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BITCONE GO WHERE [ENTRY PLANS]Previous short idea invalidated, time to move on. Good volume from 6.6 (rip new 6800 shorts and stops) and potential bullish catalysts (likely ETF approval) and explosive volatility after yearly lows are good news and should allow at least a small relief rally into the 8000s. R/R of btc at this current price ~7.5k for longs is absurd; If you closely examine the orderbook behaviors from 7.3 to 7.5 in the past few hours it appears ask side liquidity is often pulled and price is quickly being bought up on thin books. Given the lack of a retrace on this huge upmove after breaching 6.8 i'm expecting a retrace to at least 7.2; Planning to scale into longs at 7.2~7k with large scalp shorts at this level if we don't consolidate at the very least. Profit has been taken on longs and I'll let them ride with take profits/stops at 7k flat. Only concern for current shorts is we continue upwards like in april
BITMEX:BTCUSD.PLong
by TradePod
Bitcoin is showing no strenght at all now what?!hellow guys, im juist going to keep it simple. bitcoin remains ultra bearish since we dropped from the 8.600 level at this moment so these are my targets to re entry this bearish market we didnt see any real volume so far, so i guess btc is not ready yet to go up, we might see some volume around 5.800 but im not convinced that the support of 5.800 will hold for the 3th time. On the chart above you can see my targets for btc The weekly looks bearish The daily looks bearish The 4 hours chart looks bearish On the other side if we keep manage to close above 6k we could probably see a rally towards the 7k region again.. but im not convinced that this scenario could work out because the charts are looking really bad. keep caution trading this really nasty environment.
BITFINEX:BTCUSDShort
by GLENNVB91
5
Zcoin (XZC) Cryptocurrency Strategy – 3L-R Trade PatternZcoin XZC 30m The 3L-R reversal is a four-bar pattern and it means three lows (3L) followed by a reversal (R). The main characteristics of this reversal chart pattern are the three consecutive lower low candles. The high price of these three particular candles doesn’t matter; the only thing that matter is that each low is lower than the prior low. The fourth bar of the reversal chart pattern needs to have the high bigger than the highest high of the previous 3 candles. We’re not concerned about the low of the last bar. Step #1: Identify Three Consecutive Lower Low Candles The first component of this reversal pattern is the three consecutive lower low candles. At this point we’re not concerned about the highs of the three candles. However, you’ll notice that most of the time each consecutive high is also lower than the previous high. What is great about the Zcoin (XZC) cryptocurrency strategy is the fact that it’s designed to catch market reversals right at the moment they occur. Step #2: The fourth candle breaks above the first bar high in the reversal pattern The immediate candle after the three lower lows needs to be a bullish candle and secondly it needs to break above the first bar high in the pattern. Normally, the highest high of the first three bars is made by the first bar, however, in the event that this is not the highest high we need to wait until the fourth candle breaks above the highest high of the previous 3 candles. Note* It’s important that the 4th candle breaks above the first candle high, not the 5th or the 6th because that will invalidate the reversal pattern. We need to be very precise when trading reversal patterns like the 3L-R pattern. Even though we said that we’re not concerned with the low of the fourth bar, it does matter if the low is higher than the third bar’s low. Through our backtesating results we have found out that this yields better trading performance. Step #3: How to buy Zcoin: Buy if the fourth candle closes above the last three candles highest high Before we pull the trigger and buy cryptocurrency Zcoin we need for the fourth candle to also close above the first candle high or above the last three candle highest high point, whichever that might be. Now is the time to convert this reversal setup into profit and buy Zcoin when the fourth candle closes above the last three candles highest high. Step #4: Place your protective Stop Loss below the 3L-R pattern low Trading reversals have lots of benefits and among other things it offers us the possibility to really use a very tight stop loss. If the trade doesn’t work the market will tell you very quickly and it will produce only very little damage to your account balances. Like with any reversal pattern, if you want to keep the stop very tight you need to place your protective SL below the reversal pattern aka below the 3L-R pattern low. Step #5: Take profit should be at least two times bigger than your Stop Loss If you trade this reversal pattern on intraday charts, it’s best to simply take profit once the Zcoin price will give you a return that is two times more than your stop loss. In other words, you have a risk to reward ratio of 1:2. Alternatively, if you use higher time frames the exit strategy should be based on a trailing stop. Note** the above was an example of a BUY trade using the best Zcoin XZC cryptocurrency strategy. Use the same rules for a SELL trade – but in reverse. PM me if you would like to read the complete strategy.
