candle (of any time frame) Go Long on open of 2nd candle,
Target has no specific logic, we can either set in percentage or points or auto square of during market close time ( 3:15 pm).
The Optimised Open High low strategy is a step ahead.
Here is the brief of the strategy:
When Open = High = Go short. SL can be High + 0.05 of the first candle or in points or percentage.
When Open = Low = Go long. SL can be LOW – 0.05 of the first candle or in points or percentage.
Entry has 3 filters :
- Normal Entry : Just check if O = H or O = L.
- Previous day close : For Buy it will check if O = L is above previous day close and for Short it will check if O = H is below previous day close, this increases probabllity of stock hitting our targets.
- Previous day High low : For Buy, it will check if O = L is above previous day high i.e a strong gap up and for Shoort, it will check if O = H is below previous day low i.e a strong gap down, this further increases the probablity of stock hitting our targets.
There are 2 targets :
Targets can also be in points or percentage or auto square off at the close of the candle.
When target 1 is achieved, we book partial quantity there and trail the remaining till target 2 with a Trailing SL.
The strategy also has an option of whether to keep 1 target or 2nd target.
This way we can lock minimum profit on target 1 and aim for maximum profits at 2nd target.
Additonal Risk managemet tools are :
Features of AFL :
- Works on anytime frame
- Scan enabled
- Multi options for SL
- Multi options for targets
- Multi-target enabled.
- Fully automated.
- Backtest enabled.
- Disables/Enable Long and short trades.
- Quantity management using Exposure.
- Trade entry, exit and Square off time can be customized in AFL.
Get this Fully automated strategy at INR 1499/Month only.
Buy for 3 months at INR 2999.
Buy For 6 months in INR 4999.
Buy for 1 year in INR 7999.
#Open High low AFL
To know how basic Open-high low scanner works in the live market, watch the video here: