THINCREDBLU SECURITIES

COMPPLETE
TRADER PRO

Your path to become a consistently

profitable trader

GAURAV UDANI
 
   
 
 
 
 
 
​Copyright @ 2020 Thincredblu Securities 
 
All rights reserved  
 
 

 
 
 
No part of this book may be displayed, modified, reproduced without the prior 
and express written permission of the publisher 
 
This book is licensed for your personal use only and may not be given away or 
sold. 
 
You can reach out to ​[email protected]​ for all enquiries. 
 
Published by: ​Thincredblu Securities pvt ltd. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 Complete trader pro -- Your path to become a consistently profitable trader 

TABLE OF CONTENTS 
 
 
Welcome 4

Preface & Overview 5

What to expect? 7
Course Overview 8

Expectancy 9
What is expectancy and why is it important? 9
The trap of right vs wrong 10
Percentage & Ratio 11

The trend following paradigm 12

What are trends? 12
The Rules 15
Entry 15
Stop-Loss 15
Profit - Exit 15
Trade examples 15
Trade Log 18

Fractal Pivots 19
The concept of Fractals 20
The Rules 22
Entry 22
Stop-Loss 22
Profit - Exit 22
Trade Examples 22
Trade Log 25

Risk Management 26

Trading with Indicators 27

Double Trouble 28
The Rules 30
Entry 30
Stop-Loss 30
Profit - Exit 30
Trade examples 31
Trade Log 33

Objectifying Patterns 34
Inside Bar Information 34
The Rules 36

2 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

Entry 36
Stop-Loss 36
Profit - Exit 36
Trade examples 37
Trade Log 39

Applying Technical Analysis to Long-term Investing 40

Investing strategy 40
The Rules 41
Entry 41
Stop-Loss 41
Profit - Exit 41
Trade examples 42
Trade Log 45

Next Steps… 46
 
 
 
 
 
 
 

3 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

Welcome 
Thank you for choosing Complete Trader Pro - your path to become a 
consistent profitable trader. 
 
Financial freedom offers incredible ways to lead a life and trading is a 
sustainable passive income model to achieve that. Thincredblu has 
designed a book to help you reach that goal and become a pro trader. 
This course has the take away experience from a trader to an 
entrepreneur. Our journey was a roller coaster ride filled with 
introspection and learning. This led us to answer many questions and 
create effective tools to refine the craft and this is an attempt to share 
the ways of traversing the markets every day, for the past 13 years. You 
might be at any stage of your trading practice and we are here to walk 
along. 
 
Firstly, learning the right process will enable your market analysis to get 
systematic. This course will introduce you to that along with strategies 
defined by powerful principles. 
 
The second outcome will be acquiring discipline in prudent risk 
management which is the practice of the top 5% of consistent earners 
in trading. The above said is paramount aim we wish to offer you. 
 
  
Yours Truly, 
Gaurav Udani, 
CEO - ThincRedBlu 
  
To get frequent updates on stock trading and our new offerings follow 
us through the following platforms: 
 
Facebook - ​https://www.facebook.com/thincredblu/ 
Twitter - ​https://twitter.com/thincredblu 
LinkedIn - ​https://www.linkedin.com/company/thincredblu/  
Telegram - ​https://t.me/starktraders 
Our CEO's Twitter account - ​https://twitter.com/Udanii 
 
 
 

4 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

Preface & Overview 

Hi, I am Gaurav, and I am going to lead this course for you. I want to take a 
minute to thank you for giving me this opportunity to add value to your 
trading, and I genuinely appreciate your trust in me. 
 
My journey started in the markets in 2006. Before that, I was working in my 
ancestral family business involved in the wholesale trade of agricultural 
commodities. 
 
The first year was a roller coaster ride. I made about 70% on my capital in the 
first 3 months of trading and subsequently blew up my entire trading account 
within a week. This was the most excruciating time in my life, and it was 
challenging to handle this emotionally. 
 
After a lot of introspection and learning, I turned profitable and have stayed 
that way since 2007. From 2007 to date, I have compounded my capital at close 
to 40% annualized with only 1 year of negative returns. My initial capital of 5 
lakhs has grown to over 4.5 crores over 13 years. 
 
In addition to trading full time, I also help run my brokerage firm - ThincRedBlu 
Securities. 
 

