1h
GOLD/SILVER RATIO STRATEGY #2 BETTER SILVER FUTURES LONG TRADEDETERMINE WHICH IS THE STRONGEST METAL BETWEEN GOLD AND SILVER
** If the gold silver ratio is in Uptrend and gold & silver in Downtrend: Buy Silver.
If the gold silver ratio is in Uptrend and gold&silver in Uptrend: Buy Gold.
If the gold silver ratio is in Downtrend and gold&silver in Uptrend: Buy Silver.
If the gold silver ratio is in Downtrend and gold&silver in Downtrend: Sell Gold.
The Intermarket relationship between the gold and silver price can reveal a better way to time the metal market.
There may be times when the price of silver makes a new low, but the price of gold doesn’t track that movement.
When something like that happens a possible trading opportunity can emerge.
We can note that the silver price has broken to a new low while the gold price has made a higher low.
This is a break in the gold and silver correlation.
It means that one or the other is lying.
To find out which one, we simply use the gold silver trading strategy rules revealed at step #3.
Based on those rules when the gold silver ratio is up and both gold and silver are moving down, the signal is to buy silver.
For timing the market, we have applied a 20 period MA over the silver chart.
A break above the 20 MA will trigger our entry.
Simple as that!
Final Words – Gold Silver Trading Strategy
When we use the gold silver chart ratio in conjunction with the individual price trends of gold and silver we can determine strong buying and selling opportunities. You can also ride massive trends with the gold silver ratio, especially when we have historical readings. However, since these only happen once or twice in a lifetime you can use our gold silver trading strategy to navigate the day-to-date price action.
The ratio can also be used to determine the overall market sentiment, which is a precious thing that can be used to trade other markets. Usually, a high gold to silver ratio is signaling a slowdown in the global activity, while a low gold to silver ratio is signaling improving risk sentiment.
ETHUSD 1H BUMP & RUN SHORT STRATEGYBump and Run Trading Strategy – Sell Rules
The Bump and Run trading strategy is one of the best reversal trading strategies that you’ll probably ever need to learn. The psychological reason why the Bump and Run reversal is such a powerful pattern is because it takes advantage of the result of excessive speculation. This propels the price too swiftly to the extreme which leads to a reversal.
Moving forward, we present the sell-side rules of the Bump and Run trading strategy:
Step #1: Wait until you can identify an uptrend (lead-in) and then an acceleration of that uptrend (Bump)
We’re breaking down the Bump and Run chart pattern into several steps. The first step is to identify an uptrend and then an acceleration of that uptrend. These two components of a trend constitute the first part of the Bump and Run Reversal.
*Note: A valid Bump and Run chart pattern has the first section of the trend drifting upwards very slowly and in the second part of the trend we need to see momentum picking up and the uptrend moving to the extreme.
Step #2: Draw the lead-in trendline that connects the lows during the first stage of the trend and draws a second trendline connecting the lows during the uptrend acceleration stage
The way you draw the trendline can be a subjective matter because there are several ways to do it and neither of them is better than the other. Ultimately, it all comes down to your experience and understanding of the price action.
Step #3: Sell Entry 1 at the break and close below the first Trendline, Sell Entry 2 at the break and close below Lead-in Trendline.
In order to maximize our potential profits we like to implement a two entries technique as follows:
Sell Entry 1 once the first trendline is broken. For confirmation of a valid breakout, we like to wait for the candle close below the trendline.
Sell Entry 2 once the Lead-in trendline is broken. Wait for confirmation of a valid breakout we like to wait for the candle close below the trendline.
During this stage, the market is in the process of reversal and the “Run” component of the Bump and Run chart pattern is formed.
The Run phase is identified when the price falls and breaks below the Lead-in trendline which also confirms that we’re in the process of reversing the previous trend.
The next logical thing we need to establish for the Bump and Run trading strategy is where to take profits.
Step #4: Take profit at the Lead-in trendline starting point
The ideal profit target for the Bump and Run trading strategy is at the Lead-in trendline starting point. In other words, take profits at the exact same level you use to draw your Lead-in trendline.
