AIT Smart Strategy

AIT Smart is a powerful approach based on the Point & Figure (P&F) charting method. This strategy incorporates two key pattern principles: MCB (Momentum–Consolidation–Breakout) and Horizontal Accumulation Breakout.

It uses bullish AFT, IFT, and Turtle breakout patterns that occur above the D Smart indicator as part of the strategy setup.

Below is a possible AIT Smart strategy in the Momentify Trading setup.

Strategy Name: AIT Smart Strategy

Stock Group: Your choice

Allocation: Your choice

Number of Stocks: Your choice

Rank Criteria: Volar

Position Size: Fixed

Ranking Period: 252

Retracement: Within 50% of 52-week high

Moving Average Filter: 200-EMA

TMA Trend: Bullish 20, 50, 100 triple moving averages trend

Trend Quality: Above 50%

Relative Strength: Above D Smart

Entry Condition: Bullish AFT, IFT or Turtle Breakout Strategy above D Smart

Exit Condition: Below D Smart

Market Trend Filter: Change the exit strategy to Double Bottom Sell or High Pole when Nifty turns bearish, or when X% breadth rises above 75, or X% breadth falls below its moving average.

Please note: When using Point & Figure charts, the box-value can be defined based on the stock universe:

• 0.25% x 3 for large-cap stocks
• 1% x 3 for other stocks
• 3% x 3 for medium- to long-term trading setups

You can run this strategy on large-cap, mid-cap, small-cap, micro-cap, or the entire market universe. It can also be applied to various sectors, thematic indices, or even your own custom group of stocks.

In the above template, position sizing is kept as fixed. However, you can also opt for ATR-based or Risk-based position sizing methods.

It is important to understand that the above rules are meant to help you understand the structure of the template. You are encouraged to tweak the parameters as per your comfort, and backtest across different time periods and stock universes to build your own customized trading template.

You can customize the exit strategy — including setting your preferred stop-loss percentage and target levels.

You can use this base template, make necessary adjustments, and save it in your Momentify Trading dashboard.

To backtest your strategy, go to: RZone → Backtesting → Momentum Trading Backtesting

The above strategy in the Momentify Trading Setup is a long-only (buy-only) strategy and can be applied across any market segment — cash or derivatives, across any timeframe or instrument.

In Momentify trading setups, there are two options: Fresh and Running.

• Running: Displays stocks that qualified earlier and are still running in the same column. These stocks are ranked based on the selected ranking criteria.
• Fresh: Shows only those stocks that qualify the setup on the current day, also ranked based on the selected criteria.

The stock basket in Momentify is generated based on the previous session’s closing price. To scan stocks using live market prices, simply click the Scan button.