K V VIX T S: Ekri-OLA Rading Trategy

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KEKRI-VOLA VIX TRADING STRATEGY

1. INTRODUCTION
Welcome to the world of Digital Money Programming. This script presents my strategy called
Kekri-Vola designed to assist newbies in Volatility Indexes Trading. I prepared this in courtesy of
many writers of various scripts of FX trading. Information contained herein is borrowed through
studying and analyzing charts. It’s a simple strategy based on Price Action analysis. It works well
with all technically analyzed trades but best on Volatility Indexes. If you apply this strategy on
any trades which are affected by news please do it with extra caution because Fundamental
Factors may throw you out of the game whilst your Technical Analysis is still correct!

2. THE KEKRI-VOLA STRATEGY


2.1. Key Settings - This strategy uses three common Indicators namely Bollinger Bands (BB); Simple
Moving Average (SMA) and Relative Strength Index (RSI).
These are set at: BB- 20 Moving Averages and 2.5 Deviation
SMA- 10 Moving averages
RSI- 70 and 30.
Graph type - I prefer using Candlestick graph.

2.2. Trend Formations - According to my simple understanding, a trend is a long term pattern of
your graph. Usually I use H4 and D1 time frames to check for my trends for the day. Therefore
there are three types and I have decided to name them as Horizontal Trend; Downtrend and
Uptrend. Please you need to know and familiarize with these formations as well as the names
for you to understand the strategy.
2.2.1. Horizontal Trend
Illustration Presentation Real Downtrend Presentation

So we say a trend is a Horizontal when


candlesticks are moving hitting the upper BB
and lower BB lines of your BB indicator in a
horizontal pattern direction. Am sure the black arrows are indicating what I mean by Horizontal
direction.

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2.2.2. Downtrend formation:

Illustration Presentation Real Downtrend Presentation

It’s said a downtrend because the graph is falling down.

2.2.3. Uptrend Formation


Illustration Presentation Real Uptrend Presentation

This is a formation for the Uptrend.

3. LET’S GO INTO THE STRATEGY

3.1. First Insert the Indicators as stated on 2.1 above. You can add another trend of your own but
these three works better for me. Your chart must appear as follows:

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Upper BB line

Simple Moving Average (SMA)

BB Moving Average BBMA)

Lower BB line

Relative Strength Index (RSI)

Please be advised that both on Candlesticks and Indicators you can set colors of your choice by clicking chart
settings and NOT Metatrader App settings.

3.2. Then determine the TREND before you start trading. Trend patterns are illustrated on Item 2.2
above.
3.3. According to your capital choose the time frames which you will analyze your candlesticks on.
Please NOTE that any amount can be traded on any time frame but it’s not everything that is
safe. So I think the following will safely be the best:
- Less than $200 should use M1- M15
- Above $200 to $1000 should use M30-H1
- Above $1000 should use H1 and Above

3.4. USING an account of $200 or less in our Illustration on the M15 time frame you then SPOT where
there is a RANGE formation. There are two types; Upper Range and Lower Ranges as illustrated
below:

Upper Range Upper BB Line

BBMA

SMA

Candlesticks

Lower BB

Lower Range

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So a range here is the gap between BBMA and Lower BB line or Upper BB Line. If you carefully
observe you will see that when the graph is going down, candlesticks will be flowing in that range
and rarely cross the middle lines to the upper range.

Upper Range

Lower range
So the concept is just the same when the graph is going up. Candlesticks usually fall on the Upper range
on an Uptrend.

3.5. After spotting the RANGE am sure you notice a pattern in which Candlestick move called the V
or inversed V which appear as follows;

3.5.1. The V- Method

(Buy Point)
V-entry point

(SELL Point)
Inversed V-Entry

Inversed V- Entry points

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Basically this works well on an Uptrend and Downtrend only. On Upper Range we see that the SMA and
the BBMA will act as the Support Lines whilst the Upper BB will act as the Resistance. The same applies
on the Downtrend on the Range pattern. The Lower BB will act as the support while the SMA and BBMA
will be the resistance.

So that’s ALL about the V-strategy. Look for up- range or down-range and enter trades using the MAs
and the L/UBB lines.

3.5.2. The SMA vs the BBMA method: I hope we remember from point 2.1 that our SMA Indicator
is set at 10 Moving Averages whilst the BBMA is set at 20 Moving averages. This means that
these lines must move in a parallel form maintaining a certain gap between them. So
whenever you notice these lines intersecting each other converge to each other or diverge
from each other then it mean something to notice.