We encourage you to experiment different take profit strategies because the Bump and Run chart pattern can also lead to a severe reversal that can be the starting point of a big bearish trend.
Step #5: Place initial SL above the swing high created by the uptrend acceleration. Second SL placed above the Lead-in trendline breakout candle
Since we’re splitting our trade into two trades, we’re going to have two protective stop losses. The initial stop loss is placed just above the swing high created by the uptrend acceleration phase.
The second protective stop loss is placed above the candle that breaks the Lead-in trendline.
We’re adopting a very conservative approach here because if we truly have a reversal we consider that the market should not look back. In this regard, we keep our SL very tight.
We also recommend that once your second entry gets triggered to move your initial stop loss in the exact location as the SL2. This will guarantee you that even if you get stopped out on your second entry you’ll still be left with some profits.
*Note: The above was an example of a SELL trade… Use the same rules – but in reverse – for a BUY trade, but this time we’re going to use the inverse Bump and Run reversal.
BTCUSD 1H WILLIAMS %R MOMENTUM STRATEGYStep #1: Wait for the best Forex Momentum Indicator to get oversold (below -80). Then rallies above the -50 level before Buying .
Step #2: We’re going to use Williams %R, the best forex momentum indicator in a smart way. In an uptrend, we buy after the best forex momentum indicator has reached oversold conditions (below -80). And then rallied back above the -50 level.
Note* If the %R momentum indicator continually stays in oversold territory (below -80 level), it signals a strong momentum and conversely a strong trend. Inversely the same is true in a uptrend.
Step #3: Place Your Protective Stop Loss below the Recent Higher Low.
We want to hide our protective stop loss. It is below the most recent higher low level that formed right before the best momentum trading strategy issue the buy signal.
Alternatively, you can also trail your stop loss below each most recent higher low. This strategy will allow you to lock-in the potential profits in case of a sudden market reversal.
Step #4: Take Profit once we break below the Previous Higher Low
A trend in motion can stay in that state longer than anyone can anticipate. And since we want to maximize our potential profits we let the market tips it hands before liquidating our trades. In this regard, we look for a break in the trend structure. Respectively a break below the most recent higher low.
Alternatively, you can take profit once the best forex momentum indicator breaks below the -50 level.
Note** The above was an example of a BUY trade using the Best Momentum Trading Strategy. Use the same rules for a SELL trade.
Summary
The best momentum trading strategy (%R) leverages the tendency of a market’s price to continue moving in a single direction. This is where the momentum might be upwards or downwards. In essence, market timing is crucial for a momentum indicator strategy. And in this regard, we incorporated the best Forex momentum indicator (Williams %R) in our momentum strategy. Here are some of the trading conditions you want to avoid in the forex market.
Timing the market can be a daunting task. But our team at Trading Strategy Guides believes that using a pure price action can get you a long way. Check out our Price Action Pin Bar Trading Strategy.
GBPUSD 1H BULLISH FLAG BREAKOUT LONG TRADEBullish Flags are a chart pattern under the Range Patterns.
Bullish Flag Ranges are repeatable trading chart patterns.
Bullish Flag Range chart patterns will have a long directional bias depending on the previous incoming trend.
Each chart pattern will have defining trendlines of the support/resistance levels creating the pattern.
Whatever time frame you are trading this chart pattern, wait for a candle close outside of the trendline in the direction of the breakout candle. (Our time frame preference is the Daily chart ).
Add volume indicator - Volume is the amount of $ that went into a particular candle or in Forex the # of trades that took place.
Add ATR indicator - Volatility is the amount of price movement that occurred. Use the ATR to measure the price movement.
When you see descending Volume bars and descending ATR line (which indicates volatility ) this shows a dis-interest in traders to invest in this pair creating consolidation which creates the chart pattern.
Trade Management after there is a breakout candle close.
1 - Position size (compare volume bar to volume ma line).
a - Breakout candle must be 100% of average volume for a full position size.
b - If 75% of average volume then ½ position size. (To find 75% of Volume
look at the volume settings on the chart – divide smaller # into larger # = 75%+)
2 - Enter two trades.
3 - SL for both trades will be 1.5 x ATR.