XLong
by Tradingstrategyguides
HOW TO TRADE ELLIOTT for BEGINNEERSStep #1 Wait until you can spot at least a 3 wave Elliott Wave sequence Since we always advocate trading in the direction of the trend, as explained above, we’re only attempting to catch the last wave 5. So, in order to find our Elliott Wave entry points we need to let the market tip his hands off and wait to develop the first 3 waves of a five Elliott Wave pattern We must verify that each wave complies with the Elliott Wave strategy rules in order to confirm the validity of our Elliott Wave count. In the figure above, we’ve spotted a bearish Elliott wave count that complies with the Elliott Wave strategy rules, which means we’re looking for a sell setup. Step #2 Sell between 38.2% and 50% Fibonacci retracement of Wave 3 One of the Elliott wave rules states that, ideally, wave 4 should retrace between 38.2% and 50% Fibonacci retracement of wave 3. Our Elliott Wave entry points are at 38.2% because we never know for sure how far the market will retrace and we don’t want to miss the move. We’re pretty much sure that with experience you can fine tune your Elliott Wave entry points and get even better entries. Now, we can note that wave four retrace a little bit above the 50% retracement. Since the market is never a perfect place where rules are respected to the pip there will always be small variations and the Elliott Wave strategy is no exception from the rule Step #3 Place the Protective Stop Loss few pips above the Wave 1 Ending Point In the section “How to trade Elliott Wave” we highlight the importance of wave 4 never entering into the wave 1 territory. In this regard, it’s smart to place our stop loss exactly where the Elliott Wave pattern will be invalidated. Step #4 Take Profit when Wave 5 is equal to Wave 1 or when we break below wave 3 With the Elliott Wave strategy is all about experimenting new trade ideas and we encourage you to find your own set of rules because once you have a firm understanding how to trade Elliott Wave you can develop many Elliott Wave strategies around it. In this regard, we don’t have a set in stone take profit strategy because the Elliott Wave strategy looks to maximize profits and the only way you can do this is through flexibility because no two Elliott Wave structure is the same Note** The above was an example of a SELL trade… Use the same rules – but in reverse – for a BUY trade. PM me if you want to read the complete strategy.
Short
by Tradingstrategyguides
4
Crude is retesting the broken up trend lineCrude broke a year long up trend line earlier this month. It has now tested the bottom of the up trend line several times and looks ripe for drop. Take your loss on a daily candle close back above the trend line . Target the three indicated levels. You can even hold a portion of the trade for the June 2017 low. Follow your stops as the trade moves in your direction. Be sure to size your trade according to your risk parameters. NEVER BET THE FARM! No trade is guaranteed 100% to work. You NEVER know what the market will do. Your first job is to protect your trading account.
