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While trading, using multiple timeframes allow you to see the bigger picture,

same as in INTRADAY,

using 1H TF is good to see the main TREND of the STOCK for Intraday,
you can get the Extenisve Supports & Resistance for the day,

then you can SWITCH to lower 15 min TF to pinpoint your entry,


you can get to see where STOCK is taKing SUPPORT or getting REJECTED
again & again

(in this case I use Pivots also manytimes)

and once all set in mind, I EXECUTE my trade on 5M TF in System,


with precise Stoploss.
How to Position Size in your trade.
The ideal position size for a trade is determined by dividing the money at risk or account
risk limit by your trade risk.
Ideal position size for trade=account risk limit/amount of trade risk
say your account size is Rs 1L

now, you set the account risk limit per trade at 2%.
That is, Rs. 2K per trade is your money at risk.
Now suppose for any stock, you entered the trade at Rs.50, and you set up the stop loss at
Rs.40, then your total amount of trade risk is Rs.10.
So, the ideal position size for the trade would be: 2000/10 = 200 shares
So your ideal position size or the number of shares of security XYZ can be 200 given your
risk appetite.
Some Practical Insights on Position Size
First of all, IMO position size is practically that amount of stocKs you trade in the
marKet that gives you Psychological MONETRAY comfort with respect to the RISK of
your trading capital.

If you have to TRADE total 1000 quanity of any stocK INTRADAY:

as per setup 1st use MULTIPLE TIMEFRAME as discussed:


& then,

taKe entry/ EXECUTION on 5M TF in parts,

25% (250) when you see the SETUP is about to form (in maKing)
50% (500) when SETUP formed
25% (250) when in favour

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