5 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

To be honest, I don’t consider myself a trading guru or some kind of a genius. I 

believe that trading can be learned like anything else, and one can hone this 
skill. The right process is everything. 
 
This course is my attempt to share with traders at large what I do and how I 
traverse the markets every day. Also, it explains how anyone with the right 
mindset can be successful. 
 
I specialize in systematic trading. While this may seem complicated to a lot of 
people, I can assure you it is, on the contrary, the only way to make money in 
the markets. What it simply means is that all my strategies are defined by rules. 
There are rules for everything I do. How to identify the trend, when to enter a 
trade, when to exit, and how much capital to allocate? This has helped in 
sharpening and refining my craft. 
 
I deal with technical analysis and consider price and only price for all my 
trading decisions. It is my firm belief that the picture of a stock’s current price 
action and its history cannot be disputed. Further, I find that focusing on price 
action provides us with specific right or wrong points. Where can we place 
protective stops, and how can we limit monetary losses? As you will see during 
the course, minimizing losses is paramount to the success of a trader. 
 
At the time of this writing, I trade commodity, stocks, index, and currency 
futures. 
 
My whole aim with this course is to help you transform into a consistently 
profitable trader irrespective of what stage of your trading journey you may 
be in. 
 
What is most important to realize is that trading is a zero-sum game, and only 
about 5% of the people actually make money consistently. These are the 
people who have an arsenal of trading strategies that they always use over a 
while, and moreover, they have the discipline to follow it and imbibe prudent 
risk management. 
 
 
 
 
 
 
 
 
 
 
 
 

6 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

What to expect? 
 

 
 
You aim to be profitable with your trading. I aim to help you understand how 
you can achieve that for yourself. 
 
It is essential to understand that a vast majority of traders and active 
investors, for that matter, are losers. I have heard some people pay educators 
several lakhs to help them with their trading and find an edge or the secret to 
generating fabulous returns in the markets. 
 
You probably feel that you’ve been through a cycle of trying various methods 
and have read all books you could get your hands on. There are a lot of 
beginners out there, just like you. This constant moving back and forth can get 
extremely frustrating, and it causes many to give up. 
 
It is vital to understand why and how profitability indeed occurs in the world of 
trading. For this, I have dedicated one whole chapter. We will cover it at a later 
point. For now, just know that by the time you are done with this course, you 
are going to have an extremely different perspective on trading. 
 
So what can you expect to get out of this curriculum? 
My single agenda here is to enable anyone reading this material to be a 
consistently profitable trader. Having said that, it is crucial to define and 
understand what it means to be consistent and profitable. 

7 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

 
I have come across many people aspiring to make a fortune virtually overnight 
when they first start trading, and that right there is the problem. 
 
There is no magic wand here. This is a business. If you treat it that way, there is 
significant wealth to be made. If you abuse it, however, the markets will take 
everything from you and then some more. 
 
When I say consistent, it means that your trading profits are not random, 
where you make money sometimes and lose it a few other occasions. I expect 
you to be in control of your trading, drive your business instead of being 
driven by whims and fancies. 
 
When I say profitable, it means that you can expect to make anywhere between 
30-40% per year. (Yes, you read that right. It's per year, and not per month or 
per day) Did you really think making 30% per day or month is possible? 
 
I can say this with confidence for 2 reasons. The Indian markets throw up 
opportunities very often to make a decent and consistent return off trading. 
Secondly, I have done this with my own trading over the past 13 years and have 
a real track record to prove it. 
 

Course Overview 
 
Let’s quickly go over what exactly we will be covering through this book 
 
Chapter 2​ is all about Expectancy. It’s the most fundamental and vital concept 
when it comes to trading. You need to understand this and internalize it. So 
there’s a whole chapter dedicated to it. 
Chapters 3 & 4​ we introduce 2 powerful trading strategies namely the trend 
following paradigm and the fractal pivots. 
 
Chapter 5​ is about risk management & position sizing. No matter what you do, 
please do not skip this one. 
 
Chapters 6 & 7​ we delve into another set of powerful trading strategies, which 
involves working with indicators and patterns. 
 
Chapter 8​ we look at one of my favourite strategies which is about applying 
technical analysis and price action to long term investing, and also 
summarises the whole thing we learned. 
 
In ​Chapter 9​ I will guide you on where you should be heading after reading 
this book. 

8 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

Expectancy 

What is expectancy and why is it 

important? 
In this chapter, we will cover and lay the foundation of profitable trading; more 
importantly, understand what profitable traders do that sets them apart from 
rookies. 
 
