NIFTY TRADING PLAN

In my trading career I have come across, many charting softwares and sites, costly or non-costly. The list is becoming endless with the advancement of technology:Metastock, Amibroker, TradeStation, Advanced Get, FCharts, ICharts, JCharts, BazaarTrend. But may be we traders are ignoring a hidden free gem like the Yahoo Finance Charts. Thanks to Yahoo, we Indians get absolutely live charts for our indexes from Yahoo charts absolutely FREE. I have attached an auto-updating real time Nifty chart from Yahoo Finance @ Live Nifty section of this blog athttp://niftytradingchart.blogspot.com/.

I repeat even a novice can successfully trade Nifty future using thischart. But how? Rules are again simple:

Buy Nifty when 3 mins EMA goes above 13 mins EMA and 13 mins EMA is also above 34 mins EMA. Comfirm the RSI and Stochasticsboth in uptrend and has not reached the overbought zone of 80. Exit Nifty longs when RSI and Stochastics both starts coming down from the overbought zone.

Sell Nifty when 3 mins EMA goes below 13 mins EMA and 13 mins EMA is also below 34 mins EMA. Comfirm the RSI and Stochastics both in downtrend and has not reached the oversold zone of 20. Exit Nifty shorts when RSI and Stochastics both starts moving up from the oversold zone.

Now lets see how I have made 45 points in Nifty yesterday (i.e. 8th May 2009), just by trading the FREE Yahoo charts. I know a picture worth a thousand words, so I attached a picture of yesterday's trades. Your comments are welcome to extend this discussion to a further height. Cheers!!