Get started

15m

EURNZD 15M 3 LITTLE MOUNTAIN LITTLE RIVER PROFESSIONAL STRATEGYThree Little Mountains Rivers Trading Strategy Again, this strategy doesn’t require any professional trading indicators. The Three Little Mountains Rivers trading strategy is a pure price action trading strategy that has the potential to reward us instantly. The rules for this setup are pretty simple (sell signals): First, you need three consecutive symmetrical peaks (swing highs). The time that passes between the development of each swing high is more or less the same. Enter a short position once the market turns below the 20% range of the second peak. Place your protective stop loss above the newly formed swing high. * It is required that at the top of the last high or low, a candlestick reversal pattern is formed. Whether it's a Hammer , a Hanged man, a Morning or Evening Star , Bullish or Bearish Engulfing , or another pattern. Basically, we’re trying to anticipate when the third swing high will get formed. If we wait too long, our profit margins will shrink. Note* this chart pattern works on the daily chart as much as it works on the lower time frame. We like to trade the Three Little Mountains 3 Little Rivers trading strategy on the 5-minute chart.
by Tradingstrategyguides
EURNZD 15M 3 LITTLE MOUNTAIN 3 LITTLE RIVER STRATEGYThree Little Mountains Rivers Trading Strategy Again, this strategy doesn’t require any professional trading indicators. The Three Little Mountains Rivers trading strategy is a pure price action trading strategy that has the potential to reward us instantly. The rules for this setup are pretty simple (sell signals): First, you need three consecutive symmetrical peaks (swing highs). The time that passes between the development of each swing high is more or less the same. Enter a short position once the market turns below the 20% range of the second peak. Place your protective stop loss above the newly formed swing high. * It is required that at the top of the last high or low, a candlestick reversal pattern is formed. Whether it's a Hammer , a Hanged man, a Morning or Evening Star , Bullish or Bearish Engulfing , or another pattern. Basically, we’re trying to anticipate when the third swing high will get formed. If we wait too long, our profit margins will shrink. Read more about swing trading in forex here. Note* this chart pattern works on the daily chart as much as it works on the lower time frame. We like to trade the Three Little Indians trading strategy on the 5-minute chart.
Education
by Tradingstrategyguides
1
EURNZD 15M 3 LITTLE INDIAN REVERSAL STRATEGYThree Little Indians Trading Strategy Again, this strategy doesn’t require any professional trading indicators. The Three Little Indians trading strategy is a pure price action trading strategy that has the potential to reward us instantly. The rules for this setup are pretty simple (sell signals): First, you need three consecutive symmetrical peaks (swing highs). The time that passes between the development of each swing high is more or less the same. Enter a short position once the market turns below the 20% range of the second peak. Place your protective stop loss above the newly formed swing high. * It is required that at the top of the last high or low, a candlestick reversal pattern is formed. Whether it's a Hammer, a Hanged man, a Morning or Evening Star, Bullish or Bearish Engulfing, or another pattern.   Basically, we’re trying to anticipate when the third swing high will get formed. If we wait too long, our profit margins will shrink. Read more about swing trading in forex here. Note* this chart pattern works on the daily chart as much as it works on the lower time frame. We like to trade the Three Little Indians trading strategy on the 5-minute chart.
Education
by Tradingstrategyguides
AUDUSD HOLY GRAILThe Holy Grail Trading Strategy Now, the name of this trading strategy may be controversial, but it’s a simple strategy that everyone can use. The professional trading tools you need to use are: Average Directional Index (ADX) indicator 20-period moving average The Holy Grail trading rules are simple to follow See the rules for buy signals: ADX must break above 30 and rising. Wait for price to retest the 20-period moving average (this will be accompanied by a declining ADX, which must hold above the 30 level). After the price touches the 20-period moving average place a buy order above the high of the candle. After your order is filled, place a protective stop-loss order below the newly formed swing low. Trail your SL to look in profits or take profits at the most recent swing high.
by Tradingstrategyguides
3
EURAUD 10M/15M PIVOT STRATEGY LONG TRADEBest Pivot Point Strategy PDF Pivot Points are one of our favorite trade setups. We’re going to show you what the best method is to trade pivot points through our best pivot point strategy PDF. The pivot point strategy doesn’t require significant trading capital. It can yield positive results right away. More often than not retail traders use pivot points the wrong way. They usually sell to quickly when the first pivot point resistance level is reached and buy too soon when the first pivot point support level is reached. This is the wrong way to trade because you’re trading against the prevailing momentum which is one of the reasons why retail traders lose money. Now, before we go any further, we always recommend taking a piece of paper and a pen and note down the rules of the trading strategy. For this article, we’re going to look at the BUY side. Step #1: Trade only at the London open or the 8:00 AM GMT The best time to trade the pivot points strategy is around the London session open. However, it can be used for the New York session open with the same rate of success. We trade the London open because that’s the time big banks are opening for business, and the smart money operates in the market. Note* We’re going to use the 15-minutes time frame and trade based off of the daily pivot points. Step #2: Buy at the market if after the first 15-Minutes (10M) we’re trading above the Central Pivot Point If after the first 15-minutes (10M) into the London trading session we’re trading above the central pivot point. Then we buy at the market. The trade logic behind this rule is simple. Once the market is displaying a disposition to trade above the central pivot point, we assume that the bullish momentum will continue to persist. If the price of any currency pair is trading above the central pivot point, then the bias for the day is bullish and we’re only looking for buying opportunities. (Opposite if below and bearish bias) Important Note * If after the first 15-minutes into the London session we’re too close to the first resistence level we better skip this trade opportunity because the profit margin has tightened. The next important thing we need to establish for our day trading strategy is where to place our protective stop loss. Step #3: Hide your Protective Stop Loss 5-10 pips below the Central Pivot It’s essential to have a good strategy for your stop loss as much as to have an entry strategy. If the price breaks below the central pivot point then the sentiment has shifted on the bearish side and it’s wise to get out of any long trades. However, in order to accommodate any false breakouts, we also use a buffer of about 5-10 pips below the central pivot point for our SL. Step #4: Take Partial Profit #1 at Resistance 1; Take Partial Profit #2 at Resistance 2. We employ a multiple take profit strategy because we want to make sure we give the market the chance to reach for deeper support levels. The first pivot point Resistance level is the first trouble area and we want to bank some of the profits here. We also advice moving your protective stop loss to break even after you took profits. At the second pivot point, the Resistance level is where we want to liquidate our entire position and be square for the day. Note** the above was an example of a BUY trade using the best pivot point strategy PDF. Use the same rules for a SELL trade – but in reverse. You absolutely need to start using a pivot point strategy as a complementary tool to your support and resistance strategy if you’re not doing it already. These pivot point trading secrets are very powerful price-based support and resistance levels. The best pivot point strategy PDF signals a good entry point near the central pivot point and also provides you with a positive risk to reward ratio which means that your winners will be higher than your losing trades.
by Tradingstrategyguides
3 of 3 Candlestick Patterns That Pinpoint ReversalsBullish Hammer Candlestick These candles are easy to spot and they generally have taller wicks than their bodies, resembling a hammer's handle and head. They tend to close without (or with very little) upper wicks. Here's what a bullish hammer candlestick is telling us: Price opened near the highs of the candle and although sellers initially succeeded at pushing price lower, they lost the final battle when buyers tipped the scales in their favor again by closing price higher than the opening price.
COINBASE:BTCUSDEducation
by Tradingstrategyguides
2 of 3 Candlestick Patterns That Pinpoint ReversalsBearish Hammer Candlestick (AKA Inverted Hammer) These bearish formations are simply upside down hammers, and are also known as inverted hammers. Here's what a bearish hammer candlestick is telling us: Price opened near the lows of the candle, and although buyers initially succeeded at pushing price higher, they lost the final battle when sellers tipped the scales in their favor again by closing price lower than the opening price.
Education
by Tradingstrategyguides
EURJPY 15M ASIAN SESSION BEARISH REVERSALBearish Reversal Candlestick The inverse is true with this type of formation in a bearish scenario, and the image above shows that price made the highest high before reversing and closing strongly lower off its highs. Here's what a bearish candlestick is telling us: Price made a new high, but buying pressure very quickly dried up as an increase of sellers entered the market resulting in the candle closing lower off its highs, signaling selling strength. Strategy Provided by Price Action & Income by Richard Krugel
Short
by Tradingstrategyguides
EURAUD 15M ASIAN SESSION BULLISH REVERSAL 1 of 3 Candlestick Patterns That Pinpoint Reversals. When I'm analyzing a market, there are only 3 candlestick patterns that I'm worried about. Over the last decade, they have proven to be the most accurate at confirming entries at the areas I want to trade. 1 - BULLISH REVERSAL CANDLESTICK PATTERN. The image above shows a bullish reversal candlestick, and you'll notice that it's a singular candle formation. Here's what a bullish candlestick is telling us: Price made a new low, but selling pressure very quickly dried up as an increase of buyers entered the market, resulting in the candle closing high off its lows, signaling buying strength.
