ECX statergy

one of my favourites when trading banknifty
taking eg for a short setup
works very well in range bound and index trading..has excellent risk to reward ratio due to selling at top and buying at bottom

first step is marking levels..tune to 1hr and mark the most prominent levels which stands out..big gaps, strong big fat bars,

the levels with the strongest reactions are the best...marking levels can be very subjective..i mark levels which are not too thin or bat..should be looking nice to eyes

step two is let price trade above/ this level..most retailers with go long,and this grabs excellent liquidity...
step 3 is to wait for fat bar to close below this level for short
for long. if in step 2 there was breakdown towards the downside, you wait for a solid green bar to form at this level..this bar cannot be missed

how is this different from normal buy low and sell high?
here we dont blindly sell at resistance and buy at support..always wait for confirmation bar that is in step 3..this bar makes everyone take by shock

also the strong reaction from a particular level means we have strong demand or supply and we can expect the same big money to help us here

also just by letting the the bar to trade above or below the level helps to avoid stop loss trades, and very low odds breakout trades..
please note i never said breakout trade doesnt work,here our aim is to watch the price action after breakout...if it reverses we take a trrade..if not then this setup is never activated and you can play for a different play

Shrillex17