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This TradingView Scanner Finds Pocket Pivots BEFORE Explosion – Full Swing Trading Strategy 2026 — Transcript

by GauravCX10 · 5,869 words · 837 segments · language en · Watch on YouTube

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  1. 0:01Look at this chart.
  2. 0:02This is where the most trader will buy
  3. 0:04the stock at the breakout June.
  4. 0:06But the real move actually starts
  5. 0:08somewhere around here. And if you learn
  6. 0:10to spot it early, you can enter without
  7. 0:12tight stop while everyone else is
  8. 0:15chasing another breakout area. Hey
  9. 0:17everyone, my name is Gaurav. Today in
  10. 0:18this video, I'll share a secret method
  11. 0:21to enter into the stock little early
  12. 0:23before the obvious breakout happen
  13. 0:25where the institutions are accumulating
  14. 0:27the stock
  15. 0:28and how the professional trader catches
  16. 0:3030, 40, 50% trades immediately before
  17. 0:33the obvious breakout. This secret signal
  18. 0:35which I'll be discussing today is called
  19. 0:37a pocket pivot. This is the most
  20. 0:38powerful tool which you can use to
  21. 0:40detect the institutional accumulation
  22. 0:42within the base before the obvious
  23. 0:44breakout.
  24. 0:45Now, we'll stick today on the daily
  25. 0:47chart. We'll basically discuss this
  26. 0:48particular signal on swing trading. And
  27. 0:50today in this video, you will learn
  28. 0:52three important thing. First, what is
  29. 0:54pocket pivot? Second, how to create
  30. 0:57exact execution framework, like you're
  31. 0:59scanning, entry, exit, stop loss, and
  32. 1:01everything using a pocket pivot. And
  33. 1:03third, which is most important one, that
  34. 1:05what are the common mistakes we as a
  35. 1:07trader make while trading using a pocket
  36. 1:10pivot. Okay, with this, let's go and
  37. 1:12deep dive into it.
  38. 1:14So, what is pocket pivot? So, pocket
  39. 1:16pivot is a concept which was introduced
  40. 1:18by Gil Morales and Chris Kacher, Dr.
  41. 1:20Chris Kacher, uh in their book named
  42. 1:23Trade Like O'Neil Disciples. It's an
  43. 1:24excellent book. If you have not read it,
  44. 1:26please read it.
  45. 1:27In that book, they have talked about a
  46. 1:29pocket pivot in detail. If I have to
  47. 1:31simplify and give a simple definition to
  48. 1:33the pocket pivot, it basically means
  49. 1:35that
  50. 1:36today's volume should be greater than
  51. 1:38highest down volume of the last 10 days
  52. 1:41and price must show a strength. It means
  53. 1:44price should be in the prior uptrend.
  54. 1:46And that's it. It is a simple volume
  55. 1:48signature which institution shows on the
  56. 1:50chart when they try to buy the stock
  57. 1:52just before or during the breakout.
  58. 1:54Okay, so if you look at my
  59. 1:56screen and the image which I'm showing,
  60. 1:58so the volume which you see here on the
  61. 2:0012th of December 2025, right? That
  62. 2:02particular volume is greater than past
  63. 2:05tenders of down volume. So any red
  64. 2:07candle volume which you see here, okay,
  65. 2:09this particular volume is greater than
  66. 2:11that and that's become pocket pivot,
  67. 2:12right? Before I go into indicator side
  68. 2:14of it,
  69. 2:15want you to understand why this pocket
  70. 2:17pivot is important or why does it work?
  71. 2:19So institutions like FIIs and DIIs, they
  72. 2:22do not build a position in one day,
  73. 2:24right?
  74. 2:25And they are going to invest a big chunk
  75. 2:26of money and liquidity is a big concern
  76. 2:28in Indian market. Hence they need some
  77. 2:31time, like you know, for few days, few
  78. 2:32weeks to build up their position.
  79. 2:35And to build their position, they cannot
  80. 2:37buy a near 52-week high or near
  81. 2:39extremely high where the demand of the
  82. 2:41stock is quite high. They want to buy
  83. 2:43stocks where the liquidity is high,
  84. 2:45where the supply is high. Basically, you
  85. 2:47know, shares shares are easily available
  86. 2:49for them to build a position without
  87. 2:51affecting the stock price. Okay? Now
  88. 2:53these are the areas which are basically
  89. 2:56when the stock is correcting forming a
  90. 2:57base or when the stock is having a
  91. 3:00pullback uh to its key MA where the
  92. 3:02supply is increasing because, you know,
  93. 3:03retail investors or retail traders are
  94. 3:05pretty much selling their stocks and
  95. 3:07then institutions are accumulating
  96. 3:09silently.
  97. 3:10Now when the institutions are
  98. 3:11accumulating silently, this is where the
  99. 3:14footprint being left on this volume bar
  100. 3:16which is a pocket pivot and that is what
  101. 3:18we are trying to identify. Now I
  102. 3:20understand that this particular volume
  103. 3:21indicator is quite difficult to
  104. 3:23understand the pocket pivot or requires
  105. 3:25a kind of extra effort to identify which
  106. 3:28is a pocket pivot and which are not. So
  107. 3:30don't worry about it. I will share
  108. 3:32indicator's name which I generally use
  109. 3:35to identify the pocket pivot zone and
  110. 3:37that will make your life easier. All
  111. 3:39right. So now let's quickly talk about
  112. 3:40the indicators.
