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3:30 Formula for Bank Nifty Trading
3:30 Formula for Bank Nifty Trading
The 3:30 formula for Bank Nifty trading is a strategy that involves two trading sessions in a day – one in the morning and one in the afternoon. This formula is designed to provide a disciplined approach to trading within specific time frames, aiming to minimize potential losses and simplify the trading process.
Morning Session (9:15 AM to 11:00 AM):
- Execute the first trade between 9:15 AM and 11:00 AM.
- Observe market behavior during this time; do not initiate any trades between 11:00 AM and 1:00 PM.
- Focus on taking a single trade during this morning session.
Afternoon Session (1:00 PM to 3:30 PM):
- Execute the second trade between 1:00 PM and 3:30 PM.
- Avoid taking trades during the midday period between 11:00 AM and 1:00 PM.
- Only two trades are allowed in a day – one in the morning and one in the afternoon.
Implementation of the Formula:
1)Morning Trade:
- Take a trade in the morning session between 9:15 AM and 11:00 AM.
- After 30 minutes(9.15am to 9.45am - 30 min candle - High low mark it, switch to a 3-minute timeframe.
- Observe market behavior during this period and avoid trading between 11:00 AM and 1:00 PM.
- Execute a single trade during this morning session based on market conditions.
2)Afternoon Trade (1:00 PM to 3:30 PM):
- At 1:00 PM, mark the high and low of the candle forming.
- After 30 minutes(1pm to 1.30 pm - 30 min candle - High low mark it, switch to a 3-minute timeframe.
- If the market breaks out above the marked lines, buy a call option. If it breaks down, buy a put option.
Additional Tips:
Pay attention to the previous day's high and low levels. If the market breaks out, the previous day's high becomes a support level, and if it breaks down, the previous day's low becomes a resistance level.
Be cautious about potential reversals, especially around previous day's levels.
Summary:
The 3:30 formula is a systematic approach to Bank Nifty trading, emphasizing specific time frames for executing trades in the morning and afternoon sessions. It encourages a disciplined trading strategy to enhance the probability of successful trades. If you have any questions or need further clarification, feel free to ask.
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