Donchian Channel Strategy like The Turtles TradersThe Turtle Traders strategy is a legendary trend-following system developed by Richard Dennis and William Eckhardt in the 1980s to prove that trading could be taught systematically to novices. Dennis, a successful commodities trader, bet Eckhardt that he could train a group of beginners—nicknamed "Turtles"—to trade profitably using strict rules. The experiment worked, with the Turtles reportedly earning over $100 million collectively. Here’s a detailed breakdown of their strategy, focusing on the core components as documented in public sources like Curtis Faith’s Way of the Turtle and other accounts from the era.
Core Philosophy
Trend Following: The Turtles aimed to capture large price trends in any direction (up or down) across diverse markets—commodities, currencies, bonds, and later stocks.
Systematic Rules: Every decision—entry, exit, position size—was predefined. No discretion allowed.
Volatility-Based: Risk and position sizing adjusted to each market’s volatility, not fixed dollar amounts.
Long-Term Focus: They targeted multi-month trends, ignoring short-term noise.
Two Trading Systems
The Turtles used two complementary breakout systems—System 1 (shorter-term) and System 2 (longer-term). They’d trade both simultaneously across a portfolio of markets.
System 1: Shorter-Term Breakout
Entry:
Buy when the price breaks above the 20-day high (highest high of the past 20 days).
Sell short when the price breaks below the 20-day low.
Skip the trade if the prior breakout (within 20 days) was profitable—avoid whipsaws after a winning move.
Initial Stop Loss:
Exit longs if the price drops 2N below entry (N = 20-day Average True Range, a volatility measure).
Exit shorts if the price rises 2N above entry.
Example: Entry at $100, N = $2, stop at $96 for a long.
Trailing Stop:
Exit longs if the price breaks below the 10-day low.
Exit shorts if the price breaks above the 10-day high.
Time Frame: Aimed for trends lasting weeks to a couple of months.
System 2: Longer-Term Breakout
Entry:
Buy when the price breaks above the 55-day high.
Sell short when the price breaks below the 55-day low.
No skip rule—take every breakout, even after a winner.
Initial Stop Loss:
Same as System 1: 2N below entry for longs, 2N above for shorts.
Trailing Stop:
Exit longs if the price breaks below the 20-day low.
Exit shorts if the price breaks above the 20-day high.
Time Frame: Targeted trends lasting several months (e.g., 6-12 months).
Position Sizing
Volatility (N): N, or “noise,” was the 20-day Average True Range (ATR)—the average daily price movement. It normalized risk across markets.
Unit Size:
Risk 1% of account equity per trade, adjusted by N.
Formula: Units = (1% of Account) / (N × Dollar Value per Point).
Example: $1M account, 1% = $10,000. Corn N = 0.5 cents, $50 per point. Units = $10,000 / (0.5 × $50) = 400 contracts.
Scaling In: Add positions as the trend confirms:
Long: Add 1 unit every ½N above entry (e.g., entry $100, N = $2, add at $101, $102, etc.).
Short: Add every ½N below entry.
Max 4 units per breakout, 12 units total per market across systems.
Risk Management
Portfolio Limits:
Max 4 units in a single market (e.g., corn).
Max 10 units in closely correlated markets (e.g., grains).
Max 12 units in one direction (long or short) across all markets.
Stop Loss: The 2N stop capped risk per unit. If N widened after entry, the stop stayed fixed unless manually adjusted (rare).
Drawdown Rule: If account dropped 10%, cut position sizes by 20% until recovery.
Markets Traded
Commodities: Corn, soybeans, wheat, coffee, cocoa, sugar, cotton, crude oil, heating oil, unleaded gas.
Currencies: Swiss franc, Deutschmark, British pound, yen.
Bonds: U.S. Treasury bonds, 90-day T-bills.
Metals: Gold, silver, copper.
Diversification across 20-30 markets ensured uncorrelated trends.
Following
GBPJPY - Trend-Following Setup!Hello TradingView Family / Fellow Traders. This is Richard, also known as theSignalyst.
📈 GBPJPY has been overall bullish , trading within the rising channel in blue.
Currently, GBPJPY is in a correction phase, approaching the lower bound of the wedge.
Moreover, it is retesting a strong support in green.
🏹 Thus, the highlighted blue circle is a strong area to look for buy setups as it is the intersection of the green support and lower blue trendline.
📚 As per my trading style:
As #GBPJPY approaches the blue circle zone, I will be looking for bullish reversal setups (like a double bottom pattern, trendline break , and so on...)
📚 Always follow your trading plan regarding entry, risk management, and trade management.
Good luck!
All Strategies Are Good; If Managed Properly!
~Rich
USDCHF - Following The Trend📉Hello TradingView Family / Fellow Traders. This is Richard, also known as theSignalyst.
📈 USDCHF has been overall bearish, trading within the falling channel in blue.
