CLFD ATH
You can use the below strategies:
1) Breakout trades at ATHs
One can plan a long trade if the price shows a decisive breakout or above ATH. In this case, you should be quick enough to cut your positions if the price shows reversal signs. Very often, price reverses (or shows some serious selling) near ATH.
2) Pullback strategy after breakouts at ATHs.
One can plan a long trade if the price shows a clear breakout and then shows a pullback near ATH. This is a wonderful opportunity to plan a long trade, keeping stop-loss below ATH or the candle low which occurs near ATH.
Conclusion:
I have seen many investors try to follow both the breakout strategy and pullback strategy and they lose money. One should know both are different concepts and try to master just one concept which suits your behavior.
1) Breakout trades at ATHs
One can plan a long trade if the price shows a decisive breakout or above ATH. In this case, you should be quick enough to cut your positions if the price shows reversal signs. Very often, price reverses (or shows some serious selling) near ATH.
2) Pullback strategy after breakouts at ATHs.
One can plan a long trade if the price shows a clear breakout and then shows a pullback near ATH. This is a wonderful opportunity to plan a long trade, keeping stop-loss below ATH or the candle low which occurs near ATH.
Conclusion:
I have seen many investors try to follow both the breakout strategy and pullback strategy and they lose money. One should know both are different concepts and try to master just one concept which suits your behavior.
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