Long
by Tradingstrategyguides
15M EU 50% RETRACEMENT ENTRYDue to the Monthly TF Line in the Sand analysis I will be looking for Bearish entries above the line and Bullish entries below. The 50% retracement strategy that I use is a very simple construct that can be applied on any time frame. It is in fact the reason for the line in sand based on the Monthly time frames most recent swing high/low. This 15m example demonstrates the placement of the Entry, Stop and initial target of this system. Setting the initial target at 1-2 (Risk to reward) allows me to become risk free in the most efficient way possible. Once the 1-2rr target is met I will close 50% of my position and move my stop loss to the entry line. This action will secure profits equal to the amount risked and allow the remaining 50% of the position to potentially continue to Target two at 1-4rr. Should Price return to stop out the position I will still have secured a 1-1 Risk to reward ratio.
Short
by Cryptsyxalt
GBPJPY 4H 15M RABBIT TRAIL CHANNEL TRADING STRATEGY LONG TRADERule #1: Draw a channel on a 1 or 4 hour chart. Rule #2 Identify If there is a Breakout on 1 hour or 4 hour chart. Rule #3 Wait for a Pull Back on a 15 minute Chart. Rule #4 After Pull Back on 15m, Make Entry. Rule #5 Find a Stop Loss Placement. Rule #6 Ride The Rabbit Trail to 50 pips with a TP Order! Rule #1: Draw a channel on a 1 hour or 4 hour chart. The first thing you need to do to get this strategy started off is you need to find a channel on a four hour or one hour chart. Remember there must be two resistance and support points to validate a channel. This strategy can use many currency pairs. Make sure you search through all of them. Many say that they “only trade EURUSD.” There is no reason for that.. Get in the charts and see for yourself! There are channels everywhere. This strategy will work with any currency pair. The opportunities are endless.. Not too bad. So basically all you are doing here is drawing parallel lines on the tops and bottoms of the price movement. This example hit a quite a few resistance and support levels which means that when it breaks this channel it has the potential to make a huge move! Rule #2 Identify If there is a Breakout on a 1 hour chart. The way you find the trade is to find a breakout of the channel that you drew on your chart.. In a perfect world the support and resistance levels will hold on forever.. But the world isn’t perfect.. So that’s why we have what is called a breakout. This breakout happened on the top of the channel. So that means you will BUY. If the breakout happens on the bottom of the channel then you will SELL. Great! We have breakout candle let’s get in the trade and follow the rabbit trail to pip glory! Rule #3 Wait for a Pull Back on a 15 minute Chart. Why wait? Because the market is money grabbing machine, and they want your hard earned cash! You wait because sometimes the market does a “head fake” and turns against you. So if you would have got in this trade right when it broke out of the channel you would soon have got stopped out. That is why it is so important to Wait for it to pull back. This is where many people struggle. They see that it broke out so they want to click BUY or SELL right now!!! Think about the sayings you have heard since you were a child, “Patience is a Virtue,” Or “Good things in life take Time” Just be patient and wait… This trade would not have burned you, but countless other trades would have! Think about the pull back as the candle that closes towards the channel. So if the pull back is above the channel you are looking for a bearish (red) candle. If the pull back is below the channel you are looking for a bullish (green) candle. *We only need one of these pull back candles on a 15 minute chart. Once this happens move on to the next step. Rule #4 After Pull Back, Make Entry. We are getting so close to getting on our rabbit trail to make some serious pips! Our lines are drawn, we identified the breakout, and waited for the pull back. It is now time to make our trade. The criteria to make an entry after a pull back on a 15 minute chart to enter a trade is that there must be two 15-minute candles that support our trade. If it is a BUY trade we want to see TWO bullish (up) candles after the pull back. If it is a SELL trade we want to see TWO bearish (down) candles after the pull back. Enter after the two bullish 15 minute candlesticks close. So again, we WAIT for a pull back candle to close and then we need two BULLISH (green) candles to close to many an entry. Rule #5 Stop Loss Placement This is probably one of the most important rules of the strategy. You always need to place a stop loss somewhere for a reason. If you are throwing in stop losses 5 to 10 pips from your entry order just because someone you read that somewhere, then you are without a doubt treading some dangerous waters. In a Buy The stop loss will be placed in the channel below the last support point. In a SELL The stop loss will be placed in the channel above the last resistance point. That way if it does come back in the Channel it will hit the support level and end up going back up in a bullish movement. Rule #6 Ride The Rabbit Trail to 50 pips! The last thing you need to do is know when to exit the trade. This strategy goes for a 50 pip target. So when you make your entry, you calculate 50 pips take profit mark and place it. The rabbit trail may be 2 hours, or could take as long as two days. You have your target so really you have nothing else to do but sit back and watch your trade make you some money! Stay in the trade and remember your rules. You are going for a 50 pip breakout trade!
