Intraday Trading Techniques : Super trend is a very simple indicator for find out the trend. The Buy and Sell signal changes as soon as the indicator flips over the closing price. When the Super trend closes below the Price, a Buy signal is generated, and when the Super trend closes above the Price, a Sell signal is generated. In Investor this is shown with green and red arrows, so that all you have to do is use the green arrow for Buy and red arrow for Sell.
- Comparison of Super trend with “RSI with EMA Crossover” strategy
- Super trend is a trending indicator.
- Super trend give false signals in sideways trends.
- However, Super trend give good signal for intraday trader.
- Take a buy when price close above Super trend.
- Place SL below super trend.
- Take a sell position when price close below the super trend.
- Place SL above super trend.
- Stay away from the market when trend is sideway.