NYMEX:CL1!Short
by Tradingstrategyguides
6
ADAUSD 1h CARDANO STRATEGYStep #1: Cardano ADA price needs to trade BELOW the 200-day moving average The first condition that Cardano requires to satisfy is to trade BELOW the 200-day moving average. When price trades BELOW the 200-day moving average we know we have a strong premise for a bearish trend to be put in place. The more time Cardano price spends below the 200-day moving average and the biggest the distance between the Ada price and the 200-day moving average the stronger the trend is. Step #2: Volume needs to be above average and twice as much volume compared with previous volume bars needs to come in We need to look for instances when the volume bars are above the average volume (the red moving average). But this is not all; we also need the buying volume to be twice as much as previous volume bars. Wait for trading situations where the selling volume is increasing considerably. This really shows institutional buying that has the power to move the Ada coin price. Step #3: After volume has increased, sell at the opening of the next candle When to sell Cardano ADA is quite intuitive if you have followed this cryptocurrency step-by-step guide. The moment we see institutional selling presence we want to be sure we’re not left out. In this regard, after the volume has increased, we sell at the opening of the next candle preceding the big volume candle. Usually, you’ll be selling right after the first bearish candle that often is the starting point of a new trend. Don’t be afraid to sell on the way down as this will pay handsomely in the long run. Step #4: Place protective Stop Loss above the 200-day moving average Hide your protective stop loss above the 200-day moving average. A market that has a strong bearish trend should not drop above the most powerful moving average aka the 200-day moving average. By hiding your stop loss above the 200 moving average, we’re minimizing risk as much as possible. Note* as the trend progresses you can also trail your stop loss below the 200-day MA. Step #5: You decide or Take Profit when we break and close above the 200-day Moving Average The 200-day moving average can serve us as a significant trigger for our exit strategy. When we break above the 200 moving average, that’s the first sign that the trend is about to change the tide. When these happen make sure you take profits. Note** the above was an example of a SELL trade using the Cardano trading strategy. Use the same rules for a BUY trade – but in reverse. PM me if you want to read the complete strategy
BINANCE:ADAUSDShort
by Tradingstrategyguides
USDJPY 15M DONCHIAN CHANNEL STRATEGYStep #1: Attach the Donchian channel indicator to your chart. Preferred setting 20 periods. For the purpose of this example, we’re going to plot the Donchian channel on the 15-minute time frame. The preferred Donchian channel settings is 20-periods, which means that the channel lines will be calculated based on the price action from the last 5 hour candles Note* The Donchian indicator is a free pre-build technical indicator that comes free with most trading platforms. Step #2: Wait until the price crawls along the upper Donchian Channel. The price should not go below the middle band during this stage. It’s quite easy to visualize the Crawling Along pattern. When the price action touches the upper Donchian channel, and it stays glued to the upper line, we create the price effect where the price looks like it’s crawling along the top Donchian line. If you think in terms of supply and demand, when the price is crawling along the upper Donchian channel, without departing too far away it means there are lots of buyers that try to push the price higher. This eventually will lead to seller capitulating once the breakout happens. Another characteristic of the Crawling pattern is that during this stage, the price shouldn’t go below the middle Donchian band. Note* The closer the price action moves along the upper band, the stronger the trend is. If you spot this type of price action, then you know this day trend has a big potential for following through. Step #3: Buy1 when the price pulls back to the middle Donchian band. Buy2 when the price pulls back to the lower Donchian band. The channel width gives us a measurement of the market volatility. When we have high volatility in the market, this will be shown on the chart by wide channel bands, whereas low volatility will be displayed on the chart by a narrow channel. Like with all technical indicators the Donchian channel can be subject to false signals from whipsaws and sizeable market swings. Breakouts are very hard to trade, and that is the reason why we prefer to enter on pullbacks. We recommend splitting your trade into two parts as this will give you a better average entry price. The first buy order is deployed when the price pulls back to the middle Donchian band, while the second buy order is deployed when the price retraces all the way to the lower Donchian band. Our entry strategy will give us the opportunity to implement a proper risk management This entry strategy is a good way of framing a trade. So, you have a very specific entry point By sticking to this entry rules, you will realize this is not a bad trade to take because you trade in the direction of the prevailing trend Step #4: Hide your protective Stop Loss below the lower Donchian band Your stop loss can be placed below the lower Donchian band. The catch is that you need to move to the left side of the chart and find the first part of the lower Donchian band where it is flat. You’ll find that often times the Donchian channel will plot perfectly flat lines. This can provide us with excellent spots to hide our stop loss. Step #5: Take profit at the end of the day or if you want to ride the trend more take profit when The beauty of the Donchian trading strategy is that you can apply multiple exit strategies so you can maximize your profits. Now, that we know that the supply and demand balance is skewed to the upside, we can expect buyers to step in far quicker on retracements than they have before. This can indicate that we’ll have a buy explosion to the upside. The first proposed exit strategy is to liquidate your position at the end of the day. Since we’re trying to take advantage only of the intraday trends we don’t want to have any overnight exposure. Secondly, you can wait until the price breaks below the most recent flat lower Donchian band. Note** the above was an example of a BUY trade using our Donchian Channel Strategy PDF. Use the same rules for a SELL trade – but in reverse.