Let's say we put 100 consistently profitable traders in a room and ask each to 
discuss his/her trading style and techniques. In my experience, while each 
person would use different tools and methods, they would all be trying to 
achieve the same goal - generate profits. 
 
Some may use fundamental analysis, some technical analysis, and a few 
others follow their gut feel and intuition. The point is that if all of the 100 
traders are consistently profitable through using different techniques, the 
common underlying cannot be the tools or methods being used. 
 
Think about the trading / investing styles of successful market participants 
around us. Warren Buffett, George Soros, and Peter Lynch have such varied 

9 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

investment/trading styles and approaches to necessarily achieve the same 

goal, which is - profits. 
 
The critical thing to note here is that it doesn't matter which indicator, tool, or 
software package is superior. These are just a means to an end, and nothing 
more, and can't make money by themselves. 
 
Then what is the common denominator here, you may ask. It's a valid and 
excellent question, and the answer is simple - Mathematics. We'll see this 
shortly. 
 

The trap of right vs wrong 

 
We are raised since the very beginning of the concept of right and wrong. It is 
ingrained deep within us. However, in the trading arena, being right/wrong 
has nothing to do with being a successful trader and making profits. If you 
believe, like most people, that the most essential aspect of successful trading 
is about being right, you're wrong. It's only your ego you caressing. 
 
You can be a highly profitable trader and lose more often than not. This 
concept may not sit well with most people since they believe that to be 
successful, one has to be right. 
 
Trading profitably can be best understood by breaking it down into simple 
pieces, and at the root lies a powerful principle of Expectancy. This is the 
common denominator among all profitable traders regardless of the tools 
they use. 
 
Let me ask you this, would you prefer to risk Rs. 1,000 to make Rs. 2,000 or risk 
the same Rs. 1,000 to earn Rs. 5,000. The answer is straightforward, who wouldn't 
want to make more for the same unit of risk? 
 
Once the probability of success (or the possibility of being wrong) enters our 
mind, our judgment tends to get clouded. So, we revert to our core beliefs of 
right and wrong. 
 

10 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

Percentage & Ratio 

 
There are 2 essential terms we need to familiarize ourselves with. 
 
Win percentage 
Win / Loss Ratio 
The first is self-explanatory, and it merely states the accuracy of your trading. 
That is how often you are right. 
 
The Win / Loss ratio is calculated as the average profitable trade divided by 
the average losing trade. 
 
If, after 20 trades, the average winner is Rs. 5,000, and the average loser is also 
Rs. 5,000, then the win/loss ratio is equal to 1. When the average winner is Rs. 
10,000, and the average loser is Rs. 5,000, then the win/loss ratio equals 2. 
 
So think of the win/loss ratio of 1 to be the breakeven line. Our aim and goal 
are to be in positive Expectancy. So if a trader can maintain a win/loss ratio of 
2, even if his win percentage is only 40%, he will still be profitable. 
 
This is the essence of profitable trading. 
 
In my personal experience, I have been able to manage an expectancy ratio of 
close to 2.5, and my win percentage is about 40%. This has been enough to 
generate an annualized return of about 42% over the past 13 years. 
 
Let's summarize, win percentage is not significant; what is essential is the 
Expectancy of your trades. This is what determines profitability, and in 
trading, one can be very successful by being right only 40% of the time. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

11 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

The trend following paradigm 

Welcome, I am grateful and excited. If you have made it so far, I have been able 
to provide some value, and I can assure you that the journey only gets better 
from here on. 
 

What are trends? 

So far, in this course, we have covered a brief introduction and also referred 
as the foundation of profitable trading i.e., understand expectancy. 
 
Moving on, let’s dig deeper and take a look at this amazing trading strategy 
that I have for you today. I have used this one for a really long time, and it is 
one of the simplest yet very powerful. 
 
The premise of this approach is going to be trend following. 
 
It is imperative that we first understand what trend following means and get 
the core conceptual understanding of why and how it works. 
 
A trend is a sustained direction price of particular security follows. Trend 
following simply means taking and building positions in the direction of the 
Trend. 
 

12 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

Trend following as an approach is unique in the sense that no other piece of 
information matters at all except the price of the given instrument. 
 
It is a compelling idea. Because contrary to what most people think, in a 
trend-following strategy, all you would need is a price chart of the given 
instrument, and nothing else. It assumes that prices discount all information 
about that security in question. 
 