Currently, USDCHF is approaching the upper bound of the channel acting as a non-horizontal resistance.
Moreover, it is retesting a resistance marked in green.
🏹 Thus, the highlighted blue circle is a strong area to look for sell setups as it is the intersection of the blue trendline and green resistance.
📚 As per my trading style:
As #USDCHF approaches the blue circle zone, I will be looking for bearish reversal setups (like a double top pattern, trendline break , and so on...)
📚 Always follow your trading plan regarding entry, risk management, and trade management.
Good luck!
All Strategies Are Good; If Managed Properly!
~Rich
AUDUSD - Follow Your Friend ↗️Hello TradingView Family / Fellow Traders,
📈 AUDUSD has been overall bullish , trading inside the rising channel in blue and it is currently approaching the lower blue trendline.
Moreover, the zone 0.665 is a robust support zone.
🎯 Therefore, the highlighted blue circle represents a significant area to consider for potential buy setups , as it marks the intersection of the green support and lower blue trendline acting as a non-horizontal support.
📚 As per my trading style:
As AUDUSD approaches the blue circle zone, I will be actively searching for bullish reversal setups to capture the next bullish impulse movement.
📚 Always follow your trading plan regarding entry, risk management, and trade management.
Good luck!
All Strategies Are Good; If Managed Properly!
~Richard Nasr
THANK YOU FOR 2000+ FOLLOWERSFrom @Jagadheesh_Jk
I'm Reached 1000 followers to 2000 followers in just 10 Days Only
Thank you so much to each and every one of my 2000+ followers on TradingView! It means a lot to me that you have chosen to join me on this journey.... Your support allows me to continue analyse and sharing Strategies with all of you.... Guys
Thank you for being a part of my community and constantly inspiring me to improve and grow. I can’t wait to see where this journey takes us next.... Thank you again, from the bottom of my heart 🫀 Cheers to 2000 followers and beyond! #grateful
Thank you for liking, commenting & following my account. I hope to be able to share more of my Strategies with you in future
THANK YOU.... THANK YOU... THANK YOU... ALL FOR SUPPORTING ME GUYS
EdgePro - BTC Swing StrategyThe EdgePro - BTC Swing Strategy is a meticulously designed trading approach that combines two distinct components: the Early Bird system and the Main system. This strategy is specifically tailored for Bitcoin (BTC) swing trading and aims to provide both timely entry signals and accurate trend capturing, thereby maximizing profit potential while minimizing losses.
The Early Bird system (marked by the smaller triangles), as its name suggests, focuses on identifying early long signals. It utilizes various systems and strategies to detect potential shifts in BTC price direction before they become evident to the broader market. By seeking out these early signals, the Early Bird system aims to gain an advantageous position by entering trades at or near the beginning of a bullish trend.
The Main system (marked by the larger triangles), on the other hand, is designed to have a high hit rate and effectively capture trends without falling victim to choppy or volatile market conditions. Again it employs a combination of complex trend-following indicators and strategies to confirm a sustainable trend in BTC price movement. This ensures that the strategy avoids false signals and filters out noise, allowing it to maintain a robust and reliable trading approach.
Visit edgeprosignals.com for more information, including full performance history of the EdgePro Large Cap Portfolio and Full Access to all our Indicators & Strategies.
EdgePro™
NZDCAD - Trend-Following Sell Setup ⬇️Hello TradingView Family / Fellow Traders. This is Richard, also known as theSignalyst.
on DAILY: Left Chart
NZDCAD has been overall bearish trading inside the falling channel in orange and now it is sitting around the upper orange trendline again, so we will be looking for sell setups on lower timeframes.
on H1: Right Chart
For the bears to take over, we need a momentum candle close below the last major low in gray.
Meanwhile, until the sell is activated, NZDCAD can still trade higher and even break the orange trendline upward.
📚 Always follow your trading plan regarding entry, risk management, and trade management.
Good luck!
All Strategies Are Good; If Managed Properly!
~Rich
AUDCAD - Trend-Following Sell Setup!Hello TradingView Family / Fellow Traders. This is Richard, as known as theSignalyst.
AUDCAD is overall bearish from a long-term perspective trading inside the brown channel, and it is currently retesting the upper brown trendline.
Moreover, the zone 0.91 is a strong resistance zone .
So the highlighted purple circle is a strong area to look for sell setups as it is the intersection of the blue resistance zone and upper brown trendline. (acting as non-horizontal resistance)
As per my trading style:
As AUDCAD approaches the purple circle zone, I will be looking for bearish reversal setups (like a double top pattern, trendline break , and so on...)
Always follow your trading plan regarding entry, risk management, and trade management.
Good luck!
All Strategies Are Good; If Managed Properly!
~Rich
AUDNZD - Video Top-Down Analysis!Hello TradingView Family / Fellow Traders. This is Richard, as known as theSignalyst.
