Supertrend Strategy — Quick Lesson B: Use It
The Exact Entry, Stop, Exit, and Sizing Rules, With a Full Worked Example
Overview & Market Foundations
Market backdrop, executive takeaways & goals
Quick Lesson A explained what the Supertrend line is built from and why its combined signal-and-exit design demands a discipline most traders underestimate. This lesson turns that understanding into an exact, tradeable rule set: the precise setup, trigger, entry, stop-loss, exit, and position-size rules, walked through with a full worked example on an illustrative HDFC Bank chart, including the two smaller losing flips that came before the trend that made the trade worthwhile.
What This Lesson Covers
This lesson covers the six rules that fully define this strategy, why the line itself replaces a separately defined stop-loss, exact position-size arithmetic with a real capital figure, a full worked example including two smaller losing flips before the winning trend, how to handle the psychological pull to override an exit, and a practical checklist to run before acting on any flip.