So let’s look at this particular strategy we are going to learn today: 
 
Name: Triple DEMA 
 
Instrument universe​:​ Stocks from CNX NIFTY 500, highly liquid commodities 
like Gold, Silver & Crude oil 
 
Type​:​ Long only 
 
Time frame:​ Daily 
 
Average Holding period:​ 15-60 days 
 
How many trades can you expect:​ 50-60 potential trades/year 
 
Indicators used:​ Double Exponential moving average (DEMA) 10 period, DEMA 
25 period & DEMA 75 period 
 
Plotting the indicators:​ The indicators we use for this strategy are readily 
available out of the box with any charting software. let’s see this in detail with 
the help of some images below. 
 
First, we plot the 10-period DEMA on the chart, please see the image below 
 

13 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

 
 
Next, we move to plot the 25-period DEMA on the chart. 
 

 
 
Lastly, we plot the 75-period DEMA. 
 

 
 
 
 
 
 
 
 
 

 
 

14 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

The Rules 
 
Entry 
When the 10-period DEMA crosses over both the 25 & 75-period DEMA 
 
When the 25 period DEMA crosses over the 75 period DEMA. 
 
We need to enter on the close of the candle on which the above conditions are 
satisfied 

Stop-Loss 
When the trade moves against us, we get an indication that we need to book a 
loss and get out of that trade. In this particular strategy, we use the lowest low 
value (LLV) of the previous 3 candles as our stop-loss point. 

Profit - Exit 
Just as we set up stop losses for our exits, we also need to be mindful of when to 
take profits. In this strategy, we exit when the 10-period DEMA crosses below the 
75-period DEMA. 

Trade examples 

Indusind bank 

15 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

Asian Paints 

Hindustan Unilever 

16 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

Jsw Steel 

As you can see from the above trade examples, all trades aren't profitable. This 
strategy is bound to not work during sideways markets. Another critical point to 
note is that we should stay away from penny stocks and focus instead only on 
high-quality companies within the CNX NIFTY 500 universe of stocks. 

Alternatively, one can even look at heavily traded commodities. 

The premise of any trend following set up will be that you will never end up with 
catching the tops or bottoms. Instead, you will be left with what's left in the 
middle. This is very important to understand as most of us are obsessed with 
catching tops or bottoms. Not only is this futile but detrimental to what our end 
objective is, which is making profits. 

 
 
 
 
 
 
 

17 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

Trade Log 
Just some of the trades I have taken using this system in the past. 

Instrument  Type  Entry  Exit  P/L (%) 

Hindustan petroleum  Long  287.85  297.35  3% 

Indiabulls Housing Finance  Short  611  266  56% 

Bharat Petroleum  Long  379  516  36% 

UPL  Short  663  693  -5% 

Zee entertainment  Long  351  323  -8% 

Nifty  Long  10914  11418  5% 

Silver  Long  38024  45515  20% 

Crude  Long  3966  3861  -3% 

Gold  Long  32680  37750  16% 

 

18 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

Fractal Pivots 

The concept of Fractals 

Previously we covered the Double EMA strategy, and I trust that you have 
started applying the same in your trading. 
 
Today we look at another strategy that I have used over and over again in my 
trading. 
 
The concept of Fractals was first introduced by Bill Williams in his book 
“Trading Chaos,” and upon reading it, I began applying it to my own trading. I 
have been using fractals since 2007, and it has done wonders for my trading. 
 
Here, I will outline a straightforward fractal trading strategy. But first, before 
we go to the actual rules, it is essential to understand what fractals are and 
how to interpret them. 
 
The fractals are plotted as a 5 bar pattern, and they look somewhat like this: 
 

19 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

 
 
Here, we can see that this specific 5 bar pattern gives us what I like to call, 
fractal pivots both on the up and the downside. 
 
These pivots essentially act as the breakout levels, which is at the root of the 
price structure of the given instrument. 
 
So let’s look at this particular strategy we are going to learn today: 
 
Name: Fractal Breakout 
 
Instrument universe: Stocks from CNX NIFTY 500, highly liquid 
commodities like Gold, Silver & Crude oil 
 
Type: Long & Short 
 
Time frame: 60 minutes / Daily 
 
Average Holding period: 15-60 days 
 
How many trades can you expect: 50-60 potential trades/year 
 
Indicators used: Double Exponential moving average (DEMA) 200 
period, Fractals 
 
Plotting the indicators: The indicators we use for this strategy are readily 
available out of the box with any charting software. Let’s see this in detail with 
the help of some images below. 
 

