Trading Futures & Options by Tara PDF

Trading Futures & Options
Tarachand Dewangan, Professional Trader
© 2018 Tarachand Dewangan

Contents
 Day1: Technical Analysis,  Day2: Options Strategies
Introduction to F&O  Experience the market
 Trading Process  PSAR based Bank Nifty / Nifty
 What is Technical Analysis Intraday Trading Strategy
 Chart Analysis, Trend lines, Support &  Bull Spread, Bear Spread
Resistance  Ratio Spreads
 Technical Indicators  Strangles & Straddles
 MACD based Stock trading strategy  Portfolio Hedging, Additional Income
 Introduction to Futures, Options Generation Strategies
 Option Greeks, Moneyness  Bank Nifty Expiry Strategy by Selling

Options
 Short Selling in Futures Market
 Stock selection workshop using
 Trading with Options MACD Strategy
Technical Analysis

How to analyze the market & trade
Market Stock Initiate Manage Book
Analysis Selection Trade Trade Profit
Fundamental Analysis Technical Analysis
• Method to evaluate the • Method to identify the

intrinsic value of a security trends in the price
• Examining economic, movement of a security
financial and other • Analyze statistics generated
qualitative and quantitative from trading activity, price
factors movement and volume
• Study: Macroeconomic • Study: Study the charts of
conditions, Company price movements, apply
financials, management various analytical tools to
credentials etc. evaluate trends
Limitations of Industry Life-Cycle Analysis
Technological
Changes
Demographic Regulatory
Changes Changes
Social
Changes
Macroeconomic Influences on Industry
Growth, Profitability, and Risk
Availability of
Interest Rates Credit
Economic
Inflation
Growth Industry
Growth,
Profitability,
and Risk
Ratio Analysis
Ratio analysis isn't just comparing different numbers from

.
the balance sheet, income statement and cash flow statement. It's
comparing the number against previous years, other companies,
the industry or even the economy in general
How much an individual trader/investor will be capable to do so?

Need a simpler way to identify potential winners and earn from it.

Limitations of Fundamental Analysis
Time Constraint – How much time do you have?
Based on estimates,
. assumptions & forecasts – You are at the mercy of
what management says
Bias of the analysts – At the mercy of analysts’ interpretation/interests
Difficult to project future growth
Specific to company & industry
Difficult to estimate fair / intrinsic value

What it means for an individual trader/investor?
Fundamental
.
Analysis does not
solve our purpose for trading
It is not possible to analyze trend

of the market/security/index
based on fundamentals
Can Technical Analysis help?...

What is Technical Analysis

The Logic of Technical Analysis
Supply and • The market value of any good or

demand service is determined solely by the
determine prices interaction of supply and demand
Changes in Prices can be

supply and projected with
demand cause charts and other
changes in prices technical tools
Basis of Technical Analysis
Market
Human trends and History
behavior is patterns tends to
Price moves
often erratic reflect repeat itself
in trends
and driven irrational and are thus
by emotion human predictable.
behavior.

Principles of Dow Theory
Technical Analysis as it is called today is based on the theories
proposed by Charles Dow in 1880s
 The Market Discounts Everything
 The Three-Trend Market– Primary , Secondary and Minor
 The Three Phases Of Primary Trends-----
Accumulation/Distribution, Public Participation, Excess/Panic
 Averages Must Confirm Each Other – Means various indices in
current time
 Volume Must Confirm The Trend
 Trend Remains In Effect Until Clear Reversal Occurs
Typical Stock Market Cycle
Stock
Price
Declining Trend Peak

Channel
Flat Trend Channel
Sell Point
Rising Trend Channel
Declining Trend
Buy Point Channel Buy Point
Trough
Trough
Charts, Trend lines,
Support/Resistance

Types of Charts
 How do charts differ?

Point and Line Chart
Figure  What are Basic tools available?
Chart
Candlestick  What are support and resistance

Chart
Bar Chart levels, when do they occur, and
how are they used by technicians?

