Action Plan for a Daily Income Trader

Sessions

1) Need to go through all the 24 CTP sessions and watch the recordings at least once (Live) or 2
times (Recording)
2) Submit your personal trading plan to your mentor as soon as possible
3) The daily income trader should attend the bonus session held every month once compulsory
and if he is unable to attend the session live then he should watch the recording of the bonus
session at least 2 times
4) Once I complete CTP I will watch and attend the below live sessions regularly to keep myself
updated with the market

9-9.45 am  Equities Trading (Intraday Sessions where HIT & DIT are discussed)
12.30 pm-12.45 pm Equities Trading
1.30 pm – 2 pm Commodities
3 pm – 3.30 pm Closing Equities Session
5.30pm – 6 pm Commodities
9 pm – 9.45 pm Equity Session (for all trading styles)

5) Once a month we are going to hold STR session. These sessions are going to be held on 2nd or 4th
Friday of the month depending upon the availability of the instructor

Time Allocation: 1 hour analysis and at least 2-3 hours of commitment towards planning trades on
weekends

Order placement: During Market hours + After Market hours orders

After market bracket orders will be placed from 11 pm – 9 am and on weekends they can be placed
anytime…

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Routine for a Daily Income Trader

Pre-Market Routine: (8:30 am – 9:15 am)

1) Visit www.marketwatch.com or www.moneycontrol.com and watch how global markets are
doing
2) Visit www.sgxnifty.org and watch how the Singapore Nifty is doing
3) Visit www.sharekhan.com and check for earnings or economic news and events announcement
4) Run the Ignite pre built Daily Income scanner and find Daily Income Bullish and Daily Income
Bearish stocks
5) Create a market watch list and add the scripts to this list
6) Place a bracket order before 9 am or after 9.15 am in the system
Note: Please make sure to run the Ignite scanner before 9 am for pre market routine only to get
valid results of shortlisted stocks/scripts

Mid-Market routine (9:15 am – 3:30 pm)

1) Re run the Ignite scanner again to find Bullish vs. Bearish stocks but only do that preferably after
9:45 am to get better results
2) Create a market watch and list out Strong vs. Weak stocks
3) Place bracket orders with Trailing Stop Loss

Post Market routine (After 3.30 pm)

1) Log all the trades taken during the day in Excel Sheet and tabulate your results on a monthly
basis
2) Share this trade log with your mentor on a quarterly basis
3) Run the scanner for trading opportunities for the next day

Strategy for Daily Income Trading

1) Identify the purpose of your trading
Short Term Income and not Long Term Income while doing DIT

2) Define your trading style?

HIT(Aggressive and must be traded after 3-6 months of experience in the other trading styles)
DIT
WIT
MIT

3) What are going to be your time frames for DIT Style?

Trading Style Curve Analysis Trend Analysis Zone Analysis
Daily Income Daily 60 mins 15 mins

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4) What strategy I am going to use to identify my trend
50 SMA to identify the trend using the clock and slope approach

5) Will I consider high volatility in my trading

a) Yes  Aggressive Trader (after 6 months of experience)
b) No Conservative Trader

6) As a DIT do I take into consideration any news into account?

No

7) How I am going to quantify my zones?

Using Odds Enhancers
Score > 7 TYPE 1
Score of 6 and 5.5 TYPE 2 or TYPE 3

8) What are some of the secondary tools that I would like to use in conjunction with Demand &
Supply
DATR

9) What is going to be my Stop Loss for a DIT?

2% of Daily ATR

10) Targets
a) I will have 2 targets (2 bracket orders)
b) I will have 1 target (1 bracket order)
c) I will have multiple targets (Multiple bracket orders)

11) Where I am going to be taking my profits for my trades?

Opposing level of Demand or Supply on the same time frame which is ideally fresh – 15 mins
(Zoning time frame)

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Risk Management & Trade Management for Daily Income Trading Style

1) I will not be simultaneously be in 3 or more trades

2) I will not place an additional trade till one of the earlier trades meet target 1
3) If I have 3 losses on any given day I will stop trading and shut my shop and do something else
4) If you have 2 consecutive losses I will preferably decrease my position for the 3rd trade just to be
safe (50%)
5) Let us say we are in a trade and that trade is making us a 1:1
 Do not exit the trade and book partial profits instead get SL to cost( Many times many
trades will be closed for breakeven and this is normal)
 Once price reaches 1.5:1 you have choice to take partial profits and bring SL to cost or trail
SL below or above the nearest demand zone or supply zone
 Once price reaches 2:1 you have a choice to exit the complete position or exit 50% position.
The remaining 50% will be managed using either a manual trailing stop loss (In front of the
screen) or an automated trailing stop loss (Trade Tiger)…..