4 - 1st trade TP will be 1 x ATR.
5 - No TP on 2nd trade – letting profit run and adjusting SL to follow price.
6 - When 1st TP hit – move 2nd trade SL to breakeven.
7 - Adjust the 2nd trade SL to follow price.
*8 – After Breakout candle – if price closes back into chart pattern close trade
*9 - When breakout candle is more than 1 ATR from breakout candle open.
a - Enter 1st trade at candle close with ½ position size.
b - Enter 2nd trade with a pending limit order that is 1 ATR of breakout candle open.
c – Price should pullback to that pending limit order for 2nd trade.
d – If Price returns back into chart pattern close trade before SL is hit.
This trade setup was found by Scott Barkley on TSG "Trade of the Week"
EURJPY 1H STRIKE TRADER INDICATOR LONG TRADEStrike Trader Indicator finds Long Signal Entry
Strike Trader Indicator finds Take Profit
Strike Trader Indicator finds Stop Loss
Price did not hit Strike Trader TP
Find your own TP
Double Top Chart Pattern
Close trade when price breaks below Double Top Neckline
XRPUSD 1H BEST %R MOMENTUM STRATEGYStep #1: Define the Trend. An Downtrend is defined by a Series of LH Followed by a Series of LL.
The definition of an downtrend is pretty much standard. In an downtrend, we look for a series of lower highs followed by a series of lower lows. Two LH followed by at least another two LL is enough to define an downtrend.
A lower high is simply a swing low point that is lower than the previous swing high. While a lower low is simply a swing low that is lower than the previous swing low.
All momentum traders know that the trend is our friend. But without momentum behind the trend, we might actually not have any trend.
For active traders, we also look at the actual price action in order to gauge momentum. Besides reading the best momentum indicator.
Step #2: In an Downtrend Look for Bold Candlesticks that Close Near the Lower End of the Candlestick .
A technical analysis concept is that you want to use multiple confirmation signs when buying and selling. This will increase the likelihood that’s a high probability trading setup.
In this regard, the momentum trading strategy besides using the best momentum indicator, also incorporates the price action.
A practical way to read momentum from a price chart is to simply look at the candlestick length. What we want to see in an downtrend is big, bold bearish candlesticks that close near the lower end of the candlestick.
Now, it’s time to focus on the Williams %R. This is the best momentum indicator. Which brings us to the next step of our momentum indicator strategy.
Step #3: Wait for the best Momentum Indicator to get overbought (above -20). Then rallies below the -50 level before Selling .
We’re going to use Williams %R, the best momentum indicator in a smart way. In an downtrend, we sell after the best momentum indicator has reached overbought conditions (above -20). And then rallied back below the -50 level.
Now, we have confirmation from both the price and the best momentum indicator. The real momentum is behind this trend and the probabilities are in favor of more downside prices from here on.
Note* If the best momentum indicator continually stays in oversold territory (below -80 level), it signals a strong momentum and conversely a strong trend. Inversely the same is true in a uptrend.
The next important thing we need to establish is where to place our protective stop loss.
Step #4: Place Your Protective Stop Loss above the Recent Lower Low.
We want to hide our protective stop loss. It is above the most recent lower low level that formed right before the best momentum trading strategy issue the sell signal.
Alternatively, you can also trail your stop loss above each most recent lower low. This strategy will allow you to lock-in the potential profits in case of a sudden market reversal.
Last but not least the momentum indicator strategy also needs a place where we need to take profits, which brings us to the last step of the best momentum trading strategy.
Step #5: You pick your own TP strategy or
Take Profit once we break above the Previous Lower Low
A trend in motion can stay in that state longer than anyone can anticipate. And since we want to maximize our potential profits we let the market tips it hands before liquidating our trades. In this regard, we look for a break in the trend structure. Respectively a break above the most recent lower low.
Alternatively, you can take profit once the best momentum indicator breaks above the -50 level.
Note** The above was an example of a SELL trade using the Best Momentum Trading Strategy. Use the same rules for a BUY trade.
Growth of price is possibleIn the previous idea for ETHUSD (it is only available in Russian) I wrote that a retest of trend support is possible. This is what happened, the bulls managed to protect the price.