Education
by Tradingstrategyguides
2
EURUSD 15M 9 EMA 30 WMA TRADING STRATEGY LONG TRADEThese are the rules for a long trade signal using the 9 ema 30 wma trading strategy: 9-period EMA must be above the 30-periods WMA . The two moving averages need to be apart from each other. The first bar that closes below the 9-EMA will be used as the trigger bar for the buy setup. Place a buy limit order above the high of the trigger bar. Note* the bar that closes below the 9-EMA needs to remain above the 30-WMA for this setup to be valid. (Opposite for short trade) What is the 9/30 Trading Setup Originally, the 9/30 trading setup was developed by Mike Burns and involves using a combination of two moving averages: 9-period Exponential Moving Average ( EMA ) 30-periods Weighted Moving Average ( WMA ) In this case, the 9-EMA is our short-term moving average, while the 30-EMA is out long-term moving average. The 9 and 30 EMA trading strategy seeks to take advantage of the blank space created between the two moving averages. The filter for the 9/30 trading setup can be summarized into a three-step process. Like with many trading strategies we present, you can always use different “flavors” to get into a trade. So, you can also use chart patterns to fine-tune your entry. How to Trade with the 9/30 EMA Strategy In this section, we’re going to teach you how to effectively trade with the 9/30 EMA strategy. No matter how simple this trading strategy is, you need to have a set of trading rules before you use it. So, let’s talk about the stop loss and take profit strategy.For the stop-loss strategy, you can use the trigger bar high/low for reference. For example, if you have a buy trade signal, you hide your protective stop loss below the low of the trigger bar. Alternatively, for a more conservative approach, you can hide your protective stop loss below the 30-periods WMA . Here is a little bit of trading wisdom from hedge fund billionaire Bruce Kovner: “Place your stops at a point that, if reached, will reasonably indicate that the trade is wrong, not at a point determined primarily by the maximum dollar amount you are willing to lose.” Please note that the lower the time frame used the more price whipsaws you’re going to experience. As a trading trick to avoid being caught in a whipsaw trade, make sure you add an extra buffer to your stop loss. This buffer will allow your stop loss to survive during false breakouts. Moving on… It’s easy to exit these types of trades via a trailing stop loss below the 30 WMA . This exit moving average strategy has two benefits: You don’t have to guess a possible take profit level. You got to keep riding the trend until a reversal happens. When to use the 9/30 Trading Method The 9/30 trading method is a type of trend following strategy that seeks to enter the trade on pullbacks. In this regard, the best time to use the 9/30 trading strategy is when we have established a trend. The trend can be defined via the two moving averages as follows: The bullish trend is defined when the 9 EMA is above the 30 WMA The bearish trend is defined when the 9 EMA is below the 30 WMA The strength of the trend can also be measured via the space created between the two moving averages and the angle of the moving averages. The bigger the gap between the 9 EMA and 30 WMA and the steeper the angle of the 2 moving average is, the stronger the trend is. Conversely, the flatter the two moving averages are, the weaker the trend is. In and of itself the “trigger bar” used to enter our trades doesn’t give us a trading edge. The edge comes from trading in the direction of the prevailing trend. After you have a moving average crossover and a strong trend emerges from it, that’s when you want to use this strategy. Note* Avoid using the 9/30 trading setup in flat markets. Moving forward, we’ll teach you how to implement more advanced trading concepts along with the 9 and 30 EMA trading strategy. 