The Bar Chart

Candlestick Formation
UP DOWN • Been around for hundreds

of years
• Often referred to as
“Japanese Candles” because
the Japanese would use
them to analyze the price of
rice contracts

Line Chart

Bar Chart

Candlestick Chart

Kind of Trends
• Primary Trend
• Secondary Trend
• Day to day fluctuations

Trend Lines
 There are three basic kinds of trends:
An Up trend where prices are generally increasing.
A Down trend where prices are generally decreasing.
A Trading Range.
Kinds of Trends

Kinds of Trends

Support and Resistance
Breakout
Support and resistance lines indicate
likely ends of trends.
Resistance results from the inability to

surpass prior highs.
Support results from the inability to Support Resistance

break below to prior lows.

Support & Resistance

Trend lines, Support & Resistance
Identify Trend lines, Support, Resistances

Technical Indicators

Types of analysis involved
 What are kinds of Analysis ?
 What is the purpose of moving average?
 What are indicators?
 What are Price Patterns & Candle stick Patterns?
 Volume & Open Interest Analysis

Using the Moving Average
 Shows the average value of a security’s price over a period
of time
 The most commonly used averages are of 20, 50, 100 and
200 days

Moving Average

Moving Average Cross

Moving Average Cross

Indicators
Technical indicators are mathematical calculations based on the price, volume, or open
interest of a security or contract. By analyzing historical data, technical analysts use
indicators to predict future price movements.
 There are, literally, hundreds of technical indicators used to generate buy and sell signals.
 Applying right combination of indicators at right time and on right type of trends gives
profitable results
 Trend indicators, Oscillators
 Some of the most useful indicators:

 Stochastics
 Relative Strength Index (RSI)
 MACD
 Bollinger Bands
 ADX
 Accumulation/Distribution
Stochastics
 Objective:
 It compares where a security's price closed relative to its price range over
a given time period.
 Application:
 Buy when the Oscillator (either %K or %D) falls below a specific level
(e.g., 20) and then rises above that level.
 Sell when the Oscillator rises above a specific level (e.g., 80) and then falls
below that level.
 Buy when the %K line rises above the %D line and sell when the %K line
falls below the %D line.

Stochastics Trade Signals

Relative Strength Index (RSI)
• What it does
Ratio of average price changes on up days to average price
changes on down days.
• Objective:
– A indicator that shows comparative price strength within
a single security.
– It can be used for Chart formations, Support/Resistance,
Failure Swings and divergence.
• Application:
- Positive and negative divergence analysis
- Oscillator to gauge overbought/oversold levels
RSI Example Chart

Divergences
 A divergence occurs when the trend of a security's price
doesn't agree with the trend of an indicator.
Positive divergence
Negative divergence

Negative Divergence

Positive Divergence

Stochastic/RSI Divergences
Identify Stochastic/RSI divergences

MACD- Moving Average Convergence and
Divergence
• Objective:
– The MACD turns trend-following indicator, moving averages, into a
momentum oscillator by subtracting the longer moving average (26 EMA
) from the shorter moving average ( 12EMA).
– As a result, the MACD offers the best of both worlds: trend following and
momentum.
• Application:
– Buy signal is generated when the MACD line ( Solid ) is crossing the Signal
line from below.
– Sell signal is generated when the MACD line is crossing the signal line
from above.
What MACD Does
• A 9-day EMA of the MACD Line is plotted with the indicator to act as a
signal line and identify turns.
• The MACD Line oscillates above and below the zero line, which is also
known as the centerline.
• When MACD line is in buy mode and above zero line it indicates strong
momentum on the up side.
• When MACD line is in Sell mode and below zero line it indicates strong
momentum on the down side.

MACD Signals

MACD
Identify MACD Trade Signals

Volumes & Open Interest Analysis
 What are some of the significant rules used by

technicians who want to follow the smart money, and
what is the logic of those rules?