  113. 3:41Okay. So this is the generic indicator,
  114. 3:44the volume indicator which we have
  115. 3:45added, right? Which we which you
  116. 3:46generally see. The first indicator which
  117. 3:48you can use is trader line, this one,
  118. 3:51the second one, right? This you can
  119. 3:53apply. Okay, I'll add all of all three
  120. 3:55first of all and then we'll discuss
  121. 3:57about it. The second one which you can
  122. 3:59add is symbol volume with pocket pivot
  123. 4:02by finally Nithin. And the third one
  124. 4:04which I use is TA plot. So this one, TA
  125. 4:07plot volume pocket pivot, okay? In all
  126. 4:09the three indicators which you see here,
  127. 4:11um so the first one is are the default
  128. 4:13one, okay? So the one which we generally
  129. 4:15have along the time. But the other three
  130. 4:18are the one which you can use for your
  131. 4:20pocket pivot identification. Now it
  132. 4:22doesn't matter which one you use because
  133. 4:23all the three has pretty much same
  134. 4:25features. I used to use Trader Lion, but
  135. 4:27now I have currently switched to the TA
  136. 4:29plot because I have I found a couple of
  137. 4:32extra feature in that like 5-days pocket
  138. 4:34pivot and all. So you use any one of
  139. 4:36them, it doesn't matter. All three are
  140. 4:37the pretty much same, okay? Now the key
  141. 4:39idea here for us is to how to use this,
  142. 4:41right? What are the key parameters and
  143. 4:43settings which we have? So I'll remove
  144. 4:45other three and I will just leave a TA
  145. 4:48plot which I generally use, okay? This
  146. 4:50is the setting. Um you can just, you
  147. 4:52know, use the same setting if you want.
  148. 4:54There's nothing much I've not changed
  149. 4:55much other than the colors and few of
  150. 4:57the values, but rest of the bits are
  151. 4:59pretty much same. So
  152. 5:01let me change this one to green here,
  153. 5:03white. All right, so this is what the
  154. 5:04high So what are the volume shows? So
  155. 5:06here if I show you the setting and the
  156. 5:08volume. So in the bottom which you with
  157. 5:10the green candles, right? That
  158. 5:12That is basically 10-days pocket pivot.
  159. 5:14So as for the pocket pivot concept, we
  160. 5:16want to see specifically this color,
  161. 5:17right? Any candle with this color
  162. 5:20positive for me. And then another one is
  163. 5:215-day pocket pivot. So the concept was
  164. 5:23introduced as a 10-day, but there is a
  165. 5:24concept of 5-day also like in last 5
  166. 5:26days, the current volume should be
  167. 5:28greater than all the down days volume of
  168. 5:31last 5 days, right? So that is something
  169. 5:32like this. If you see this Oh, sorry,
  170. 5:34yellow one. So that becomes your a
  171. 5:365-days pocket pivot. Uh then I have one
  172. 5:38which is the highest volume ever. So for
  173. 5:40example, something like this which means
  174. 5:42in the company's history, this is the
  175. 5:43highest volume ever traded on this day,
  176. 5:45right? So the highest of volume in here,
  177. 5:47so this is basically, you know,
  178. 5:49in last 1 year. So, in in this
  179. 5:51particular stock, you do I don't see I
  180. 5:53see here one. Okay. So,
  181. 5:57so this is something where you see this
  182. 5:59candle, the orange candle, it means in
  183. 6:00last 1 year. So, 9th Feb 2024, the
  184. 6:03volume which was traded around 7
  185. 6:05million, and this was the highest in
  186. 6:06last 1 year. Means from 2023 to 2024,
  187. 6:09Feb 2023 to Feb 2024, this is the
  188. 6:12highest volume ever traded, right? So,
  189. 6:14this is what these colors depict. Now,
  190. 6:16the one important one which I wanted to
  191. 6:17show you is this You see the bottom
  192. 6:19here, the gray color gray color volumes.
  193. 6:22These are basically dried dried up
  194. 6:24volumes, okay? So, the volume These are
  195. 6:26the volume which I generally see when
  196. 6:27the base formation is happening and the
  197. 6:29right side contraction I keep on talking
  198. 6:30about. So, these are the volumes I want
  199. 6:33to see where the
  200. 6:35dried up volume which is less than
  201. 6:36average, less than let's say half or 1/3
  202. 6:38of the average volume, okay? And the
  203. 6:40rest everything is not too much of color
  204. 6:42change. So, volume average period I've
  205. 6:44kept as a 50. And for a weekly chart,
  206. 6:4610.