9 and 30 EMA Trading Strategy – Advanced Concepts The 9 and 30 moving average strategy is a versatile trading strategy that can be used in ways you never thought possible. You can use this method for short-term trading, medium-term trading and long-term trading. It all depends on your preferred time frame. Now, here is a powerful trading secret about the types of moving averages used in this strategy. The combination of the exponential moving average and the weighted moving average gives us a wider spread between the two MAs. This is a key principle that makes this MA strategy work. Now, you might wonder: “How can we improve the 9 and 30 EMA trading strategy?” If we add a better entry filter, we can gain an extra edge. What do we mean by this? Instead of using a bar that closes above/below the 9-period EMA , we can wait for the entire bar to be encompassed between the 9-EMA and 30-WMA. However, the downside to this trading approach is that you will get fewer trading setups. Often times this type of trading setup can lead to explosive trades that never look back. What are other ways to use the 9/30 trading setup? As we explained earlier the edge of this pattern relays on the resumption of the trend. So, what’s the simplest way to measure the trend direction? A series of higher high followed by a series of higher lows defines an uptrend. In reverse, a series of lower highs followed by a series of lower lows define a downtrend. So, we want to look for ways to capture these types of price structures. To do this we’re going to introduce the concept of multi-timeframe analysis. Note* the advanced 9/30 trading setup works best in conjunction with the daily chart . To better time our entries, we’re going to a combination of two-time frames as follows: The daily chart to spot the trigger candle that closes above/below the 9 EMA Downgrade the TF to 15-minutes (or 5 minutes) and look for uptrend and downtrend price structures If you haven’t realized… Here is the main reason why we use this approach: We know that the daily range can be quite high. So, instead of using the high of the daily candle to trigger our entry we downgrade our chart and seek on lower time frames early signs of upward/downward price structures. Secondly, this trading approach also reduces the stop loss needed for the daily candle. Based on the 9/30 trading strategy we need to wait for the daily candle low to be tagged to trigger an entry. However, whit this new advanced concept we can enter the market early and capture more pips. When we downgrade to the 5-minute chart, we can notice the pattern of lower highs and lower lows signalling the start of a downtrend. Keeping in mind the chart setup found on the daily time frame, we can make a trade on the 5-minute chart when price breaks and forms a new lower low. When the price makes a new lower low after at least two lower highs it develops the price structure of a downtrend. This makes an excellent entry method for the 9 and 30 EMA trading strategy. Final Words – 9/30 Trading Strategy In summary, the 9/30 trading setup is a very effective trading strategy to be used across all markets and time frames. Keep in mind that the power of the 9/30 trading strategy comes from having a prior upwards (downwards) trend. Traders should use this method as a pullback trading strategy rather than try to find reversals. The key takeaways from the 9 and 30 EMA trading strategy can be summarized below: You have the momentum power of the prevailing trend on your side You only need to focus on the gap between the two moving averages Offers you effective ways to manage your risk Built-in trailing stop Versatility to be used in conjunction with other trading methods Last but not least, make sure you use effective money management strategies and position size to protect your capital. After all, your number one priority as a trader is to protect your account balance at all cost.