Trading Volume
 Barometer of level of intensity in the market
 If buy/sell signal occurs on a relatively high volume day,

then it is more reliable
 High/low volume is relative to past trading and relative to

specific contract

Volume

Open Interest(OI) Buildup
 Open Interest is the number of Open Contracts for the
respective security in the Future Market.
 Increase in Open Interest in a trending stock ascertains the

strength of the trend, it means Future traders agree with
the current trend of the stock.
 If buy/sell signal occurs with significant increase in OI,

then it is more reliable

How to trade: Applying it all
together

Process for stock selection, entry/exit
Market Stock Screening using Weekly
Analysis Uptrend/MACD or Chart Pattern
Based Breakout on weekly/daily
timeframe
Stock
Selection
Check Daily Stochastic if
rises from below and crosses
Initiate > 50
Trade
Follow Trade Management

Manage Watch out for Stop Loss
Trade
Exit if profit target met or
Indicators like RSI give
Book overbought/Negative
Profit Divergence warning
Stock Screening – Always choose smoothly up
trending stocks (NO Compromise)
• Check for uptrend on weekly chart
• Must be on uptrend from at least last 6months to 1 year

Stock Screening – Always choose smoothly up
trending stocks (NO Compromise)

Use MACD on weekly chart to find nice
trending charts – weekend activity

Use MACD on weekly chart to find nice
trending charts – weekend activity

On Daily chart, watch out Stochastic, BUY
when crosses above 50 – daily activity

On Daily chart, watch out Stochastic, BUY
when crosses above 50 – daily activity

Final Thoughts
 Technical Analysis does work
 It requires Work to make it work
 Strategy Development
 Need to study past technical analysis for several years worth of

data on a particularly asset class before trading

Derivatives - Futures & Options

Before we jump to F&O concepts,
lets look into the most important
aspect of trading/investing…

Trade and Money
Management

Strategy for investment & trading
 Analyze what you want to

do
 Keep your investment &
trading book separate
 Always follow the plan,
never deviate

Guideline for trading
 Trend is Friend
 Small losses : Hallmark for Traders, Don’t delay Stop Loss
 Time limit - Trading
 Trailing of Trade
 Stock Selection

Money Management
 20% Technical and 80% Money Management.
 Write down money management and trading technique - read it before starting the
day
 Identify a Basket to trade
 Position Sizing
 Stop loss importance – Devising stop loss, Maintain 1:3 or min 1:2 ration between
Profits and Stop Loss
 Pyramid Trades
 Hit a sixer !!!

Derivatives
 A product whose value is derived from the value of one or more basic variables, called
bases (underlying asset, index or reference rate ), in a contractual manner. The
underlying asset can be equity , forex commodity or any other asset.

Characteristics of Derivatives
Derivatives are vehicles for transferring risk
There value is derived from underlying instrument and it

changes in response to change in the underlying
They are leveraged instruments, i.e. they require little or no

investments
They are settled at a future date

Underlying

Participants in Derivatives Markets
 Hedgers - Operators, who want to transfer a risk component of their portfolio.

 Speculators - Operators, who intentionally take the risk from hedgers in pursuit of
profit.
 Arbitrageurs - Operators who operate in the different markets simultaneously, in
pursuit of profit and eliminate mis-pricing.
Derivatives Instruments
 Forwards
 A forward contract is customized contract between two
entities, where settlement takes place on a specific date
in the future at today’s pre-agreed price.
 Futures
 An agreement between two parties to buy or sell an
asset at a certain time in the future at a certain price.
Standardized exchange-traded contracts.
 Options

Futures
 Index futures are the future contracts for which underlying is the cash market index.
 Stock Futures are the contracts for which underlying is the cash stock. Ex – RIL, HDFC
 For example: BSE may launch a future contract on "BSE Sensitive Index" and NSE may
launch a future contract on "S&P CNX NIFTY".

Margins
 Initial Margin
 Exposure Margin
 Mark to Market

Modes of trading in Index Future Markets
There are eight basic modes of trading on the index future market:
Hedging
1. Long security, short Nifty Futures
2. Short security, long Nifty futures
3. Have portfolio, short Nifty futures
4. Have funds, long Nifty futures
Speculation
1. Bullish Index, long Nifty futures
2. Bearish Index, short Nifty futures
Arbitrage
1. Have funds, lend them to the market
2. Have securities, lend them to the market

Why Using Options?
 Leverage/ gearing effect (like warrants)
 Reinforce stop-loss concept when buying
 Income enhance when selling
 Portfolio hedge for PMs