  207. 6:47Okay. Now, so far you have understood
  208. 6:49the pocket pivot volume concept. You
  209. 6:51have also understood why it this is very
  210. 6:53important. You have also seen the
  211. 6:55indicator which I use to identify the
  212. 6:57pocket pivot volume visually. Now, let's
  213. 6:59create execution framework which I
  214. 7:00generally use or how I layer this pocket
  215. 7:03pivot for my entry and exits and
  216. 7:05everything. Now, please as I've already
  217. 7:07mentioned my initial of the video, but
  218. 7:08I'll reiterate, this particular pocket
  219. 7:10pivot video or the concept is highly
  220. 7:13effective in swing trading. Basically on
  221. 7:15daily chart. Uh on weekly chart, still I
  222. 7:18use it, but then it's a little bit less
  223. 7:20effective. Better to time the entry on
  224. 7:23daily chart, and then you can use weekly
  225. 7:25chart to, you know, trail or track uh
  226. 7:26depending upon if it's a positional or
  227. 7:28swing trading, it's up to you, okay? The
  228. 7:29first bit which I want to talk about is
  229. 7:32scanning. Scanning can be done using
  230. 7:34pocket pivot for with two ways, right?
  231. 7:37One is standalone method, another is via
  232. 7:38Pine Script now. So, I'll cover both the
  233. 7:40ways or both the concepts today. Now,
  234. 7:42let me show you the standalone method
  235. 7:43first. Right. Now, this is the
  236. 7:45standalone method which I generally use
  237. 7:47for the scanning. For the scanning, I've
  238. 7:48already covered in detail in these two
  239. 7:50videos. So, if you want, you can just
  240. 7:51quickly go through. It will make more
  241. 7:53sense. This is the scanning mechanism
  242. 7:55which I have, right? So, the simple I
  243. 7:57use Indian R wall, right? The relative
  244. 7:58volume. Give you some of the candidates
  245. 8:00where the institutions are accumulating,
  246. 8:02right? So, a relative volume is nothing
  247. 8:04but if you see the concept here, it is
  248. 8:05basically the volume divided by average
  249. 8:08past 10 days of the volume. And if it is
  250. 8:10greater than that, it basically pocket
  251. 8:11pivot. It basically relative volume,
  252. 8:13which is something aligned to our pocket
  253. 8:15pivot. The only difference is that
  254. 8:16pocket pivot looks for the last 10 down
  255. 8:18days, whereas this one looks overall 10
  256. 8:21days, right? Other bit of which I've
  257. 8:23added is common stock market cap,
  258. 8:24primary listing. I I look for the stocks
  259. 8:27that are above 75 EMA. Um you know,
  260. 8:29liquidity filter I've already discussed
  261. 8:31uh in my previous videos. And this is
  262. 8:33something I want to see. I don't want to
  263. 8:34see pocket pivot the stock is going
  264. 8:36down. Hence, I've made it like, you
  265. 8:38know, change greater than equal to 0%.
  266. 8:40As of now, these are the candidate I
  267. 8:41have like Chennai Petro. If you see here
  268. 8:43on the bottom, this is again the volume
  269. 8:45which I'm talking about, okay? Ayush,
  270. 8:47ignore that. This Mahamaya Steel looks
  271. 8:49interesting because it just the circuit
  272. 8:51got changed, but overall commodity is
  273. 8:52doing well, so
  274. 8:54interesting candidate looking at the
  275. 8:56pocket pivot volume down here.
  276. 8:57Uh MRPL, Valiant X I mean, all the
  277. 9:00defense candidate is Adani was up,
  278. 9:02National Aluminum, uh Triveni, Paras.
  279. 9:07Be Focus, Digvijay, okay? So, these are
  280. 9:09the some of the candidates like Tejas
  281. 9:11Network, uh this has another story going
  282. 9:13on. Uh Dynamatic, but you know, this is
  283. 9:16how you identify. So, end of the day
  284. 9:18today is the 38 just 38 candidate
  285. 9:20because the market is pretty much bad
  286. 9:22due to the war situation. But when the
  287. 9:23market is good, uh you see a lot of
  288. 9:25candidate around 100 120 candidate you
  289. 9:27can easily see into it, okay? So, this
  290. 9:29is the one way to identify the pocket
  291. 9:31pivot candidate. Another way which I use
  292. 9:33Finviz screener. So, what I do is go to
  293. 9:36my 52-week high, okay? Can you filter?