Now the price of ether is moving within the wedge. If the bulls manage to break through the upper border of the figure, that is, to break through the resistance, then I expect growth of coin's price. However, while this has not happened, growth is questionable.
ETHUSD PRICE ACTION PIN BAR TRADING STRATEGYPin Bars
This price action strategy will focus entirely on a price pattern called pin bars. This candle is simply the price hitting a certain level and being “rejected” from it. This bar has a long tail on it with a small body.
There are different types of characteristics for a particular pin bar. For instance, the long end of the candle is the wick, while the small end (the opposite side of the body) is called the nose. Most agree the long tail, or “wick,” will be at least two-thirds the total length of the pin bar itself. The other part of the pin bar will naturally be, at the most, one-third of the candle. The open price of the candle and the close should be relatively the same price. This forms the ‘Body.’
To confirm a pin bar, you must wait for the candle to close. Just because the current candle “looks” like a pin bar, does not necessarily mean it is. in the example above, the price movement could have continued upward and closed at the top of the candle. In turn, it would not be considered a pin bar.
Basic Guidelines:
Timeframe - ANY
Market - ANY
Indicators - NONE
OTHER - Trend lines, horizontal lines, support resistance lines (anything to help you find these areas).
Step 1: Find a Pin Bar On Your Chart.
*Note This is a stock price action strategy, and a forex price action strategy. I will use a currency pair as an example. Price action charts are with any market and timeframe.
First, identify a pin bar that has formed.
Step 2: Look for Past Price Action to Determine Why The Pin Bar Formed.
Why did the reversal suddenly hit a price, and then continue back to the upside?
Let’s zoom out a bit on a daily chart. We'll figure out if we can see anything that explains what happened.
Note** you can either look at the current time frame you are on, in this case, a 1-hour time period. Or you can bump up one or two periods to gather information.
Resistance in the past can mean support in the future. What happened is the price hit this level but failed to break through it.
Since the long bullish wick formed, we decide it is time to enter this trade based on what we learned from the prior days.
This is what Price Action is all about. No two trades are the same. However, we can take what we've learned from the past. Then make the best judgment as to where the price is going in the future.
You are essentially like a detective when you trade price action. The point is to gather many pieces of evidence to back up your conclusion. You are trading with confluence. Sometimes simple is best. Study the charts and form an educated conclusion as to where the price will go.
Step 3: Trade entry
You just enter the trade 2-3 pips from the break of the nose of the pin bar.
Step 4: Stop loss
Place the stop loss 3-5 pips away from the wick. The end of the wick will be a support area. So if this is broken the trend may continue downward. Which is why you place your stop 3-5 pips away from this.
Step 5: Exit Strategy
Your exit strategy is when you hit the first level of support or resistance on your chart. As you can see, the price hit a point then stalled out. Once we see the price action stalling out, we exit the trade immediately.
Conclusion - Price Action Pin Bar Strategy
Price action is another fundamental element to learn when trading the market. There are thousands of strategies you can use with price action. It is important to find something that works for you.
These pin bars are hard to miss. They are relatively accurate when you learn why a pin bar formed. Pin bar candles are shown in any time frame. The rule of thumb is, the higher the time frame, the stronger the signals. But that does not mean that this will not work on a five-minute time frame.
Do not trade every pin bar you see that forms. Gather up key information from the charts. Then form the best conclusion to determine if you should enter the trade based on the rules.
NZD/USD Long Position (1H)I have analysed a potential Double Bottom setup on the NZD/USD 1 Hour chart. I have setup a long position which I will take if the market follows the appropriate setup. The trade has a reward of 16.75% and a risk of 3.03%. Risk reward is 1 : 5.5.
I am newer to trading and am still learning so would appreciate and feedback on this analysis.
Thanks
XAUUSD 1H, BUENA ENTRADA CON POCO RIESGOComo podemos ver en el gráfico, la tendencia diaria es bajista (Linea azul) pero en periodo de 4H la tendencia empieza a cambiar
y podemos ver una posible entrada en largo con buena relación riesgo/beneficio. Dos posibles panoramas a tener en cuenta. Se podria ingresar con 2 compras e ir cerrando a medida que llega a la meta. Recuerden que esto se basa solamente en probabilidades y
no todos tenemos las mismas formas de analizar. Asi que, puede salir bien, o puede malir sal.