Here is a detailed update top-down analysis for AUDNZD.
Which scenario do you think is more likely to happen? and Why?
Always follow your trading plan regarding entry, risk management, and trade management.
Good Luck!.
All Strategies Are Good; If Managed Properly!
~Rich
GBPJPY - Trend-Following Sell Setup!Hello TradingView Family / Fellow Traders. This is Richard, as known as theSignalyst.
GBPJPY is overall bearish making lower lows and lower highs.
Since the last minor high in blue is broken upward, we know that the correction movement started.
Now we are waiting for the next impulse movement to start and push GBPJPY lower to make a lower low as we are overall bearish.
However, we don't sell blindly. we always wait for the bears to take over again first before we sell.
on M30: GBPJPY is forming a wedge pattern in red.
As per my trading style, I will be waiting for a new swing low to form around the lower red trendline (projection in purple) to consider it the last minor low, and then sell after a momentum candle close below it.
Meanwhile, until the sell is activated, GBPJPY would be bullish in a correction movement and we can still go higher.
Always follow your trading plan regarding entry, risk management, and trade management.
Good luck!
All Strategies Are Good; If Managed Properly!
~Rich
GBPUSD short but be aware of US CPI volatilityLooking for some reversals from the previous signals. Yesterday we didn't get any triggers, which signals a change in trend in itself.
Today is US CPI so I am expecting some volatility and for traders to get stopped out.
DXY could go higher and break through the relative equal highs, this could amount to just a stop run and at this point we wait to see if its a liquidity grab or not.
GBPUSD has a couple of imbalances on the way down to fill but there is also one above. The reason I favour GBPUSD shorts today is due to higher cpi readings, leading to rate hikes, leading to dollar strength. Technically the DXY also made its weekly low (so far) on Tuesday and this is known as turnaround Tuesday.
USDJPY confirms a possible long USD and GBPJPY confirms a short pound. But that makes the Yen a problem.
KNC - Video Top-Down Analysis!Hello TradingView Family / Fellow Traders. This is Richard, as known as theSignalyst.
Here is a detailed update top-down analysis for KNC.
Which scenario do you think is more likely to happen? and Why?
Always follow your trading plan regarding entry, risk management, and trade management.
Good Luck!.
All Strategies Are Good; If Managed Properly!
~Rich
EURUSD - Support Rejected✅ Now Approaching A Resistance!Hello TradingView Family / Fellow Traders. This is Richard, as known as theSignalyst.
As per my last analysis, we were looking for buy setups around the 1.0 round number and demand zone
Now What?
EURUSD is approaching the upper blue trendline acting as a non-horizontal resistance.
Moreover, the zone 1.04 - 1.05 is a support turned into resistance.
Thus, the highlighted purple circle with the red arrow is a strong area to look for sell setups as it is the intersection of the blue resistance and upper blue trendline.
As per my trading style:
As EURUSD approaches the upper purple circle, I will be looking for reversal bearish setups (like a double top pattern, trendline break , and so on...)
Always follow your trading plan regarding entry, risk management, and trade management.
Good luck!
All Strategies Are Good; If Managed Properly!
~Rich
Bitcoin in 1 Minute - Day 34Hello TradingView Family / Fellow Traders. This is Richard, as known as theSignalyst.
34 out of 500 days done.
I truly appreciate your continuous support everyone!
Let me know if you like the series, and if you would like me to change or add anything.
Always follow your trading plan regarding entry, risk management, and trade management.
Good Luck!.
All Strategies Are Good; If Managed Properly!
~Rich
GBPUSD - Video Top-Down Analysis!Hello TradingView Family / Fellow Traders. This is Richard, as known as theSignalyst.
Here is a detailed update top-down analysis for GBPUSD.
Which scenario do you think is more likely to happen? and Why?
Always follow your trading plan regarding entry, risk management, and trade management.
Good Luck!.
All Strategies Are Good; If Managed Properly!
~Rich
KCS - Video Top-Down Analysis!Hello TradingView Family / Fellow Traders. This is Richard, as known as theSignalyst.
Here is a detailed update top-down analysis for KCS.
Which scenario do you think is more likely to happen? and Why?
Always follow your trading plan regarding entry, risk management, and trade management.
Good Luck!.
All Strategies Are Good; If Managed Properly!
~Rich
US100 - Detailed Video Analysis!Hello everyone, if you like the idea, do not forget to support with a like and follow.
Here is the top-down analysis for US100, feel free to request any pair/instrument or ask any questions in the comment section below.
Best of luck!
BTC Price TargetBTC price target after breakout from falling wedge pattern.
Warning: Disclaimer: I am not a financial advisor. Do not take anything on my idea as financial advice, ever.
Do your own research.
Consult a professional investment advisor before making any investment decisions! My published ideas are for education only!