  294. 9:39So, this is very common filter which I
  295. 9:40use. The stock near to its 52-week high,
  296. 9:42maybe I mean within the range of 20%,
  297. 9:4430%, up to you what whatever you want to
  298. 9:46use it, okay? I simply select all and I
  299. 9:50do the right click and put it into the
  300. 9:51red zone, okay? And I use another one
  301. 9:53which is 3 months, 6 months, 1 month
  302. 9:55high, okay? I simply select all, right
  303. 9:57click, and red candidate. And simple
  304. 9:59another one which I add here is the
  305. 10:02stock which has moved 30% in last you
  306. 10:04know few days last 3 months, okay? I
  307. 10:06simply add all of them in the red red
  308. 10:08zone or you know just I tag them as a
  309. 10:09red and then I go for the finer
  310. 10:11screener, right? And in the finer
  311. 10:13screener, you can choose an indicator to
  312. 10:15identify the pocket pivot, okay? So,
  313. 10:16what I do is I choose my TA plot, the
  314. 10:19pocket pivot indicator which I have uh
  315. 10:21which is this one, okay? And there you
  316. 10:24have option of uh
  317. 10:2510 days pocket volume, right? So, I
  318. 10:27simply choose 10 days as a true and you
  319. 10:29simply scan. So, it will scan
  320. 10:31out of
  321. 10:33300 name as of today, 225 names are the
  322. 10:36one which has shown the pocket pivot,
  323. 10:38right? So, I will simply mark them as a
  324. 10:40another tag and I'll quickly go and just
  325. 10:42quickly scan now, right? Now, these are
  326. 10:44some of the candidate recently or as of
  327. 10:46today, like today when I say today, it
  328. 10:48is on 4th of March just after the market
  329. 10:51closed. These are the candidates which
  330. 10:53are shown some pocket pivot today. It
  331. 10:55means some of the institutions are got
  332. 10:57interested and they have initiated their
  333. 10:59position, right? And I personally prefer
  334. 11:01this method finer screener because in
  335. 11:03this way once the pocket pivot scan is
  336. 11:05done, I also put my inside bar or ADR
  337. 11:08bar you know finer screener and I simply
  338. 11:10put true and then a scan, okay? It again
  339. 11:12brings down 240 name to 51 name and then
  340. 11:15I quickly go through. But, this is how
  341. 11:16you can scan the candidates specifically
  342. 11:18for the pocket pivot, right? Now, once
  343. 11:20the scanning is done, next step for you
  344. 11:22is to identify a setup, right? Which
  345. 11:24which I call as a A+ setup and then what
  346. 11:27should be your entry, stop loss, and
  347. 11:29your position size and everything,
  348. 11:30right? Now, before I discuss about this
  349. 11:33practically and show you on the chart, I
  350. 11:34want you to basically go through my this
  351. 11:36video in detail. I have detailed out my
  352. 11:39entry exactly and what setup I look, you
  353. 11:42know, and how I manage and everything
  354. 11:43else. But, just to quickly give overview
  355. 11:45of my entry or setup. So, this is what I
  356. 11:48generally look for swing setup, right?
  357. 11:49This is what I call as a equality
  358. 11:51momentum setup where I look for a prior
  359. 11:53uptrend and after that a tight base
  360. 11:55formation should happen, right? The base
  361. 11:57pattern could be cup and handle, flag
  362. 11:58pattern. It can form a VCP pattern,
  363. 12:00doesn't matter. But, at the end of the
  364. 12:02base, I want to see a tight contraction.
  365. 12:04And then, if the stock is breaking out
  366. 12:06from this tight contraction, I want to
  367. 12:08enter into that stock, okay? The second
  368. 12:10entry which I look for is if I have
  369. 12:11missed this particular zone due to some
  370. 12:13reason, the second immediate entry for
  371. 12:15me is to when the stock moves up and
  372. 12:18then pull backs to its key EMA, all
  373. 12:20right? This is where I look for my
  374. 12:21second entry point. And generally,
  375. 12:23everything should this should happen
  376. 12:24around 21 DMA. Sometime, it can happen
  377. 12:27between 11 to 51 DMA between any any of
  378. 12:30these two EMA, right? Right, so one
  379. 12:32thing you need to understand, right? As
  380. 12:34Mark Douglas says that anything can
  381. 12:36happen in the stock market, right? So,
  382. 12:38stock market is a completely probability
  383. 12:40game, right? So, we don't know if if the
  384. 12:42next candle will be up or down or
  385. 12:44sideways, we don't know, right? Um but,
  386. 12:46we are stacking the probabilities in our
  387. 12:48favor, right? When we are looking for a
  388. 12:50prior uptrend, um it means the stock is
  389. 12:53in momentum. Hence, in future also, the
  390. 12:54stock can continue being momentum. So,
  391. 12:56that is one probability.
  392. 12:58Um another is like, you know, looking
  393. 12:59for a tight base. Why tight base?
  394. 13:01Because when the stock is pretty much at
  395. 13:02tight zone, it can go into expansion
  396. 13:04zone. And that is what we are looking
  397. 13:06for, immediate move from the market.
