{"id":473,"date":"2023-07-10T13:56:13","date_gmt":"2023-07-10T13:56:13","guid":{"rendered":"https:\/\/equitywise.in\/?p=473"},"modified":"2023-12-28T11:49:20","modified_gmt":"2023-12-28T11:49:20","slug":"easytrading","status":"publish","type":"post","link":"https:\/\/equitywise.in\/index.php\/2023\/07\/10\/easytrading\/","title":{"rendered":"Easy Steps For Trading"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"473\" class=\"elementor elementor-473\">\n\t\t\t\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-473ced50 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"473ced50\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-5dbd284c\" data-id=\"5dbd284c\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-7e9525ab elementor-widget elementor-widget-text-editor\" data-id=\"7e9525ab\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.12.0 - 29-03-2023 *\/\n.elementor-widget-text-editor.elementor-drop-cap-view-stacked .elementor-drop-cap{background-color:#69727d;color:#fff}.elementor-widget-text-editor.elementor-drop-cap-view-framed .elementor-drop-cap{color:#69727d;border:3px solid;background-color:transparent}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap{margin-top:8px}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap-letter{width:1em;height:1em}.elementor-widget-text-editor .elementor-drop-cap{float:left;text-align:center;line-height:1;font-size:50px}.elementor-widget-text-editor .elementor-drop-cap-letter{display:inline-block}<\/style>\t\t\t\t<p><!-- wp:paragraph --><\/p>\n<p>Blog By SEBI Registered Research Analyst Shubham Rajendra Jain, Registration Number INH000013554 . Date 28-12-2023<\/p>\n<p><strong>How to trade range Breakouts and manage risk while taking positional trades.<\/strong><\/p>\n<p><!-- \/wp:paragraph --><\/p>\n<p><!-- wp:image {\"id\":151,\"sizeSlug\":\"full\",\"linkDestination\":\"custom\"} --><\/p>\n<figure><\/figure>\n<p><!-- \/wp:image --><\/p>\n<p><!-- wp:paragraph {\"backgroundColor\":\"luminous-vivid-amber\",\"textColor\":\"vivid-red\",\"fontSize\":\"medium\"} --><\/p>\n<p><span style=\"color: #000000; font-family: 'Source Sans Pro', Arial, 'Helvetica Neue', Helvetica, sans-serif; font-size: 18px; white-space-collapse: preserve;\">We will understand, what range is and how to play breakout trades. In this context, range is when a share or a security is trading between two levels. <\/span><\/p>\n<p><span style=\"color: #000000; font-family: 'Source Sans Pro', Arial, 'Helvetica Neue', Helvetica, sans-serif; font-size: 18px; white-space-collapse: preserve;\">In our example, REC LTD <\/span><span style=\"color: #000000; font-family: 'Source Sans Pro', Arial, 'Helvetica Neue', Helvetica, sans-serif; font-size: 18px; white-space-collapse: preserve;\">was trading between 155 on the higher side to 52 on the lower side for 13 years. Now, our game is not to buy or sell inside the range but to wait for a breakout especially on the higher side. <\/span><\/p>\n<p><span style=\"color: #000000; font-family: 'Source Sans Pro', Arial, 'Helvetica Neue', Helvetica, sans-serif; font-size: 18px; white-space-collapse: preserve; font-style: var(--uicore-typography--p-st,'normal'); font-weight: var(--uicore-typography--p-w,'600'); letter-spacing: var(--uicore-typography--p-ls,'-0.027em'); text-transform: var(--uicore-typography--p-t,'none');\">You can see how the range breakout was rewarding share has almost tripled in a matter of 6-7 months. Now, to master this trading there are certain rules you should keep in mind before entering a range breakout trade. <\/span><\/p>\n<p><span style=\"color: #000000; font-family: 'Source Sans Pro', Arial, 'Helvetica Neue', Helvetica, sans-serif; font-size: 18px; white-space-collapse: preserve; font-style: var(--uicore-typography--p-st,'normal'); font-weight: var(--uicore-typography--p-w,'600'); letter-spacing: var(--uicore-typography--p-ls,'-0.027em'); text-transform: var(--uicore-typography--p-t,'none');\"><img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/equitywise.in\/wp-content\/uploads\/2023\/12\/rec-range-breakout.jpg\" alt=\"\" width=\"1493\" height=\"581\" \/><\/span><\/p>\n<p><span style=\"color: #000000;\">Rules for trading range breakouts-<\/span><\/p>\n<p><span style=\"color: #000000;\">\u00a01. Always select a higher time frame, preferably weekly time frame because longer the time of range, greater is the target you will get.\u00a0<\/span><\/p>\n<p><span style=\"color: #000000;\">2. Do not buy every candle above the range, mark the high of the candle giving breakout and then enter the trade only if another candle closes above that high.\u00a0<\/span><\/p>\n<p><span style=\"color: #000000;\">3. For risk management, use technical indicators on daily time frame, you can use exponential moving average 8 and 20.