Long
by Tradingstrategyguides
1
DOGEUSD DAY STRATEGYStep #1: Wait until you can spot a bar that has its daily range smaller than the previous three days The first rule requires you to have the patience until the Nr4 pattern develops on the Dogecoin chart. When we have a daily trading range that is narrowed than the previous trading ranges it means that the price is contracting. Based on our backtesting results we have found out that there is a high probability of a trend move after you spot this type of contraction. This is kind of a general rule because the markets do move from periods of contractions to periods of expansion. This is the reason why this short-term price pattern is so powerful. Step #2: Mark the High and the Low of the 4th day and switch to the 1 hour time frame Our trade is taken the next day after the Nr4 pattern showed up. In order to have a clear view of the short-term price action we need to switch our focus to the 1 hour time frame. Before you switch the time frames make sure you mark on your chart the high and the low of the 4th day. Step #3: How to buy Dogecoin: Buy only if the breakout of the Nr4 high happens during the first 5 trading hours. We use the Opening Range Breakout technique to time the market and have an effective trade entry. The ORB is even more profitable if it occurs after inside days that have a smaller trading range than the previous 3 days. Our Dogecoin trade doesn’t have an inside day, but nevertheless we want to buy only after we break above the Nr4 day high. Also, we want to make sure the breakout happens during the first five trading hours of the next day. Trades based on the ORB – Nr4 pattern will show you a profit instantly. Now, if the trade is not showing you a profit right away than your trade becomes more vulnerable. As a general rule, if after the first trading hour your trade is not in the green, you can safely close the trade at the market. Of course, you can only do that if your stop loss hasn’t been triggered in the meantime. Step #4: Place your protective Stop Loss below the Nr4 day low You can hide your protective stop loss below the Nr4 day low. Alternatively, you can also place your stop loss below the current day low as this will give you a better risk to reward ratio. The ORB – Nr4 pattern tends to precede strong trend day activity, so your stop loss should be rarely hit. Both of these patterns can be traded individually, but when combined they tend to produce even more powerful trades. Step #5: Take profit at the close of the first 1-hour bearish candle Our take profit strategy is fairly easy and it’s slightly modified from the original strategy highlighted in the “Day Trading with Short Term Price Patterns and Opening Range Breakout” book written by Toby Crabel. Even though the ORB pattern tends to lead to trend trading days we’re more conservative and want to quickly take profits. So as soon as the first bearish candle shows up we close the trade and enjoy our daytrade profits. Alternatively, you can keep the trade open until the end of the day if you want to extrapolate more profits from the cryptocurrency market. Note** the above was an example of a BUY trade using our Dogecoin cryptocurrency strategy. Use the same rules for a SELL trade – but in reverse. PM me if you want to read the complete strategy.
