Today, we are going to share a very popular strategy especially designed for intraday traders.
Yes, it is open = high and open = low strategy. In this strategy, buy is generated when the Low price of the stock is same as the Open price. This indicates the stock is bullish and the price could not survive at lower levels so we will buy the stock with the Stoploss 10 paisa below the Low price of the day.
Simultaneously, sell is generated when the High price of the stock is same as the Open price. This indicates the stock is bearish for the day and price started falling as soon as the day started. The stoploss for our sell here shall be 10 paisa above the High price of the day.
There are lot of websites on the google that shows you open=high and open=low stocks as soon as the market opens. The best time to take entry for these trades are before 9:20am and most of the time you will see your positions in good profit at before 10am.
A few times, the open=high and open=low happens by chance as well and to avoid those traps we advise our traders to book 50% profit before 10am so that your profitable trade does not turn into loss one.
PS: This strategy is purely for intraday; do not carry forward these trades for the next day.