Education
by Tradingstrategyguides
GBPNZD 15M US SESSION SCALP SHORT TRADETradingstrategyguides EDUCATION GBPNZD 15M US SESSION SHORT SCALP 56 PIPS British Pound / New Zealand Dollar (FX:GBPNZD) Tradingstrategyguides Trend Analysis Chart Patterns Technical Indicators mpattern Inverted Hammer swinghigh pinhammer stophunt engulfment fibarclevels tradingstrategyguides 15m 1st Chart 7 AM EDT - Bearish Reversal M Pattern developed - Trade Bias Short 2nd Chart 6:45 am EDT - Inverted Bearish Green Body Hammer created swing high 7 am EDT - 2nd candle is a High Bull candle. High Bull candle is highest green candle body that closed. We are going to use the bearish wick low of the High Bull Candle as the level for the engulfment breakout to take place. 1st engulfment is the 7:15 am candle body engulfs the 7am candle. The breakout 2nd engulfment candle is the 7:45 am candle. 7:45 am EDT candle is a Pin Hammer candlestick . The bullish wick of this candle is a stop hunt into the high of the inverted Bullish Hammer . This is a stop hunt for those traders who entered a short trade from the inverted hammer entry bullish signal to hit their breakeven stop level. 7:45 am EDT - ENTRY - Short Stop Order made at High Bull candles low @1.9115 . Stop Loss above inverted hammer's high. Take Profit found using the Fib arc indicator adjusting levels every 100% up 600% level for Take Profit levels. Measured Move levels are calculated from a fib arc indicator
Education
by Tradingstrategyguides
3
EURAUD 15M 9/30 TRADING STRATEGY LONG TRADEThese are the rules for a long trade signal: 9-period EMA must be above the 30-periods WMA. The two moving averages need to be apart from each other. The first bar that closes below the 9-EMA will be used as the trigger bar for the buy setup. Place a buy limit order above the high of the trigger bar. Note* the bar that closes below the 9-EMA needs to remain above the 30-WMA for this setup to be valid. (Opposite for short trade) What is the 9/30 Trading Setup Originally, the 9/30 trading setup was developed by Mike Burns and involves using a combination of two moving averages: 9-period Exponential Moving Average (EMA) 30-periods Weighted Moving Average (WMA) In this case, the 9-EMA is our short-term moving average, while the 30-EMA is out long-term moving average. The 9 and 30 EMA trading strategy seeks to take advantage of the blank space created between the two moving averages. The filter for the 9/30 trading setup can be summarized into a three-step process. Like with many trading strategies we present, you can always use different “flavors” to get into a trade. So, you can also use chart patterns to fine-tune your entry. How to Trade with the 9/30 EMA Strategy In this section, we’re going to teach you how to effectively trade with the 9/30 EMA strategy. No matter how simple this trading strategy is, you need to have a set of trading rules before you use it. So, let’s talk about the stop loss and take profit strategy.For the stop-loss strategy, you can use the trigger bar high/low for reference. For example, if you have a buy trade signal, you hide your protective stop loss below the low of the trigger bar. Alternatively, for a more conservative approach, you can hide your protective stop loss below the 30-periods WMA. Here is a little bit of trading wisdom from hedge fund billionaire Bruce Kovner: “Place your stops at a point that, if reached, will reasonably indicate that the trade is wrong, not at a point determined primarily by the maximum dollar amount you are willing to lose.” Please note that the lower the time frame used the more price whipsaws you’re going to experience. As a trading trick to avoid being caught in a whipsaw trade, make sure you add an extra buffer to your stop loss. This buffer will allow your stop loss to survive during false breakouts. Moving on… It’s easy to exit these types of trades via a trailing stop loss below the 30 WMA. This exit moving average strategy has two benefits: You don’t have to guess a possible take profit level. You got to keep riding the trend until a reversal happens. When to use the 9/30 Trading Method The 9/30 trading method is a type of trend following strategy that seeks to enter the trade on pullbacks. In this regard, the best time to use the 9/30 trading strategy is when we have established a trend. The trend can be defined via the two moving averages as follows: The bullish trend is defined when the 9 EMA is above the 30 WMA The bearish trend is defined when the 9 EMA is below the 30 WMA The strength of the trend can also be measured via the space created between the two moving averages and the angle of the moving averages. The bigger the gap between the 9 EMA and 30 WMA and the steeper the angle of the 2 moving average is, the stronger the trend is. Conversely, the flatter the two moving averages are, the weaker the trend is. In and of itself the “trigger bar” used to enter our trades doesn’t give us a trading edge. The edge comes from trading in the direction of the prevailing trend. After you have a moving average crossover and a strong trend emerges from it, that’s when you want to use this strategy. Note* Avoid using the 9/30 trading setup in flat markets. Moving forward, we’ll teach you how to implement more advanced trading concepts along with the 9 and 30 EMA trading strategy. 