  398. 13:09Again, second probability we are
  399. 13:10layering. Third, we are layering saying
  400. 13:12that the series of narrow candle or
  401. 13:14inside bars, which means the volatility
  402. 13:16is pretty much contracted, which means
  403. 13:18the volatility has also contracted in
  404. 13:20the base form. And also, the candle also
  405. 13:22contracting. It means not too much of
  406. 13:24buyer or not too much of sellers are,
  407. 13:27you know, competing. They are pretty
  408. 13:28much at equilibrium position. And now
  409. 13:30stock can go any direction, right? These
  410. 13:32are the layers we are adding to increase
  411. 13:35the probability of the stock to, um, you
  412. 13:37know, win. Similarly, we are adding a
  413. 13:39pocket pivot, right? Pocket pivot is
  414. 13:40another layer we are adding to increase
  415. 13:42the probability of stock to win. By
  416. 13:44saying that, if I see a pocket pivot in
  417. 13:46a candle, it means, uh, the institutions
  418. 13:48are accumulating, hence the chances of a
  419. 13:50stock to go up is high. Your strike rate
  420. 13:52still can be 40, 50, 60%. But the idea
  421. 13:55is, when you make a return, right, by
  422. 13:57having a tight stop loss, one or two
  423. 13:59good returns or good R will basically
  424. 14:01compensate all of your other losses. And
  425. 14:03that is what we are trying to do by
  426. 14:04adding these other layers, like prior
  427. 14:06uptrend, EMA, tight bar, tight candle,
  428. 14:08pocket pivot. These are the layers you
  429. 14:11are adding to increase the probability
  430. 14:12of winning in that the stock. Now, let's
  431. 14:14quickly come to the execution side of
  432. 14:16it, right? So, we'll The first I will
  433. 14:17show you how I generally tend to see a
  434. 14:20pocket pivot. And, uh, after the
  435. 14:22scanning the candidate, which we've
  436. 14:23already discussed, and then we'll go
  437. 14:24through few examples to, you know,
  438. 14:26ingrain that pocket pivot concept in
  439. 14:28your brain. So, entry example which I
  440. 14:29wanted to discuss is Kirloskar Oil
  441. 14:32Engine, right? Just a disclosure, this
  442. 14:33is not a buy or sell recommendation.
  443. 14:35This is something I'm just sharing to
  444. 14:37understand the concept of pocket pivot,
  445. 14:38okay? So, what I said, the prior
  446. 14:40uptrend, I can see that. I can see a
  447. 14:42flag formation here. So, good move, and
  448. 14:44then, you know, stock basically
  449. 14:45consolidating or pulling back to its key
  450. 14:47EMA. Now, the green line which you see
  451. 14:49here is the EMA 21. And then there is a
  452. 14:51tight contraction is happening on the
  453. 14:53right side of the base. If you see these
  454. 14:54candle 0.22 0.82, pretty much very
  455. 14:56tight, okay? 0.34 1.08. And then, uh,
  456. 15:00day before yesterday, I mean, couple of
  457. 15:02days back when the market was hit by the
  458. 15:03war news, this stock pulled back. This
  459. 15:05stock basically went down, gap down,
  460. 15:07right? If you see here, uh, this stock
  461. 15:09went approximately from its previous
  462. 15:11close, approximately 8% down. But by the
  463. 15:15end of the day, this stock closed in a
  464. 15:16green. That is first sign of strength
  465. 15:19here. And if you see in the bottom, that
  466. 15:21shows the five days of pocket pivot,
  467. 15:22right? That is something I got I'm
  468. 15:24interested in. Now, today when the stock
  469. 15:26closed, again it closed very tight,
  470. 15:280.078. And again the pocket pivot volume
  471. 15:30is you see 5 days
  472. 15:32pocket pivot volume. Now, these are the
  473. 15:34something it interest interest me. And
  474. 15:36what is another point which we want to
  475. 15:37see is if you see the previous uptrend,
  476. 15:39when you see this move, there were many
  477. 15:41multiple pocket pivot here, right? We're
  478. 15:43green, green, green, a lot of these
  479. 15:45green candles here, right? You don't see
  480. 15:47a lot of purple candles, right? You
  481. 15:48don't see a lot of distribution happen
  482. 15:50in here in past many days. It means
  483. 15:51somebody's
  484. 15:53some institution or someone who
  485. 15:54understand the business well or some
  486. 15:56catalyst is there and they are
  487. 15:57accumulating the stock. So, for example,
  488. 16:00here on the bottom if you see
  489. 16:02um
  490. 16:02in on on 12th November, I think a big
  491. 16:06highest volume ever came in, right? If
  492. 16:07you ever as I showed you in my setting,
  493. 16:09the white one is highest of volume ever.
  494. 16:11So, on November 12th, the highest volume
  495. 16:14was traded and the stock went up 11% and
  496. 16:16after that I have rarely seen any purple
  497. 16:19candle except one which was here around
  498. 16:213rd of December, right? But then you
  499. 16:24will rarely see any purple candi-
  500. 16:26candles, right? And this is how you
  501. 16:27choose your stocks, right? If like when
  502. 16:29you are seeing the price, parallelly you
  503. 16:31also see the volume, okay? And you don't
  504. 16:33see a lot of purple bars, which means
  505. 16:35the stock is under accumulation zone. It
  506. 16:36means someone is accumulating lot not
  507. 16:39lot of people are selling. They are
  508. 16:40pretty much the stock is either in a
  509. 16:42very tight volume, which means very
  510. 16:44equilibrium position is there or
  511. 16:47mostly people are accumulating, right?
  512. 16:49Now, to time my entry, what I'll simply
  513. 16:51do is if tomorrow, let's say tomorrow if
  514. 16:53you want to enter into this candidate,
  515. 16:54I'll simply put a you know, alert over
  516. 16:56here and the moment it goes above I'll
  517. 16:57enter. And the stop loss could be tight
  518. 17:00for me, so I generally look for the low
  519. 17:01of the day or low of the previous
  520. 17:03candle. So, this is 4% too high for me.