20 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

 
 
 
 
Firstly, we plot the 200-period DEMA on the chart. Please see the image below. 
 

 
 
Next, we move to plot fractals. 
 

 
 

The Rules 
Entry 
 
Closing price should be above the 200 period DEMA 
Price should go above the up-fractal pivot 
The Fractal pattern must be formed above the 200-period DEMA 
Buy when the price goes above the high of the signal bar 
Inverse for short trades 
 

Stop-Loss 
 

21 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

The immediate previous down fractal pivot is the stop-loss for this strategy. 
 

Profit - Exit 
 
Price closes below the 200-period DEMA 
 
Simple right? 
 
Let’s take a look at a few trade examples. 
 

Trade Examples 
 
Bajaj Finance 
 

 
 
 
 
 
 
 
 
 
 
 
 
 

22 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

HDFC 
 

 
 
 
 
DHFL 
 

 
 
 
 
 
 
 
 
 
 

23 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

Nifty 
 

 
 
Fractals are the roots and the inherent structure of any instrument across the 
world. The premise is straightforward to flow, and be one with the markets, 
want what the market wants. Don't try and anticipate or second guess the 
markets. Fractals provide a beautiful mechanism to give you a solid structure 
to figure out what the market really wants. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

24 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

Trade Log 
 
Just some of the trades I have taken using this system in the past. 
 
 
Date  Instrument  Type  Entry  Date  Exit  P/L  P/L 
(%) 

1/10/2017  BHEL  Long  85.7  30/05/2017  99.95  14.25  16.63 

23/07/2017  INFOSYS  Long  798.5  23/09/2017  760.15  -38.35  -4.80 

20/09/2017  COLGATE  Long  1397.5  25/09/2017  1488.9  91.4  6.54 

27/02/19  ACC  Long  1398  4/9/2019  1636  238  17.02 

10/9/2019  DLF  Long  147.3  10/10/2019  143.85  -3.45  -2.34 

20/05/2019  DABUR  Long  377.3  18/06/2019  399.15  21.85  5.79 

8/1/2019  GOCP  Long  605.55  8/3/2019  640.35  34.8  5.75 

22/02/2019  AMBUJACEM  Long  210.7  14/08/2019  231.6  20.9  9.92 

16/08/2018  DIVISLAB  Long  1161  9/4/2018  1265.5  104.5  9.00 

9/4/2019  ONGC  Long  119.4  9/11/2019  126.85  7.45  6.24 

 
 
 
 

25 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

Risk Management 

No trading course would be complete without discussing risk management. I 

am always amazed at seeing so many people ignore this fundamental 
principle of trading. Proper risk management and position sizing is probably 
the single biggest differentiator when it comes to profitability. It determines 
how long you will survive as a trader. 
 
It all comes down to this. The more you bet on a single trade, the more volatile 
your returns will be. The more volatile your account balance is, the higher the 
emotional roller-coaster you will experience, and trust me, this is not a good 
state of mind to be in. If you have chosen to trade as a serious business, it will 
wreak havoc in your personal and professional life. 
 
One of the simplest ways to manage your risk is to divide your capital into 
equal parts. In my trading, I usually divide it into 10 equal parts. So let’s say the 
starting capital was to be Rs. 1,00,000, then we allocate Rs. 10,000 to each 
trading position and not more. 
 
The second rule to remember here is to limit your risk per trade to not more 
than 2% of the overall capital. So if the capital is Rs.1,00,000, then you should 
have protective stops in a way that you don’t lose more than Rs. 2,000 on any 
given trade. 
 

26 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

Trading with Indicators 

Double Trouble 
Now that you have covered the risk management series, I trust that you are 
confident in your trading approach and feel more in control. 
 
Having covered that along with a couple of strategies, I trust that your trading 
has improved, and it has given you a new dimension to think from. 
 
Continuing, in the following 3 chapters, we will cover 3 of my favorite 
strategies, which have proven to be extremely beneficial to me, and I want to 
share them with you. 
 
This chapter is on a straightforward and profitable strategy, which is 
something I believe you will use over and over again in your trading. 
 