\u00a0<\/span><\/p>\n<p><span style=\"color: #000000;\">Do not keep SL as per weekly time frame. In the example, we can see a red circle which shows a clear fakeout and also that it did not confer with our second rule. The green circle marks the real range breakout.\u00a0<\/span><\/p>\n<p><span style=\"color: #000000;\">Take a screen shot to refer to these rules anytime you want<\/span>.<\/p>\n<p>Risk Management with lower time frame.<\/p>\n<p><span style=\"color: #000000; font-family: 'Source Sans Pro', Arial, 'Helvetica Neue', Helvetica, sans-serif; font-size: 18px; white-space-collapse: preserve;\">Before we understood weekly range breakouts, today we will understand how to manage risk and take the trend for this weekly trade. <\/span><\/p>\n<p><span style=\"color: #000000; font-family: 'Source Sans Pro', Arial, 'Helvetica Neue', Helvetica, sans-serif; font-size: 18px; white-space-collapse: preserve;\">For this we will use a technical indicator Exponential Moving Average (EMA). 2 EMA we will using are 8 and 20 on daily time frame. <\/span><\/p>\n<p><span style=\"color: #000000; font-family: 'Source Sans Pro', Arial, 'Helvetica Neue', Helvetica, sans-serif; font-size: 18px; white-space-collapse: preserve;\">Now, buying signal is when 8 EMA starts trading above 20 EMA and selling signal is when 8 EMA starts trading below 20. <\/span><\/p>\n<p><span style=\"color: #000000; font-family: 'Source Sans Pro', Arial, 'Helvetica Neue', Helvetica, sans-serif; font-size: 18px; white-space-collapse: preserve;\">Let\u2019s understand this with our Rec Ltd<\/span><span style=\"color: #000000; font-family: 'Source Sans Pro', Arial, 'Helvetica Neue', Helvetica, sans-serif; font-size: 18px; white-space-collapse: preserve;\"> Example. In the chart below, 8 EMA is marked with green line and 20 EMA is marked with red line. <\/span><\/p>\n<p><span style=\"color: #000000; font-family: 'Source Sans Pro', Arial, 'Helvetica Neue', Helvetica, sans-serif; font-size: 18px; white-space-collapse: preserve;\">The blue line below is the line above which breakout happened in weekly. You can see the green Line has stayed above red line since the breakout and this is how we can take the entire trend and we Square off once green starts trading below. <\/span><\/p>\n<p><span style=\"color: #000000; font-family: 'Source Sans Pro', Arial, 'Helvetica Neue', Helvetica, sans-serif; font-size: 18px; white-space-collapse: preserve;\"> This is the easiest way of managing your risk in a weekly time frame trade.<\/span><\/p>\n<div><img decoding=\"async\" loading=\"lazy\" class=\"alignnone size-full wp-image-533\" src=\"https:\/\/equitywise.in\/wp-content\/uploads\/2023\/12\/recltd-.jpg\" alt=\"\" width=\"1771\" height=\"605\" srcset=\"https:\/\/equitywise.in\/wp-content\/uploads\/2023\/12\/recltd-.jpg 1771w, https:\/\/equitywise.in\/wp-content\/uploads\/2023\/12\/recltd--300x102.jpg 300w, https:\/\/equitywise.in\/wp-content\/uploads\/2023\/12\/recltd--1024x350.jpg 1024w, https:\/\/equitywise.in\/wp-content\/uploads\/2023\/12\/recltd--768x262.jpg 768w, https:\/\/equitywise.in\/wp-content\/uploads\/2023\/12\/recltd--1536x525.jpg 1536w, https:\/\/equitywise.in\/wp-content\/uploads\/2023\/12\/recltd--650x222.jpg 650w\" sizes=\"(max-width: 1771px) 100vw, 1771px\" \/><\/div>\n<p><strong><span style=\"color: #000000;\">Join Free Telegram Group now-\u00a0https:\/\/t.me\/equitywise<\/span><\/strong><\/p>\n<p><!-- \/wp:paragraph --><\/p>\n<p><!-- wp:video --><\/p>\n<figure><\/figure>\n<p><!-- \/wp:video --><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Just with the steps Below You can become a positional trader or investor.<\/p>\n","protected":false},"author":1,"featured_media":537,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"_links":{"self":[{"href":"https:\/\/equitywise.in\/index.php\/wp-json\/wp\/v2\/posts\/473"}],"collection":[{"href":"https:\/\/equitywise.in\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/equitywise.in\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/equitywise.in\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/equitywise.in\/index.php\/wp-json\/wp\/v2\/comments?post=473"}],"version-history":[{"count":14,"href":"https:\/\/equitywise.in\/index.php\/wp-json\/wp\/v2\/posts\/473\/revisions"}],"predecessor-version":[{"id":546,"href":"https:\/\/equitywise.in\/index.php\/wp-json\/wp\/v2\/posts\/473\/revisions\/546"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/equitywise.in\/index.php\/wp-json\/wp\/v2\/media\/537"}],"wp:attachment":[{"href":"https:\/\/equitywise.in\/index.php\/wp-json\/wp\/v2\/media?parent=473"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/equitywise.in\/index.php\/wp-json\/wp\/v2\/categories?post=473"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/equitywise.in\/index.php\/wp-json\/wp\/v2\/tags?post=473"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}