Under normal circumstances the SMA


(red line) and BBMA (middle blue line)
should move in such pattern maintaining
such a gap. Anything other than such
parallel movement must raise your
attention to either place a trade or exit.
Some of such instances are explained
and illustrated below.

3.5.2.1. X-Intersection

Have you noticed that it is the SMA, the red line,


which plays closer to the candlesticks? So
whenever you see the SMA crossing the BBMA
in an X form this normally means a serious
movement. Check the hart below.

When you see SMA crossing the BBMA in this


form please don’t delay. Place your trade in the
direction pointed by the red line.

Please this works well when the MAs are


forming the X shape. So its good to wait for the
SMA to cross cut the BBMA and form that shape.

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3.5.2.2. BBMA / SMA Candles Lock System

When a short trend maybe in M5/M15/M30 etc is about to reverse there are
tensional and compression forces experienced on the Moving Averages. However,
when you see candles failing to break either the SMA or BBMA therefore it means
there are high chances of it falling to the side t which they are locked.
Let’s see these charts.

Here we see on the chart at left that candlesticks


were fighting to rise up there. If we count candles
locked down there we can see they are more than
7 x 4hr candlesticks. Unfortunately they failed the
pressure and suddenly fell down. So here we place
a SELL. That’s what I mean by BBMA/SMA
lockdown.
Considering the chart below we see the same
scenario where they are locked up there. So here
we BUY when we see that formation.

3.5.2.3. Please wait for another Volume of Kekri-Vola VIX Strategy. There are more strategies
to show:
- How to determine the trend is about to change (turn down or turn up).
- Candlestick formation meanings
- Many more

4. Trading VIX and Forex is accompanied by high degree of risk. Many have blown funds and donated
money to broker. However, there is no a real trader who never once lost funds on her/his trading.
Let it be a learning curve than be a dead end. Therefore Kekritai Digital Money (KDM)
encourages you to consider the following measures to enjoy your trading:
- Never trade for the sake of trading, trade when you are stable and at peace

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- Do not fight with the broker or revenge the broker in order to recoup your
losses
- A good trader knows WHEN to enter a trade, HOW much to lose/ get from a
trade and WHEN to exit a trade.
- Don’t test the waters with few funds which yourself know that they are
peanuts. For your own information one minimum trade (of Lot size 0.01) of VIX
75 is kinder equal to 10 times of VIX 100 lot size 0.10 trades. When you enter a
minimum trade of V75 it will start on like $1.65 negative because of its spread.
So if you have like $10 then three movements of V75 will throw you out of the
fence! I am sure this is clear.
- We encourage 1 trade at a time whether you are in profits or loss. Don’t
maintain running trade for long. Steer you reap the few and you grow your
capital.
- Whether you feel you are good never stop practicing and analyzing trades on
DEMO account.
- NEVER use salary money or hard earned money for financing trading unless you
know it will come back. VIX can break your marriage if you are not careful about
that.

So I wish you prosperity as well as you are good health. May GOD of abundance, the owner of all
resources (including all Brokers) richly bless you. Please when you are earning from this game
remember those underprivileged and never let money control you.

FOR SOCIAL INTERACTION:

1. Whatsapp:- +263773509455
2. Facebook:- Kekritai Forex Trading
3. Website:- coming soon
4. Email:- [email protected]

ALL RIGHTS RESERVED- Printing, copying or sharing this document without the author’s right
is strictly prohibited. All rights must be sought from the writer.

EXCLUSIONARY CLAUSE: VIX and FX Trading ACCOMPANIED BY HIGH RISK OF LOSING FUNDS, SO
ANY LIABILITY IN INVESTING YOUR FUNDS LIES AND REMAINS TO YOURSELF. KEKRITAI DIGITAL MONEY
WON’T BE LIABLE ON ANY LOSS OF FUNDS ANYHOW TO THE BROKERS YOU INVESTED YOUR FUNDS. WE MAY
GIVE SIGNLAS BUT THE RISK AND LIABILITY OF LOSING THE FUNDS REMAINS TO YOU AND WE ARE
EXCLUDED. WE ASSUME YOU TAKE THE SIGNALS OR USE THE STRATEGIES AT YOUR OWN RISK!

END

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