9 and 30 EMA Trading Strategy – Advanced Concepts The 9 and 30 moving average strategy is a versatile trading strategy that can be used in ways you never thought possible. You can use this method for short-term trading, medium-term trading and long-term trading. It all depends on your preferred time frame. Now, here is a powerful trading secret about the types of moving averages used in this strategy. The combination of the exponential moving average and the weighted moving average gives us a wider spread between the two MAs. This is a key principle that makes this MA strategy work. Now, you might wonder: “How can we improve the 9 and 30 EMA trading strategy?” If we add a better entry filter, we can gain an extra edge. What do we mean by this? Instead of using a bar that closes above/below the 9-period EMA, we can wait for the entire bar to be encompassed between the 9-EMA and 30-WMA. However, the downside to this trading approach is that you will get fewer trading setups. Often times this type of trading setup can lead to explosive trades that never look back. What are other ways to use the 9/30 trading setup? As we explained earlier the edge of this pattern relays on the resumption of the trend. So, what’s the simplest way to measure the trend direction? A series of higher high followed by a series of higher lows defines an uptrend. In reverse, a series of lower highs followed by a series of lower lows define a downtrend. So, we want to look for ways to capture these types of price structures. To do this we’re going to introduce the concept of multi-timeframe analysis. Note* the advanced 9/30 trading setup works best in conjunction with the daily chart. To better time our entries, we’re going to a combination of two-time frames as follows: The daily chart to spot the trigger candle that closes above/below the 9 EMA Downgrade the TF to 15-minutes (or 5 minutes) and look for uptrend and downtrend price structures If you haven’t realized… Here is the main reason why we use this approach: We know that the daily range can be quite high. So, instead of using the high of the daily candle to trigger our entry we downgrade our chart and seek on lower time frames early signs of upward/downward price structures. Secondly, this trading approach also reduces the stop loss needed for the daily candle. Based on the 9/30 trading strategy we need to wait for the daily candle low to be tagged to trigger an entry. However, whit this new advanced concept we can enter the market early and capture more pips. When we downgrade to the 5-minute chart, we can notice the pattern of lower highs and lower lows signalling the start of a downtrend. Keeping in mind the chart setup found on the daily time frame, we can make a trade on the 5-minute chart when price breaks and forms a new lower low. When the price makes a new lower low after at least two lower highs it develops the price structure of a downtrend. This makes an excellent entry method for the 9 and 30 EMA trading strategy. Final Words – 9/30 Trading Strategy In summary, the 9/30 trading setup is a very effective trading strategy to be used across all markets and time frames. Keep in mind that the power of the 9/30 trading strategy comes from having a prior upwards (downwards) trend. Traders should use this method as a pullback trading strategy rather than try to find reversals. The key takeaways from the 9 and 30 EMA trading strategy can be summarized below: You have the momentum power of the prevailing trend on your side You only need to focus on the gap between the two moving averages Offers you effective ways to manage your risk Built-in trailing stop Versatility to be used in conjunction with other trading methods Last but not least, make sure you use effective money management strategies and position size to protect your capital. After all, your number one priority as a trader is to protect your account balance at all cost.
Education
by Tradingstrategyguides
1
ETHUSD 15M (OR 5M) Day Trading Cryptocurrency Day Trading Cryptocurrency – How To Make $500/Day with Consistency Would you like to learn day trading cryptocurrency and make a consistent $500 per day? We often hear about all the money you can make by day trading stocks. But what about crypto day trading? In today’s lesson, you’ll learn how to day trade cryptocurrency using our favorite crypto analysis tools. Our team at Trading Strategy Guides is lucky to have over 50 years of combined day trading experience. We’re going to share with you what it takes to day trade for a living, and hopefully, by the end of this trading guide, you’ll know if you have what it takes to succeed in this business. First and foremost, when day trading, it’s essential to have a structured approach and a rule-based strategy. The same as swing trading or positional trading you are not going to trade every day, and you’re not going to make money every day. So, you need a day trading cryptocurrency strategy to protect your balance. The high volatility nature of Bitcoin and other cryptocurrencies has made the crypto market like a roller-coaster. This is the perfect environment for day trading because during the day you’ll have enough up and down swings to make a decent profit. Moving forward, we’re going to teach you what you need to learn how to day trade cryptocurrency and we’re going to share some out-of-the-box rule-based day trading strategies. How to Day Trade Cryptocurrency The crypto market’s unique characteristics require you to have a firm understanding of how it works. Otherwise, your experience can be like skydiving without a parachute. The good news is that we’re going to provide you with everything you need to survive crypto day trading. Day trading the cryptocurrency market can be a very lucrative business because of the high volatility. Since the crypto market is a relatively new asset class, it has led to significant price swings. Before day trading Bitcoin or any other altcoins, it’s prudent to wait until we have a high reading of volatility. The