Futures Vs Options
FUTURES OPTIONS
Futures contract is an agreement to buy or In options the buyer enjoys the right and
sell specified quantity of the underlying not the obligation, to buy or sell the
assets at a price agreed upon by the buyer underlying asset.
and seller, on or before a specified time.
Both the buyer and seller are obliged to
buy/sell the underlying asset.
Unlimited upside & downside for both Limited downside (to the extent of
buyer and seller. premium paid) for buyer and unlimited
upside. For seller (writer) of the option,
profits are limited whereas losses can be
unlimited.
Futures contracts prices are affected Prices of options are however, affected by
mainly by the prices of the underlying a)prices of the underlying asset, b)time
asset remaining for expiry of the contract and
c)volatility of the underlying asset.
Options
 Options are instruments whereby the right is given by the option seller to the option buyer
to buy or sell a specific asset at a specific price on or before a specific date.
• Option Seller - One who gives/writes the option. He has an obligation to perform, in case
option buyer desires to exercise his option.
• Option Buyer - One who buys the option. He has the right to exercise the option but no
obligation.
• Call Option - Option to buy.
• Put Option - Option to sell.
• American Option - An option which can be exercised anytime on or before the expiry date.
• Strike Price/ Exercise Price - Price at which the option is to be exercised.
• Expiration Date - Date on which the option expires.
• European Option - An option which can be exercised only on expiry date.
• Exercise Date - Date on which the option gets exercised by the option holder/buyer.
• Option Premium - The price paid by the option buyer to the option seller for granting the
option. © 2018 Tarachand Dewangan
The strike price
The option’s strike is the fixed amount

per share at which the option can be
exercised. “Exercise” means buying 100
shares (with a call) or selling 100 shares
(with a put) at the fixed strike price.
A call owner may exercise a call when the current market price is higher than the fixed
strike.
A put owner may exercise a put when the current market price is lower than the fixed
strike.
Expiration
Every option expires on a specific date,

called the “expiration date.”
This is the third Saturday of the expiration month; the last trading day is the third
Friday of expiration month.
After expiration, every option that was not closed or exercised becomes worthless.
Call Option Put Option
Option Buyer Buys the right to buy the Buys the right to sell the
underlying asset at the Strike underlying asset at the Strike
Price Price
Option Seller Has the obligation to sell the Has the obligation to buy the
underlying asset to the option underlying asset from the
holder at the Strike Price option holder at the Strike
Price
Option pricing
 Factors contributing value of an option
 price of the underlying stock
 time until expiration
 volatility of underlying stock price
 cash dividend
 prevailing interest rate.
 Intrinsic value: difference between an in-the-money
option’s strike price and current market price
 Time value: speculative value.
Option Price Components
Option prices to security price
Option prices - time to expiry
Option price – Volatility of stock price
Implied Volatility
 Implied volatility is the second most important price determinant of stock options
other than the price of the stock itself.
 Implied Volatility estimate the underlying asset's possible magnitude of move to

either direction.
 The higher the Implied Volatility, the more the stock is expected to move and hence
a greater possibility that the underlying asset will move in your favor.
Implied Volatility
 The lower the Implied Volatility, the more stagnant the stock is expected to be and
hence the lower the possibility that the stock will move in your favor.
 The higher the implied volatility of the underlying asset, the higher the extrinsic value
of its options will be and the more expensive those options become due to a greater
possibility that it will end up in your favor profitably.
Implied Volatility
 Mathematically, the factors that affect implied volatility are the exercise price, the
riskless rate of return, maturity date and the price of the option.
 Implied volatility tends to rise in a bear market and drop in a bull market. In a bear
market, investors and traders alike usually rush into put options for speculation
or hedging purpose all at once while in a bull market, the buying of call options tend
to be more spread out and less "hurried".
More Option “Moneyness”
 “In the Money” options have a positive intrinsic value.

 For calls, the strike price is less than the stock price.
 For puts, the strike price is greater than the stock price.
 “Out of the Money” options have a zero intrinsic value.