Name: Double Trouble 
 
Instrument universe: Stocks from CNX NIFTY 500, highly liquid 
commodities like Gold, Silver & Crude oil 
 
Type: Long & Short 

27 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

 
Time frame: 60 minutes / Daily 
 
Average Holding period: 15-60 days 
 
How many trades can you expect: 50-60 potential trades/year 
 
Indicators used: Heiken Ashi Candles, Double Exponential moving 
average (DEMA) 100 period, MACD 
 
Plotting the indicators: The indicators we use for this strategy are readily 
available out of the box with any charting software. Let’s see this in detail with 
the help of some images below. 
 
First, we plot the 10-period DEMA on the chart, please see the image below 
 
First, plot the Heiken Ashi candles instead of the regular candles. 
 

 
 
Next, we plot the 100-period DEMA on the chart, please see the image below. 
 

28 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

 
 
 
 
 
 
And then, we plot the MACD. 
 

 
 

The Rules 

Entry 
 
Closing price should be above the 100 period DEMA 
MACD should be above the signal line 
Heiken Ashi should be a green candle 
Vice versa for short trades 
 

Stop-Loss 
 
Previous red Heiken Ashi candle, you can even use the previous pivot low if 
you wish, vice versa for short trades 
 

Profit - Exit 
 
Price closes below the 100-period DEMA 
 

29 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

Simple right? 
 
This is the power of keeping the rules simple and defined, it helps in 
maintaining discipline and keeps our thinking objective. 
 
Let’s look at some trade examples. 
 

Trade examples 
 
Bata India 
 

 
 
Yes Bank 
 

 
 
 
 
 

30 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

 
 
Berger Paints 
 

 
 
Ashok Leyland 
 

 
 
Having learned this strategy, you must apply it in your trading. Just going 
through this course without actually trading will not help you. You must start 
taking trades based on these strategies. 
 
This set up is convenient if you are someone who prefers indicators over price 
action. While it gives you good confirmation on your trades, it also filters a lot 
of noise in the markets, which can help increase the win rate of your trades. 
 
 
 
 

31 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

Trade Log 
 
Just some of the trades I have taken using this system in the past. 
 
 
Date  Instrument  Type  Entry  Date  Exit  P/L  P/L (%) 

10/1/2019  PGHL  Short  12104.65  10/10/2019  11331.95  772.7  6.38 

3/5/2019  ICICI  Long  355  25/03/2019  385.3  30.3  8.54 

24/09/201 KOTAK MAHINDRA  Long  1624.65  24/09/2019  1597.6  -27.05  -1.66 

9 

3/8/2019  INDIGO  Long  1239.6  4/2/2019  1392  152.4  12.29 

29/05/2019  GAIL  Long  358.8  30/05/2019  355.7  -3.1  -0.86 

20/02/2019  MOTHERSUMI  Long  135.2  19/03/2019  161.35  26.15  19.34 

20/11/2019  BIOCON  Long  204.95  27/12/2019  269.15  64.2  31.32 

16/10/2017  IDEA  Long  48.7  11/7/2017  58.3  9.6  19.71 

20/09/2019  BPCL  Long  384.6  25/09/2019  454  69.4  18.04 

10/4/2019  ITC  Short  258  10/11/2019  244  14  5.43 

 

32 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

Objectifying Patterns 
 

Inside Bar Information 

 
I am thrilled to see you here. This means that you are deriving value from this 
course, and you are trading with confidence. Nothing makes me more happy 
and satisfied than to see fellow traders succeed with their trading and goals. 
 
Today’s chapter is dedicated to teaching you probably the simplest strategy 
that I use in my trading. When I first came across it back in 2009, I almost 
laughed at how simple it was and refused to believe it would ever work. I was 
so wrong. In the last 10 years, I have had some of the best trades with this 
strategy. 
 
We are going to use a candlestick pattern for this, and I call it the inside bars 
formation pattern. Let’s understand how it works, and then we’ll look at a few 
example trades too. 
 
Picture this, there is one candle that engulfs the entire series of subsequent 
candles. In the sense that all the following candles are inside the engulfing 
candle. This is a hugely significant price action, and the market is giving us a 
clue as to what might happen next. 
 
This formation is essentially like a consolidation box where the marketing is 
essentially taking a breather before its next move. 