BITTREX:DOGEUSDLong
by Tradingstrategyguides
NEM XEM RSI CRYPTO STRATEGYRate of Change indicator or simply put it the ROC indicator is another momentum indicator and as the name suggests it measures the rate of a crypto’s change in price and predicts future price movements. Our RSI is applied over the ROC. So the RSI line is derived from ROC not the price. Step 1 - Step #1: Wait until the RSI has a value of less than 30 At this stage, we need to use the RSI readings from the daily chart. Just wait until the RSI has a value of less than 30. You’ll have to wait for the daily close to get the RSI reading. Obviously, this means that you’ll always buy XEM the next day. Once you spot an RSI reading less than 30 we switch to a lower time frame which brings us to the second rule of the Nem (XEM) cryptocurrency strategy. Step #2: Switch to the 1-hour chart and wait again until the RSI shows a reading of less than 30. The second rule that needs to be satisfied before pulling our trigger is to wait again for the RSI indicator to show a reading of less than 30 but this time on the 1-hour time frame. Remember, this should be the next day after the RSI posted less than 30 readings on the daily chart. Step #3: How to buy XEM: Buy at the opening of the next candle after the RSI went below 30 levels. The original momentum Pinball pattern uses a different entry method. We have done some backtesting and found that we can achieve superior returns if we follow a different entry strategy. How to buy XEM with our cryptocurrency trading strategy is much more eloquent because it uses the concept of multiple time frame analysis. Buy at the opening of the next candle after the RSI posted a reading of less than 30. Step #4: Place your protective Stop Loss below the previous day low After the buy EOS order is triggered, we need to have a strategy to protect our bottom line. The best Nem XEM price to hide your protective stop loss is below the previous day low. The Nem XEM price should not come to this point. Step #5: Take profit should be 2 or 3 times larger than your stop loss Again, our exit strategy is slightly different than the original momentum Pinball pattern. Be sure to close your Nem trade once the take profit is two or three times larger than your stop loss. Alternatively, you can use the initial exit strategy which requires taking profits when we break above the previous day high. Don’t limit yourself to either of these two strategies, but instead make the best out of them and use the one that suits the most the current trading environment. Note** the above was an example of a BUY trade using our Nem (XEM) cryptocurrency strategy. Use the same rules for a SELL trade – but in reverse. PM me if you want to read the complete strategy.
Long
by Tradingstrategyguides
DASH SPIKE & LEDGE REVERSAL CRYPTO STRATEGYStep #1: Dash cryptocurrency price needs to show a steady rise that suddenly accelerates to the upside. When this reversal pattern is complete, it will resemble a cup with a sharp bottom. This sharp acceleration usually is the last stage of a bull cryptocurrency market, and it’s followed by a sharp reversal if all the trading criteria for a valid Spike and Ledge are met. In technical analysis, professional traders also refer to this last spike as being an exhaustion reversal bar that has a high probability of signaling a reversal in the Dash price. Now, before we can trade successfully, we need to understand that this key climax reversal bar needs to follow specific trading rules. More specifically, this exhaustion reversal bar needs to follow three rules, which we’re going to highlight next. Step #2: The exhaustion reversal bar needs to be bigger than the previous bar Relatively speaking the exhaustion bar, which should be the last bar within the downtrend, needs to be bigger than the previous bars. However, this is not mandatory. Ideally, the bigger the climax bar is in comparison with the other bars within the bullish trend, the more profitable the reversal pattern becomes. Step #3: The climax bar needs to develop at a key sup/res level or after breaking a key swing low/high We can’t stress enough the importance of location in trading. Many times you’ll notice that a chart pattern will fail, but that’s not because that price pattern has stopped working. It’s often the case that you don’t have the patience for these patterns to develop at the right location. In order for the Dash cryptocurrency trading strategy to work we need to wait for the exhaustion bar to show up at the right location. Step #4: The exhaustion bar develops after several bullish impulsive bars We need to make sure that the exhaustion bar occurs after several bullish impulsive bars. These impulsive bullish bars will make the appearance of a bullish trend that will trap many sellers once the tide turns. And that’s how retail traders trade the markets, but to trade profitably, you need to trade against the retail mindset. Step #5: After the upward spike, wait for the market to enter into a short period of consolidation or channeling. Usually, after the Dash cryptocurrency price had that last spike up the market will take a pause to digest the recent move, and it will start moving into a short period of