 For calls, the strike price is greater than the stock price.
 For puts, the strike price is less than the stock price.
 “At the Money” options is a term used for options when the stock price and the strike
price are about the same.
Option risks / Option Greeks
 Delta: the sensitivity of option value to a unit change

in the underlying asset (hedge ratio)
 Gamma: The responsiveness of delta to unit changes
in the value of the underlying asset
 Theta: The sensitivity of option value to change in
time
 Vega: The sensitivity of option value to change in
volatility
 Rho: The sensitivity of option value to changes in
interest rate
Option Pain / Max Pain
“In the options market, wealth transfer between option buyers and sellers is a zero sum game. On
option expiration days, the underlying stock price often moves toward a point that brings maximum
loss to option buyers. This specific price, calculated based on all outstanding options in the markets, is
called Option Pain. Option Pain is a proxy for the stock price manipulation target by the option selling
group”.
 The 7800 strike is the point at which

option writers would lose the least
amount of money, so as per the option
pain theory, 7800 is where the market
is likely to expire for the this series.
 Most traders use this max pain level to
identity the strikes which they can
write. In this case, since 7800 is the
expected expiry level, one can choose to
write call options above 7800 or put
options below 7800 and collect all the
premiums.

Short Sell Opportunities in Future Market
 Negative crossover in MACD, weekly chart. Sell in each rally based on Stochastic
 Head & Shoulder Pattern, breakdown below neckline
 Breakdown after a Trading Channel, or a long consolidation zone
 Surge in OI with Price Breakdown, quick short sell opportunity
 Negative Divergence in the Oscillators like RSI from a strong resistance area

Bank Nifty / Nifty Intraday
Trading
• How to benefit from intraday trends in Bank Nifty / Nifty using PSAR based strategy

Parabolic SAR
 Developed by Welles Wilder, the Parabolic SAR refers to a price-and-time-based
trading system.
 SAR stands for “stop and reverse,” which is the actual indicator used in the
system. SAR trails price as the trend extends over time.
 The indicator is below prices when prices are rising and above prices when
prices are falling. In this regard, the indicator stops and reverses when the price
trend reverses and breaks above or below the indicator.
Parabolic SAR
Parabolic SAR
 SAR follows price and can be considered a trend following indicator. Once a
downtrend reverses and starts up, SAR follows prices like a trailing stop. The
stop continuously rises as long as the uptrend remains in place. In other words,
in an uptrend and continuously protects profits as prices advance.
 Once price stops rising and reverses below SAR, a downtrend starts and SAR is
above the price. SAR follows prices lower like a trailing stop. The stop
continuously falls as long as the downtrend extends. It continuously protects
profits on short positions
Experience the Market
Bank Nifty Trade Outlook for the day

Trading Strategies
Basic Strategies in Option Trading
 Hedging: Have stock, buy puts
 Hedging: Have stock, sell calls ( reduce cost of holding, risk of losing upside)
 Speculation: bullish stock, buy calls or sell puts
 Speculation : bearish Stock, buy put or sell calls

There are Three Basic Option
Trading Strategies
 Take a position in an option and the underlying.
 Take a position in 2 or more options of the same type (This is called

a spread)
 Same type means:
 Use only calls –or-
 Use only puts
 Take a position in a mixture of calls and puts

(This is called a combination.)
Long Call Option
 Market Opinion - Bullish
 Most popular strategy with investors.
 Used by investors because of better leveraging compared to buying the
 underlying stock – insurance against decline in the value of the underlying
Profit +
BEP
0 S
Underlying Asset Price

DR
Stock Price
Loss - Lower Higher
Risk Reward Scenario
 Risk Reward Scenario
Maximum Loss = Limited (Premium Paid)
Maximum Profit = Unlimited
Profit at expiration = Stock Price at expiration – Strike Price – Premium paid
Break even point at Expiration = Strike Price + Premium paid

Payoff of call option
Short Put
Profit +
CR BEP
0 S
Stock Price
Loss - Lower Higher
 Risk Reward Scenario

 Maximum Loss – Unlimited
 Maximum Profit – Limited (to the extent of option premium)
 Makes profit if the Stock price at expiration > Strike price - premium
BEARISH
STRATEGIES
Long Put
Profit +
0
S
DR BEP
Loss - Stock Price

Lower Higher
For investors who want to make money from a downward price

move in the underlying stock Offers a leveraged alternative to a
bearish or short sale of the underlying stock.
Payoff of Put Option
Short Call
Profit + Underlying Asset Price
CR
BEP
S
0
Stock Price
Loss -
Lower Higher
Risk Reward Scenario
Maximum Loss – Unlimited