33 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

 
Name: Inside Bar Formation 
 
Instrument universe: Stocks from CNX NIFTY 500, highly liquid 
commodities like Gold, Silver & Crude oil 
 
Type: Long & Short 
 
Time frame: Daily 
 
Average Holding period: 15-60 days 
 
How many trades can you expect: 50-60 potential trades/year 
 
Indicators used: Double Exponential moving average (DEMA) 25 period 
of the High, DEMA 25 period of the Low 
 
Plotting the indicators: The indicators we use for this strategy are readily 
available out of the box with any charting software, let’s see this in detail with 
the help of some images below. 
 
First, we plot the DEMA 25 period of the high 
 

 
 
Next, we plot the DEMA 25 period of the Low 
 

34 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

 
 

The Rules 

Entry 
 
For longs, the engulfing candle should be formed above the 25 period DEMA 
of the high 
For shorts, the engulfing candle should be formed below the 25 period DEMA 
of the low 
Enter at the break of the High/low of the engulfing candle depending on 
whether it is a long or short trade 
 

Stop-Loss 
 
High / Low of the engulfing candle depending on whether it is a long or a 
short trade. 
 

Profit - Exit 
 
If long then close below the 25 period DEMA of the low and if short then close 
above the 25 period DEMA of the high. 
 
Simple right? 
 
Let’s look at some trade examples. 
 
 

35 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

Trade examples 

CEAT 
 

 
 
 
Axis Bank 
 

 
 
 
 
 
 
 
 
 
 
 

36 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

State Bank India 

 

 
 
Reliance Industries 
 

 
 
I will admit trading patterns is not everyone’s cup of tea. Usually, the kind of 
patterns that we see on the internet has too much subjectivity in them. Also, it 
becomes nearly impossible to identify them with conviction as they are being 
formed. With my trading, I like to keep things really objective, and I strive to 
keep discretion at the barest minimum level. This helps me stay disciplined 
and manage my emotions much better. 
 
 
 
 
 
 
 

37 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

Trade Log 
Just some of the trades I have taken using this system in the past. 
 
 
Type  Instrument  Date  Entry  Date  Exit  P/L  P/L (%) 

Short  BAJAJAUTO  5-Jul-19  2864  8-Aug-19  2703.75  160.25  5.60 

Long  BATAINDIA  6-Feb-19  1195  6-May-19  1373.45  178.45  14.93 

Long  COLPAL  16-Nov-18  1138.95  25-Jan-19  1288.3  149.35  13.11 

Short  AMARAJABAT  3-Apr-19  712.5  4-Jul-19  648.2  64.3  9.02 

Long  HDFCBANK  2-Apr-18  950  2-Aug-18  1065.1  115.1  12.12 

Long  HAVELLS  28-May-18  552  5-Sep-18  660.4  108.4  19.64 

Long  MARICO  5-Jan-17  261.6  19-Jun-17  310.05  48.45  18.52 

Short  ITC  31-May-19  287  23-Sep-19  254.85  32.15  11.20 

Long  APOLLOTYRE  25-Jun-19  202.4  18-Jul-19  183.9  -18.5  -9.14 

Long  AMBUJACEM  4-Jan-18  274  22-Jan-18  266.7  -7.3  -2.66 

38 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

Applying Technical Analysis to 

Long-term Investing 

Investing strategy 
Since this is the last chapter of this course, I have left the best for the last, and 
this is more of a longer-term investing strategy. I have always been asked that 
is it possible to trade/invest in the long term using price action and technical 
analysis. 
 
This strategy is my answer to that. 
 
For this strategy, we are using a unique indicator based on the Average True 
range concepts. Without getting into complicated jargon, understand that all 
this indicator does is use the average range of the price of that instrument 
and gives us a good indication of where prices may be headed in the future. 
 
Let’s dig right in. 
 
 
 

39 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

Name: Investing strategy 

 
Instrument universe: Stocks Small, Mid and large-cap stocks 
 
Type: Long 
 
Time frame: Weekly 
 
Average Holding period: 1-2 years 
 
How many trades can you expect: 5-6 potential trades/year 
 
Indicators used: Super trend 
 
Plotting the indicators: The indicators we use for this strategy are readily 
available out of the box with any charting software, let’s see this in detail with 
the help of some images below. 
 
We just need one indicator for this strategy i.e., a super trend with parameters 
of factor - 2 and periods 14. 
 

The Rules 
Entry 
 
Enter when price breaks super trend on the upside 
 

Stop-Loss 
 
Trail with super trend 
 

Profit - Exit 
 
Trail with super trend 
 
Simple right? 
 