  521. 17:05So, if
  522. 17:06uh even if I keep keep it around EMA
  523. 17:08which is around the EMA is around 2.
  524. 17:11around 1416, so maybe around 2% or 2 and
  525. 17:141/2% can be my stop loss. And in that
  526. 17:17way I can easily allocate 30 34% of my
  527. 17:20position and my overall risk per
  528. 17:23portfolio will be still less than 1%
  529. 17:25okay. So that is how you can size up
  530. 17:27your position immediately. Another
  531. 17:29example let me show you is national
  532. 17:31aluminium. Just a disclaimer I have a
  533. 17:34position in the stock no buy sell
  534. 17:36recommendation again.
  535. 17:37Exactly the same stories which I just
  536. 17:39discussed for the Kirloskar right. So
  537. 17:41here I saw one purple bar on the earning
  538. 17:43day that is something is not good but
  539. 17:45last for many days I see a lot of green
  540. 17:48candles which means the accumulation is
  541. 17:50quite high and after this pullback when
  542. 17:52the pullback has happened on entire all
  543. 17:53the commodity stock this
  544. 17:55volume was pretty much tight and then
  545. 17:57from past
  546. 17:59three four day one pocket pivot came and
  547. 18:01today pocket pivot volume came right and
  548. 18:02I got interested. Okay. So I simply
  549. 18:05again you put a tight high on so these
  550. 18:07are the two tight candle I have put the
  551. 18:09alert here. The moment it this alert was
  552. 18:11triggered I entered in the stock around
  553. 18:13273 around and the stop loss was again
  554. 18:16tight of 2 to 3% okay and the similar
  555. 18:18manner I I can simply position in this
  556. 18:21position size is quite less but overall
  557. 18:23the context also matters like you know
  558. 18:24the market is right now very much
  559. 18:25volatile and reactive because of the war
  560. 18:27news and everything. You don't want to
  561. 18:29put your entire position size in one
  562. 18:31stock immediately. This is why how you
  563. 18:33time your entry. So let's discuss few
  564. 18:34more examples. So the one which I wanted
  565. 18:36to share with you is some is this one
  566. 18:38okay. These are the most ideal setup
  567. 18:41which you want to look for in any
  568. 18:42candidate. So something like this you
  569. 18:44see this particular
  570. 18:45uh
  571. 18:46setup which you see here okay. This is
  572. 18:48basically a plus plus setup where the
  573. 18:50tightest candle is formed and in those
  574. 18:52candle also you see the pocket pivot
  575. 18:53right. So let me try break it down for
  576. 18:55you. Prior uptrend okay no problem in
  577. 18:58that and then immediate move and the
  578. 18:59stock pulled back. Stock stock pulled
  579. 19:01back its key MA and it formed a tight
  580. 19:03candle here right. Okay. Then the stock
  581. 19:06again went up again pulled back again
  582. 19:07went up and again pulled back. What
  583. 19:09pattern is this? It's clearly a W
  584. 19:11pattern right? Uh so, if I show you one,
  585. 19:15two, and then this tight one last,
  586. 19:17right? So, this become your
  587. 19:19VCP pattern or volatility contraction
  588. 19:21pattern, okay? Now, this is where I
  589. 19:23should get interested. How this candle
  590. 19:25will come to your scanner? This candle
  591. 19:27will come to us your scanner at this
  592. 19:29particular volume bar, right? Because
  593. 19:32pocket pivot volume or or this or this.
  594. 19:34So, whenever you are running your
  595. 19:35scanner and you're looking for your
  596. 19:37relative volume, which I've just
  597. 19:38discussed few minutes back, somewhere
  598. 19:40around this candle or this candle or
  599. 19:42this candle or probably this candle, you
  600. 19:44know, where where you see the pocket
  601. 19:46pivot, your stock will appear, right?
  602. 19:48Now, here these are the five candle
  603. 19:49which should basically uh push you to
  604. 19:52enter into this stock, right? These five
  605. 19:54uh candles are pretty much very tight.
  606. 19:56And the best thing is on the bottom
  607. 19:57within the tight candle also, I see a
  608. 19:59pocket pivot here, right? Two pocket
  609. 20:00pivot within the tight candle, at this
  610. 20:02candle and in this candle.
  611. 20:04And this is the rarest of rarest
  612. 20:06scenarios where
  613. 20:07in the tight candle, like 1% or 0.48%
  614. 20:11you see a pocket pivot, which means the
  615. 20:12institutions are
  616. 20:14not leaving a single chance to
  617. 20:16accumulate the stock. Now, what I what
  618. 20:18simply have to do is you simply put
  619. 20:20alert on the top of this particular
  620. 20:21range, okay?