Maximum Profit - Limited (to the extent of option premium)
Makes profit if the Stock price at expiration < Strike price + premium
Advanced Strategies
Six option strategies are especially interesting in the way they allow you to leverage capital,
reduce risks, and control shares of stock.
These six are:
1. Covered call.
2. Ratio write.
3. Variable ratio write.
4. Insurance put.
5. Collar.
6. Synthetic stock.
Combinations, I.
 A Long Straddle is formed by a long call and a long put:
 Both have the same strike and expiration date.
 What is the worst possible value for the underlying at expiration?
 In a Short Straddle, one sells the call and sells the put.
Profit
ST
Long Straddle Using a Call and a Put

Combinations, II.
 A Long Strangle is formed by a long call and a long put:
 Both have the same expiration date.
 But, the call and put have different strike prices.
 In a Short Strangle, one sells the call and sells the put.
(what does it look like?)
Profit
ST
Long Strangle Using a Call and a Put

Combinations, III.
Strips and Straps
 Strips and straps are formed by using a different number of calls and
puts. However, all the options share
 The same strike price.
 The same expiration date.
Long 1 Call; Long 2 Puts Long 1 Put; Long 2 Calls
[A] Long Strip [B] Long Strap

Spreads
 Calendar Spreads:
 Use the same strike, but with two different expiration dates.
 Can use either calls or puts.
 The resulting payoff is curved. This is because one option is still ‘alive’ at the expiration date
of the other.
 Ratio Spreads (pg. 430)

 Can use either calls or puts.
 Same expiration, but with two different strikes.
 However, unlike other spreads, the number of options held in each position is not the same.
For example, a one could buy 3 puts with a strike of 30, and sell one put with a strike of 35.
Open Interest
Underlying Open Interest General Pricing Behavior

Interpretation
UP ADDITION Long Build up Trending up
DOWN ADDITION Short Build up Trending Down
UP REDUCTION Short Covering Very fast short term

movement
DOWN REDUCTION Long unwinding Trend is expected

to reverse
Open Interest
Put Call Ratio
 Mood of the market

 Total of Put option open interest divided by total of call option open interest
 Nov series PCR at ?
Derivative Indicators clubbed with Technical Analysis
can be effective combination for successful trading.
Stock Selection Workshop
• Lets scan few stocks using MACD method
• Identify stocks for potential positional trades

Any other curiosities

Happy Trading

Trading Futures & Options by Tara PDF

Caricato da

Informazioni sul documento

Titolo originale

Copyright

Formati disponibili

Condividi questo documento

Condividi o incorpora il documento

Opzioni di condivisione

Hai trovato utile questo documento?

Questo contenuto è inappropriato?

Copyright:

Formati disponibili

Trading Futures & Options by Tara PDF

Caricato da

Copyright:

Formati disponibili

Trading Futures & Options

Tarachand Dewangan, Professional Trader

© 2018 Tarachand Dewangan

 Option Greeks, Moneyness  Bank Nifty Expiry Strategy by Selling

© 2018 Tarachand Dewangan

Fundamental Analysis Technical Analysis

• Method to evaluate the • Method to identify the

Ratio analysis isn't just comparing different numbers from

How much an individual trader/investor will be capable to do so?

© 2018 Tarachand Dewangan

Bias of the analysts – At the mercy of analysts’ interpretation/interests

Difficult to project future growth

Specific to company & industry

Difficult to estimate fair / intrinsic value

It is not possible to analyze trend

Can Technical Analysis help?...

© 2018 Tarachand Dewangan

Supply and • The market value of any good or

Changes in Prices can be

© 2018 Tarachand Dewangan

Declining Trend Peak

Flat Trend Channel

Rising Trend Channel

© 2018 Tarachand Dewangan

 How do charts differ?

Candlestick  What are support and resistance

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

UP DOWN • Been around for hundreds

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

• Day to day fluctuations

© 2018 Tarachand Dewangan

A Down trend where prices are generally decreasing.

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

Resistance results from the inability to

Support results from the inability to Support Resistance

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

Identify Trend lines, Support, Resistances

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

 What is the purpose of moving average?

 What are indicators?

 What are Price Patterns & Candle stick Patterns?

 Volume & Open Interest Analysis

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

 Trend indicators, Oscillators

 Some of the most useful indicators:

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

© 2018 Tarachand Dewangan

Identify Stochastic/RSI divergences