LO IMPORTANTE NO ES CUÁNTAS VECES GANES, O CUÁNTAS VECES PIERDAS.
LO QUE SI IMPORTA ES: CUÁNTO GANAS CUANDO GANAS Y CUANTO PIERDES CUANDO PIERDES.
SALUDOS!
EURUSD 1H INSIDE CANDLE METHOD BREAKOUTINSIDE CANDLE STRATEGY
What is an Inside Candle
1. Previous candle engulfs next candle.
2. 2nd candle high is lower that 1st candle.
3. 2nd candle low is higher than 1st candle.
INSIDE CANDLE METHOD
1. Incoming Trend
2. Inside Candle – Opposite Color
3. Enter Break of Engulfing Larger Candle
Inside Candle method is a great short term consolidation indicator.
If your trade plan contains breakouts and consolidation then this method is for you.
This is a great way to find smaller consolidations quicker which will give you more trades on whatever time frame you want to look.
On a daily chart it may take weeks for a consolidation pattern to form.
Inside candle represents a pause, consolidation or compression in the market after a big move.
Often you will also see reduced volume on the inside candle.
Inside Candle method is a pause or a reversal of the trend . So it is more effective if there is an incoming trend.
Enter a break of the larger engulfing candle in the direction of the break.
Enter with a Stop Order a few pips above or below breakout level.
Which trades you take is a matter of preference.
Some like reversal trades or trend following trades.
Scalping in doesn't matter what direction you may go.
Trend following you will want to see this in context of a larger trend.
Take all the trade setups and just shut down the ones that don't preform.
Trade Management: Enter 2 trades
Stop Loss is 1.5 x ATR for both trades
First Take Profit is 1 x ATR for 1st trade
2nd trade there is no take profit.
When 1st TP is hit move 2nd trades SL to breakeven.
Let profit run on 2nd trade by following/trailing SL.
If a candle closes back inside the larger engulfing candle close down trade.
Watch for a setup for the next breakout.
ETHUSD 1H BEAR FLAG SHORT TRADEBear Flags are a form of Range Chart Pattern & Ranges are a repeatable trading chart pattern.
Ranges are consolidation chart patterns that can breakout either direction.
Each chart pattern will have defining trendlines of the support/resistance levels creating the pattern.
What ever time frame you are trading this chart pattern, wait for a candle close outside of the trendline in the direction of the breakout candle. (Our time frame preference is the Daily chart ).
Add volume indicator - Volume is the amount of $ that went into a particular candle or in Forex the # of trades that took place.
Add ATR indicator - Volatility is the amount of price movement that occurred. Use the ATR to measure the price movement.
When you see descending Volume bars and descending ATR line (which indicates volatility ) this shows a dis-interest in traders to invest in this pair creating consolidation which creates the chart pattern.
Trade Management after there is a breakout candle close.
1 - Position size (compare volume bar to volume ma line).
a - Breakout candle must be 100% of average volume for a full position size.
b - If 75% of average volume then ½ position size. (To find 75% of Volume
look at the volume settings on the chart – divide smaller # into larger # = 75%+)
2 - Enter two trades.
3 - SL for both trades will be 1.5 x ATR.
4 - 1st trade TP will be 1 x ATR.
5 - No TP on 2nd trade – letting profit run and adjusting SL to follow price.
6 - When 1st TP hit – move 2nd trade SL to breakeven.
7 - Adjust the 2nd trade SL to follow price.
*8 – After Breakout candle – if price closes back into chart pattern close trade
*9 - When breakout candle is more than 1 ATR from breakout candle open.
a - Enter 1st trade at candle close with ½ position size.
b - Enter 2nd trade with a pending limit order that is 1 ATR of breakout candle open.
c – Price should pullback to that pending limit order for 2nd trade.
d – If Price returns back into chart pattern close trade before SL is hit.