BEFORE TAKING ANY TRADE ASK YOURSELF

 Where is buyer and where is seller? Whether entry is News or Previous Day biased?
 Where is previous day value area? Who is strong (Buyer or Seller)? What Opening indicates?
 Which player is moving market (Other Timeframe or Day)? Check Tails, Range Extensions.
 Whether there are any Signals of Strength/Weakness as per VSA? Is there any Anomaly, CHOCH,
SOT, Clustering of Closes, No Demand, Upthrust, Pushing Down through Support, Top Reversal (SOW)
No Supply, Tests, Springs, Bottom Reversal, Shakeouts, Pushing Up through Supply, Jack (SOS)?
 Whether there is strength or weakness in background? Confirm with Mirror. Do Homework.
 What activity taking place near or at Support and Resistance, Trend line, Trend Channel?
 Which type of activity (Initiative/Responsive) taking place in relation to previous day value area?
 Check Base and Confidence of Buyer or Seller. Check Trending or Bracketed Market Signals.

After Entering Trade –

 Track the force with you and opposite to you.
 Read the sentiment in market.
 Exit trade if sentiment changes.
 Trail your stop loss if conditions are strongly in your favor.
 Analyze whether the move is genuine or fake.

 Enter trade on Fact, Stay in trade on Fact, Exit the trade on Fact. No Emotions.
 Do not initiate trade based on news or other country market information. Effect of news is strong in early session.
Trade cautiously on major economic event day. Don’t much rely on index since the Nifty-50 does not prescribe the
movement of the fifty stocks; rather, it is the fifty stocks that prescribe the movement of the Nifty-50.
 Only take trade when large force is coming in your intended direction. If force is as per your expectation then it will take
your order and go to your intended direction. Normally use stop-loss order to enter.
 Observe market carefully after opening on Monday or after holiday and trade cautiously in early session.
 Misleading moves can take place on Friday or before holiday in end session.
 “There is nothing like losing all you have in the world for teaching you what not to do. And when you know what not to
do in order not to lose money, you begin to learn what to do in order to win. Did you get that? You begin to learn!”
 The big money is made by sitting, not thinking. Men who can both be right and sit tight are uncommon. I found it one of
the hardest things to learn.
 A battle goes on in the stock market and the tape is your telescope. You can depend upon it seven out of ten times.
 Born operators like Livingston are often able to do the right thing instantly because they do it instinctively.
 A man must believe in himself and his judgment if he have to sustain in this game. That is why don’t believe in tips.
Logic, Common Sense, Patience, No Aggressiveness, Self-Discipline, Focus, Open Mind are qualities of good trader.
 I couldn’t afford anything that kept me from feeling physically and mentally fit. Even now I am usually in bed by ten. As
a young man I never kept late hours, because I could not do business properly on insufficient sleep.
 Every time I found the reason for a loss or the why and how of another mistake, I added a brand new don’t to my
schedule of assets. To understand what you do, you must only do what you understand.
 The way to make big money is to be right at exactly the right time. Too soon is as bad as too late.
 Always sell what shows you a loss and keep what shows you a profit.
 To be greatly successful in any business a man must know not only his own business but his own self.
 With each trade, you put your knowledge, your understanding, and your experience on the line to be judged by the market.
 Trader must fear that his loss may develop into a much bigger loss, and hope that his profit may become a big profit. But
actually when the market goes your way you become fearful and when the market goes against you, you hope that every
day will be the last day.
 Logic creates the impetus, time generates the signal, and structure provides the confirmation.
 The best trades often fly in the face of the most recent market activity, and never lose sight of the bigger picture.
 Signal, Market Structure and Composite Operator – Combine these three for actual picture.