good news is that even when we have a low reading of volatility relative to other asset classes, this volatility is still high enough that you can generate a modest profit on your trades. Crypto day trading also requires the right timing and good liquidity to make precise entries. A lot of the cryptocurrencies and crypto exchanges are very illiquid and don’t have the liquidity to offer instant execution that you might find when trading Forex currencies. Before day trading Bitcoin or any other alt coins, it’s also important to check how liquid the cryptocurrency you wish to trade is. You can do so by simply verifying the 24-hour volume of the crypto trade. CoinMarketCap is a good free resource to read and gauge the market volume of any particular coin. Note* Always remember that not having enough liquidity could lead to substantial slippage and subsequent to bigger losses. As previously stated, crypto day trading doesn’t require trading every single day. We only like day trading cryptocurrencies when all the conditions align in our favor. In this case, avoid trading on weekends and limit trading only on the highest-volume days. Crypto Day Trading Strategy The idea behind crypto day trading is to look for trading opportunities that offer you the potential to make a quick profit. If day trading suits your own personality, let’s dive in and get through a step-by-step guide on how to day trade cryptocurrency. Now, before we go any further, we always recommend taking a piece of paper and a pen and note down the rules of this scalping strategy. In this article, we’re going to look at the ‘buy’ side. Pick up Coins with High Volatility and High Liquidity As previously discussed, the number one choice you need to make is to pick coins that have high volatility and high liquidity. If you’re not day trading Bitcoin, which is the most liquid coin out there, and you like the altcoins, try to pick those coins that have good liquidity and volatility. There are more than 1600 coins on the market and growing. By following only the top cryptocurrencies, you’ll reduce your area of selection. Day trading smaller cryptocurrencies can also be a very lucrative business, but there are higher risks. Remember, crypto prices can crash just as fast as they have risen. Step #1: Apply the Money Flow Index Indicator on the 5-Minute Chart This specific day trading strategy uses one simple technical indicator, namely the Money Flow Index. We use this indicator to track the activity of the smart money and to gauge when the institutions are buying and selling cryptocurrencies. The preferred settings for the MFI indicator are 3 periods. We’re also going to alter the default buying and selling levels from 80 to 100 and respectively from 20 to 0. Step #2: Wait for the Money Flow Index to reach the 100 level An MFI reading of 100 shows the presence of the big sharks stepping into the markets. When buying, smart money can’t hide their footsteps. They inevitably leave tracks of their activity in the market and we can read that activity through the MFI indicator. Technical indicators aren’t always right, so in order to fine-tune our day trading strategy, we’ve added a few more conditions. Namely, during the current day, we need to skip the first two MFI readings of 100 and study the crypto price reaction. The price needs to hold up during the first and second 100 MFI reading. If the price drops after the first two MFI 100 readings, then this suggests that most likely we’re going to have a down day. Let’s now determine the appropriate place to go buy Bitcoin and what are the technical conditions that need to be satisfied. Step #3: Buy if MFI = 100 and if the subsequent candle is bullish We can now wait for the third MFI reading above 100. It doesn’t necessarily have to be the third MFI = 100 reading, you can take every other MFI = 100 readings. If your time doesn’t allow you to catch the third 100 reading on the MFI indicator, you can simply pick the next one as long as all the other technical conditions are satisfied. Next, we also need the candlestick when we got the MFI = 100 reading to be a bullish candle. The close of this candle needs to be near the upper end, giving us a candle with very small wicks. Step #4: Hide your protective Stop Loss below the low of the day. Take Profit during the first 60 minutes after you opened the trade. The obvious place to hide your protective stop loss is below the low of the day. A break below it will signal a shift in the market sentiment, and it’s best to get out of the trade. This can also signal a reversal day. Step #5: We’re more flexible when it comes to our exit strategy. However, the only rule you need to abide by is to take profits during the first 60 minutes or the first hour after your trade got triggered. Holding the trade longer than one hour will result in a lower success rate. At least that’s what our backtested results showed us. Conclusion – Crypto Day Trading If you took the time to read the whole day trading crypto guide, then you should be able to buy and sell Bitcoin and alts and make some daily profits. If you are interested in learning how to day trade cryptocurrency, be sure to equip yourself with enough information before diving into the market. Crypto day trading can be a great way to grow your crypto portfolio and it’s a very lucrative alternative to the holding mentality that it’s crippling the crypto community. Making a living day trading cryptocurrency can be a lot easier due to the high volatility nature of the crypto market. High volatility suits day trading very well, so you have the right environment to succeed.
COINBASE:ETHUSDEducation
by Tradingstrategyguides