  621. 20:22And anything, so if the stock gapped up
  622. 20:24over here, approximately 280, so may
  623. 20:26even if you're in the middle of the
  624. 20:27candle around 285 you have entered, you
  625. 20:29made a good risk reward. And this is one
  626. 20:30of the live trade which I traded, and
  627. 20:32this was a good return within a very
  628. 20:34short period of time. Exactly same thing
  629. 20:36has happened in Hind Copper uh Hindustan
  630. 20:38Copper
  631. 20:39here at this base, if you see. So, this
  632. 20:41is again forming a good cup and handle,
  633. 20:43right? This overall. And this candle was
  634. 20:45the breakout candle for me. So, top of
  635. 20:48this would be my entry point at the top
  636. 20:49of this candle. And what is the best
  637. 20:51thing? The pocket pivot here. You see in
  638. 20:52the within the base also, you see a lot
  639. 20:54of pocket pivot is happening, which
  640. 20:55means institutions are silently
  641. 20:57accumulating when the stock was pulling
  642. 20:58back. And here on here also, the stock
  643. 21:01was give one pocket pivot, and after
  644. 21:02that is three days of pullback, and then
  645. 21:04stock give immediate good return. So,
  646. 21:06this is the BSC trade, another example
  647. 21:08I'll take that and this is probably one
  648. 21:09of the best trade I have taken with a
  649. 21:11full allocation. So, at that time uh I
  650. 21:13have allocated around 25-30% of my
  651. 21:15portfolio. And this stock has given
  652. 21:17immediate result. And that is what you
  653. 21:19want to see in swing trade, right? You
  654. 21:20don't want to sit in a stock for
  655. 21:21multiple days. This is a strong uptrend
  656. 21:24and then the stock formed a decent base
  657. 21:25from here to here. And you see the
  658. 21:27sorry, left side of the base, you see a
  659. 21:29lot of purple bars, you know, less green
  660. 21:30bar, but decent amount of purple bars.
  661. 21:32But a moment you went to the right side
  662. 21:34of the base, you see a lot of green
  663. 21:36pocket pivot volumes, right? And that is
  664. 21:38what it shows that in institutions are
  665. 21:40now getting interested and they are
  666. 21:42initiating they are initiating their or
  667. 21:44adding to their portfolios and hence the
  668. 21:46stock shows the volume footprint in
  669. 21:49these candle, right? And it become very
  670. 21:51easy, right? Visually using this
  671. 21:52indicator that the moment you see the
  672. 21:54lot of these green candle, it
  673. 21:55automatically shows tell to your brain
  674. 21:57that okay, some
  675. 21:58some accumulation is going on into the
  676. 22:00stock. And then what happened? I entered
  677. 22:02as you see in the screenshot, I entered
  678. 22:03around 29th of August. Right? I see
  679. 22:05continuously updrift of the stock. To be
  680. 22:08honest, this entry was not perfect entry
  681. 22:09for me, but why I entered? Because of
  682. 22:11the pocket pivot, right? So, if you see
  683. 22:12in the bottom here, you see the pocket
  684. 22:14pivot volume continuously coming in and
  685. 22:16this candle or this candle, I see the
  686. 22:18tight candles here and I immediately
  687. 22:20entered with my good amount of
  688. 22:22allocation there, right? And the stock
  689. 22:24was hardly 2 to 3%. And then few days
  690. 22:26stock didn't work much. It was just
  691. 22:27simple pullback to its EMA and after
  692. 22:29that the stock has given 40-50% return
  693. 22:31immediately. I think I exited with 41%,
  694. 22:35but at the top it gave around 51%. Now
  695. 22:37and that happened hardly in 10 days, 10
  696. 22:39to 12 days, okay? Another And again,
  697. 22:41when the stock pulled back, again I
  698. 22:42entered with the same logic. So, if you
  699. 22:44see here on the bottom, okay, when the
  700. 22:45stock is pulling back, it took a support
  701. 22:47of 21 EMA and then after that it again
  702. 22:50jumped with the some volume and next was
  703. 22:51a pocket pivot volume and after that the
  704. 22:53stock again gave 30-40%. So, this is how
  705. 22:55this pocket pivot can help you to
  706. 22:57increase the probability of your trade.
  707. 22:59So, JP Power is another perfect example
  708. 23:01which I want to talk about. So, if you
  709. 23:03see here, this was a prior uptrend,
  710. 23:04pullback to its EMA. So, this was the
  711. 23:06one entry point you could have. But
  712. 23:08after that, the stock has formed again a
  713. 23:10tight range. And the what is the beauty
  714. 23:11of this tight range in this you see in
  715. 23:12the bottom, the pocket pivots, right?
  716. 23:14All other factor, prior uptrend, tight
  717. 23:16base consolidation base pattern, EMA,
  718. 23:18everything is aligned. But along with
  719. 23:20that, you see the pocket pivot. Pocket
  720. 23:22pivot is something moment I see, I get
  721. 23:23very interested and my
  722. 23:25any stock if you go on my X profile and
  723. 23:28if you scan satellite, and you will see
  724. 23:30all my stock names has pocket pivot. I
  725. 23:32have not ever entered into the stock
  726. 23:35without pocket pivot. Now, it doesn't
  727. 23:36mean that I have a 100% strike rate. I
  728. 23:38have hardly 40, 30, 40% of a strike in
  729. 23:40long term. Well, but what is the best is
  730. 23:42that the one which I have made return, I
  731. 23:44have made a good return because of this
  732. 23:45pocket pivot, right? The one which has
  733. 23:47hit the stop loss, the worst I've lost
  734. 23:492, 3, 3, 4%. But when I made the return,
  735. 23:51I made sometime 12%, 15, 30, 40,
  736. 23:54depending upon how the stock went up and
  737. 23:55what I traded and all.