consolidation or channeling. Simply, draw two parallel lines to contain this price range. Now, this is what we refer to as being the “Ledge.” The Spike and Ledge reversal pattern satisfies all trading conditions outlined above which mean that we can move forward and describe how to sell Dash coin. Step #6: Sell Dash coin when we break below the Ledge A short trade is entered on the breakout of the Ledge. This is an easy entry method, but in order to avoid the short-term noise and the usual false breakouts, we need also to wait for the breakout candle to close below the Ledge. Step #7: Place your protective Stop Loss above the Exhaustion bar The initial protective stop loss is placed on the other side of the reversal pattern. You hide your stop loss above the exhaustion bar. Step #8: Your Take Profit needs to be two or three times bigger than your risk aka your stop loss. As a general rule, you do want your take profit to be bigger than your stop loss. This is very important to your long-term survival in this business. However, you can achieve your profit target goals by using your preferred strategy when it comes to exit the market. We encourage you to experiment different exit strategies and see which one yields better results. Note** the above was an example of a SELL trade using our favorite Dash strategy. Use the same rules for a BUY trade – but in reverse. PM me if you want to read the complete strategy
POLONIEX:DASHUSDShort
by Tradingstrategyguides
10
USDCAD 4H HEIKEN ASHI REVERSAL STRATEGYIn Japanese, Heiken Ashi means “Average Bar” and it represents the average-pace of prices. The Heiken Ashi candlestick chart can help you to spot both trading periods and ranging periods that you should avoid. There are two primary trade signals that we can identify through the Heiken Ashi candlestick: 1- Bullish candlesticks with no wicks or very small wicks indicate a strong uptrend and excellent buying opportunities. 2- Small candlestick characterized by a small body and big upper and lower wicks signal a potential reversal. Use strategy on all markets and time frames. Step #1: Identify a strong move to the upside. One of the simple ways that we can use the Heiken Ashi candlesticks is to trade reversal when the candles changed color. So, the first thing we’re going to look for a bullish trend or a strong move to the upside. Note* The Heiken Ashi chart tends to give much more extended and smoother runs of bullish and bearish price candles which is because of how the calculation is used to average out the range of the bar. Step #2: Wait for the Heiken Ashi bar to change color from bullish (green) to bearish (red) The first sign that the price is about to turn lower is when we see a red Heiken Ashi candle. In order for the Heiken Ashi bars to change color, there must to be a strong shift in the order flow and this typically translates into a much more reliable signal than we get when typical price candle change color on a normal price chart. The way we look to use this feature is simply to implement traditional technical analysis to locate potential reversal zones with the Heiken Ashi chart. We use the price action reading skills as a filter to identify a potential trade and then we use the Heiken Ashi chart as the confirmation to go ahead and execute the trade. Step #3: The first bearish Heiken Ashi candle needs to have a bigger than average lower wick Long lower wicks can provide an incredible trading signal, especially when using the Heiken Ashi price chart. You can also wait until you see a bearish Heiken Ashi candle with no upper wick. However, this second approach will cost you some profits left on the table. The Heiken Ashi trading strategy satisfies all the trading conditions, which mean that we can move forward and outline what the trigger condition for our entry strategy. Step #4: Sell at the market at the opening of the next Heiken Ashi candle Our entry method is very simple. This is a bullish reversal setup, so we’re looking for buying opportunities once everything is in the right place. Now we can anticipate that a reversal is put in place, and we can go ahead and buy EUR/USD at the opening of the next Heiken Ashi candle. Step #5: Hide your protective Stop Loss above the first bearish candle high. One of the really fantastic things about Heiken Ashi candles and what makes them so great for trading is how we can use them to place our protective stop loss. Because of the tendency of the candles to display continuation, we can go ahead and be really tight with our stops. We can simply place our stop loss above the signal candle high. Step #6: Take profit after we get a close above a previous bearish candle. A good Heiken Ashi trade setup will tend to run for much longer than a usual price action setup. So, when we’re trading with Heiken Ashi candles, we really want to exploit this and keep our trades open for longer than we usually would. Because we’re using such a tight stop loss, we’re only going to need a small price movement to make a good profit on this trade. Note** the above was an example of a SELL trade using our Heiken Ashi trading system PDF. Use the same rules for a BUY trade – but in reverse. PM me if you want to read the complete strategy.