Let’s look at some trade examples. 
 

40 @Thincredblu Securities www.thincredblu.com

 Complete trader pro -- Your path to become a consistently profitable trader 

Trade examples 

Hindustan Unilever 
 

 
 
Eiher motors 
 

 
 
 
 
 
 
 
 
 
 
 
 

41 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

Bajaj Finserv 
 

 
 
 
Vinati Organics 
 

 
 
 
The most important things to consider in this strategy is to only invest in 
high-quality companies, some rules for filtering stocks are as follows: 
 
Return on equity >= 12 
Growth rate >= 10 
Debt to Equity ratio <= 1 
Interest coverage ratio >= 2 
Market capitalisation >= 500 
 
This brings us to the end of this course, and I really appreciate you taking the 
time to go through it. I hope I have been able to add some value to your 
trading journey. 

42 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

 
I want to go over a couple of things quickly before we call it a day. 
 
What you need to understand is that trading is like any other business, and 
there are days when you will make money. Then there will be days when you will 
lose money. This is part and parcel of the trade. Your losses are actually your 
cost of doing business. 
 
It is also important to realize that trading is simple but not easy. 
 
You need to put in the work, the stock markets are not an ATM machine as 
they say there is no free lunch. 
 
You need to develop and have an objective set of rules that you can use to 
plan your trades and your job as a trader is to meticulously execute the plan. 
 
This business is 90% psychology and 10% numbers. 
 
By completing this course, you now have access to all the tools and strategies 
that you need to become consistently profitable in this profession. But the 
cold fact remains that despite this, not everyone is going to end up being 
profitable. This is where psychology becomes very important. While some 
people want to be right on all trades, others expect to make 10x returns in 1 
year. This is what leads them to trade in a way that is undoubtedly going to 
result in disastrous results. 
 
With this, I take your leave and wish you all the very best. If you have followed 
this course in the right spirit, I can assure you that you are already amongst 
the rare breed of profitable trades. 
 
Feel free to get in touch with me. I am always happy to help! 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

43 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

Trade Log 
Just some of the trades I have taken using this system in the past. 

Type  Instrument  Date  Entry  Date  Exit  P/L  P/L (%) 

Long  BATAINDIA  12-Nov-18  1036  27-May-19  1323.65  287.65  27.77 

Long  ADANIPORT  1-Aug-16  233  27-Nov-17  386.9  153.9  66.05 

Long  INFY  11-Dec-17  509.65  8-Oct-18  678.8  169.15  33.19 

Long  ASIANPAINT  20-Feb-17  1009.9  25-Sep-17  1131.7  121.8  12.06 

Long  AMBUJACEM  10-Mar-14  186.5  23-Mar-15  250.45  63.95  34.29 

Long  RELIANCEIND  2-Jan-17  542.5  1-Oct-18  1048.85  506.35  93.34 

Long  ICICIBANK  14-May-18  314.5  19-Aug-19  395.4  80.9  25.72 

Long  AXISBANK  25-Apr-16  478.5  19-Sep-16  557.45  78.95  16.50 

Long  APOLLOHOSP  10-Aug-15  1463.85  9-Nov-15  1249  -214.85  -14.68 

Long  APOLLOTYRE  1-Jan-18  271.5  29-Jan-18  249.5  -22  -8.10 

44 @Thincredblu Securities www.thincredblu.com

Complete trader pro -- Your path to become a consistently profitable trader 

Next Steps… 

This marks the end of your first step towards being a profitable trader, are 
you ready for step 2? 
This is the part where I personally mentor you and guide you. 
Here’s how it works. 
 
You can go ahead and sign up for a free account at Thincredblu, don’t worry 
one of my colleagues will get in touch with you soon, alternatively you can 
send me an email, ​[email protected] 
 
Once you have finished that, you can head over to the app / play store and 
download SKY, it is our trading platform that we will be using. 
 
We have developed a set of algorithms which help us identify high probability 
trading ideas in the equity and the futures segments which I share with you 
ongoingly on Sky, I also share a detailed performance snapshot of these trade 
ideas so you can get a sense of what’s happening and keep a track. 
 
All in all you get to see and learn hands on, as to how I trade and more 
importantly manage by emotions while at it. 
 
See you there! 

45 @Thincredblu Securities www.thincredblu.com