  738. 23:57Exactly same thing had happened here.
  739. 23:59So, the stock move up, pull back little
  740. 24:01bit, you know, up direction and then a
  741. 24:03tight consolidation. And within the
  742. 24:04tight consolidation, you see the pocket
  743. 24:06pivot examples, lot of pocket pivot.
  744. 24:07After that, the stock has given a very
  745. 24:09immediate positive reaction of 40, 50.
  746. 24:11The another recent one which I entered
  747. 24:12was Amber. Amber again the same example.
  748. 24:15So, when the stock was consolidating
  749. 24:17here, I see the pocket pivots here and
  750. 24:19this is where I entered. It again went
  751. 24:21up, but day before yesterday the stock
  752. 24:23gap down and hit my stop loss. But this
  753. 24:25is how you should enter. Market will
  754. 24:27react, the stop loss will get hit. If
  755. 24:29you have a small stop loss, then it will
  756. 24:30immediately get absorbed with some other
  757. 24:33profit trade. But that is how you have
  758. 24:35to plan your trade and look for the
  759. 24:36tight consolidation, right? And this is
  760. 24:38how you have to use the pocket pivot and
  761. 24:40layer it in your entire trading system
  762. 24:42or trading process to increase the
  763. 24:43probability. All right? So, now since
  764. 24:45you have understood the entire concept,
  765. 24:47example, entry and exit, everything
  766. 24:48using a pocket pivot and overall swing
  767. 24:50trading. Now, there are few common
  768. 24:51mistake which a lot of trader out there
  769. 24:53will make and be aware of that. The
  770. 24:55first one is treating any volume as a
  771. 24:57spike as a pocket pivot, right? You
  772. 24:59should know that where you have to look
  773. 25:00for the pocket pivot. When the stock is
  774. 25:02long-term downtrend and suddenly you see
  775. 25:04a spike in the
  776. 25:05you know a spike in the volume as a
  777. 25:07pocket pivot, that is not right way to
  778. 25:09identify the pocket pivot. As I
  779. 25:10mentioned, the pocket pivot only make
  780. 25:12more sense when there's a prior uptrend,
  781. 25:14tight consolidation, base formation, and
  782. 25:16then on right side of base you see a lot
  783. 25:18of pocket pivots as a cluster of pocket
  784. 25:20pivots, right? And the second is
  785. 25:21ignoring the context. So, it doesn't
  786. 25:23matter, you know, even if the
  787. 25:25consolidation or setup is very high. If
  788. 25:27there is a context which is like market
  789. 25:28or sector is not aligned to that stock,
  790. 25:30that stock will fail. So, try not to
  791. 25:33enter into every stock or look for the
  792. 25:34market and sector along with that. If it
  793. 25:36is not correct, if it is not aligned to
  794. 25:39you know your overall ease of trading,
  795. 25:41then try not to enter into the stock.
  796. 25:43Third is buying extended move. If If the
  797. 25:45pocket pivot is forming at extremely far
  798. 25:48from its base, right? After three, four
  799. 25:50base, try not to participate in that.
  800. 25:51And last but not least is
  801. 25:54treating pocket pivot as a magic
  802. 25:55indicator
  803. 25:56or solely relying into this one
  804. 25:58indicator. As I said, this is a just a
  805. 26:00layer in overall of my process. My
  806. 26:02process starts with prior uptrend, tight
  807. 26:03base, chart pattern, tight candle, right
  808. 26:05side base, and then pocket pivot, right?
  809. 26:07So, this just one of the layer to
  810. 26:09increase the probability of the game.
  811. 26:11What some of us will do that, you know,
  812. 26:13the moment I see the pocket pivot, I'll
  813. 26:14simply enter into that stock. No.
  814. 26:16Everything aligned and then I saw the
  815. 26:18pocket pivot, hence I entered. Not that
  816. 26:20I just saw the pocket pivot and I
  817. 26:21entered into the stock. So, try not to
  818. 26:23use this as a magic indicator.
  819. 26:25Use it as a support to your entire
  820. 26:27process and hence, you know, treat it
  821. 26:29like that. So, with this we have reached
  822. 26:30to the final thoughts. So, what I want
  823. 26:32from you, I want two things. First is
  824. 26:34you go back and check all the trending
  825. 26:35stock, right? Like in the recent market,
  826. 26:38all the financial stock, auto OEMs, you
  827. 26:40know, Force Motors and all other stocks.
  828. 26:42And look for the patterns and look and
  829. 26:44try to identify the pocket pivot. And
  830. 26:46second thing which I want from you is
  831. 26:47put put those names below in comment
  832. 26:49section and I'll validate and respond to
  833. 26:51you. With this, if this video added some
  834. 26:52value to your overall process of swing
  835. 26:54trading, hit that like and subscribe
  836. 26:55button and I'll see you in the next one.
  837. 26:57Bye. Take care.

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