Short
by Tradingstrategyguides
ETHUSD 4H CCI SHORT TRADEStep #1: Wait until the CCI indicator crosses below -100 level When we get a CCI reading below the -100 level, that shows statistically the USD gained more strength than average and therefore great for selling opportunities. As a leading indicator, the Commodity Channel indicator can provide us with excellent great trade signals. When the CCI crosses for the first time below the -100 level that’s the signal that a new bearish trend is about to start or at least a rally will emerge from where you can extract sound profits. Step #2: Wait for a retracement and make sure that during that retracement the CCI indicator holds below the zero line. Waiting for a pullback in price is a more defensive trading approach. However, you can also sell right away when the CCI crosses below -100. In this case, you need to make sure enough time has elapsed between now and the last time the CCI passed below -100. We’re going to apply the more conservative approach and wait for a retracement and the CCI indicator to hold below the zero line during this retracement. We want to see a weak retrace in the CCI indicator that barely goes above the -100 level, but at the same time, we need to look at the price action retracing more than the CCI did. We want to have strength to the downside, if we’re going to sell ETH/USD we want to see continued strength in the CCI reading when the price is pulling back. When the retracement happens, it’s important for the CCI indicator to remain below the zero line. If the CCI crosses above the zero line during the retracement, we’re no longer interested in going short ETH/USD. This is one perfect example of how to filter bad trades from the right trades. Note* The less the CCI turns up, the more powerful the rally should be. Step #3: Sell after 3 or 5 candles “worth” of retracement. Or, sharp Corrections are sold at the closing price. Now, we’re looking for short trades. We have two options for our entry strategy. We either sell after we have seen the market pulling back over the last 3-5 candles or we sell straight away if we have sharp corrections. The natural ebb and flow of the market are given by these short-term pullbacks that we’re going to use to trigger our entry. If the retrace was weak, it means the dominant energy of the market remains. The CCI indicator strategy reflects quite well what is happening behind the scene where the actual buying and selling pressure takes place. Step #4: Place your protective Stop Loss below the most recent swing low We’re proposing a very easy strategy to manage your stop loss. Simply place your protective stop loss below the most recent swing low. However, it’s important to also watch the CCI indicator for further clues of weakness, and if the CCI crosses above the +100 level after you’ve entered the market, you can close the trade at the market price if your stop loss wasn’t triggered in the process. Step #5: Take profit if CCI touches -200 or if CCI drops above the zero level. Whichever happens first. We have two trading tactics to implement when dealing with exits. The more profitable exit strategy is to take profits when the CCI touches the +200 level. However, since the market will only occasionally give us such big trading opportunities we need to have a backup plan. So…. As soon as the CCI indicator turns below the zero level, we want to exit our trade. The first sign that the rally is running out of steam is when the CCI indicator crosses below the zero line. I have also shown here 2 other options of taking profit. One is risk reward ratio (1to1, 2to1, 3to1). The second is a fib extension take profit. This trade hit the 227.2% fib. Note** the above was an example of a SELL trade using our CCI trading strategy PDF. Use the same rules for a BUY trade – but in reverse. PM me if you want to read the complete CCI trading strategy. Some intro information is on the update below.
BITFINEX:ETHUSDShort
by Tradingstrategyguides