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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
EURUSD DAY DRAGON BULLISH REVERSAL PATTERNThis trade was brought to our attention by Tex3rdgen from the strike-trader-signals-chatroom. Here is his comments "I'm seeing a very definite Dragon Pattern on EURUSD daily chart. For those who haven't heard of it, it is a reversal pattern, it looks left with head at the top of a typical long neck with front feet lower than back feet with a hump in between. Confirmation comes at the break of the down TL drawn from back of head to back of hump. May confirm on Monday." Thanks Tex
Long
by Tradingstrategyguides
2
ETHUSD 1H How to Profit from trading PullbacksStep #1: Identify a Bearish Trend which is characterized by a Series of Lower Highs and Lower Lows Identifying the direction of the trend should be a fairly easy process. The easiest method that our team at Trading Strategy Guides likes to use to identify the trend is the swing low and high structure. In essence, an downtrend is defined as a series of lower highs followed by a series of lower lows Note* It’s important to use the higher time frame to determine the trend regardless of the time frame you normally base your trades on. Step #2: Switch to the 1h Time Frame and Wait for a Pullback against the downtrend After successfully identifying the trend, we can switch lower to our preferred time frame. It can literally be whatever time frame you feel more comfortable with but, for the purpose of this pullback trading strategy, we use the 1h time frame. Step #3: Place Your Fibonacci Retracement Indicator between the last swing high and low levels, prior to the pullback. Identify the most recent swing high and swing low and place your Fibonacci retracement indicator between the two swings. Step #4: Sell Anywhere Between the 50% and 61.8% Fibonacci Retracement area After you’ve placed the Fibonacci retracement mark on your chart the area between the 50% and 61.8% Fibonacci retracement and sell as soon as we trade within that area. It’s up to you whether or not to sell as soon as we hit the 50% or to wait for the 61.8%. With experience, you’ll be able to fine tune your entry and profit from trading pullbacks. Step #5: Place the Protective Stop Loss above the Swing High The last swing high used to draw the Fibonacci retracement levels can provide us with a very attractive place to hide our protective stop loss. A break above the last swing high will invalidate the trade so we want to minimize our losses and get out of the trade. Step #6: Take 1/2 Profit once we break below the Previous Swing Low In order to profit from trading pullbacks we need a strategy for taking profits as well. In this regard, the ideal place to liquidate our position is once we make a new low. The market never moves in a straight line and most of the time after we break to new lows a pullback occurs most often than not. So, if you want to be in an out of the market very quickly that’s the easiest way to profit from trading pullbacks. Alternatively, if we want to maximize our profits we can only take half of the profits once we break to new highs and the remaining half of our position to be taken at a Fibonacci extension level. We exited at the -61.8% fib extension. 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.
BITFINEX:ETHUSDShort
by Tradingstrategyguides
GBPUSD 1H STRIKE TRADER ELITE PULSE INDICATOR SIGNALSStrike Trader Elite Pulse Indicator is a Macd based signal indicator Green vertical line indicates Macd signal Entry is based on a delayed amount of pips before a Buy Stop order Yellow line is painted on chart Buy Stop Loss Red line is painted on chart from a pre-determined amount of pips from entry Buy Take Profit Green line is painted on chart from a pre-determined amount of pips from entry PM me if you are interested in reading about this indicator
Long
by Tradingstrategyguides
EURUSD 4H RANGE TRADESPair may go sideways waiting for FOMC tomorrow Price is technically in an up-trend position because it has not swung below ma's in last 30 bars If it is going to be a trend then price should make a higher high If not, then price should drop below both ma's and fall towards the range bottom Watch Macd for direction Bullish trend trade Range top breakout Buy Stop 1.1860 Take Profit 1.1925 SL below Range top Bearish Range trade Price fall below both ma's Sell Stop 1.1698 Take Profit 1.1632 SL above 100 sma
by Tradingstrategyguides
2
EURUSD 1H ICHIMOKU STRATEGYStep #1 Wait for the Price to Break and close below the Ichimoku Cloud Ichimoku cloud trading requires for the price to trade below the Cloud because that’s a bearish signal and potentially the beginning of a new down-trend. The cloud is built to highlight support and resistance levels and it’s supposed to highlight several layers deep because support and resistance are not a single line drawn in the sand, but several layers deep. So, when we break above or below the Ichimoku Cloud that signals a deep shift in the market sentiment. Step #2 Wait for the Crossover: The Conversion Line needs to break below the Base Line. The price breakout below the Cloud needs to be followed by the crossover of the Conversion Line below the Base Line. Once these two conditions are fulfilled only then we can look to enter a trade. As you can notice the Ichimoku Cloud indicator is a very complex technical indicator that can be used even as a moving average crossover strategy. Now, we’re going to lay down a very simple entry technique for the Ichimoku Kinko Hyo trading system. Step #3 Sell after the crossover at the opening of the next candle Ideally, any short trades taken using the Ichimoku strategy are taken when the price is trading below the Cloud. Our team at TGS website has adopted a more conservative approach and added an extra factor of confluence before pulling the trigger on a trade. So, after the crossover we sell at the opening of the next candle. Step #4 Place protective stop loss above the breakout candle The ideal location to hide our protective stop loss is above the low of the breakout candle. This trading technique accomplishes two major things. Firstly, it’s minimizing significantly the risk of losing big money and secondly, it helps us trade with the market order flow. Since this is a swing trading strategy we’re looking to capture as much as possible from this presumably new trend and we’ll be looking to trail our stop loss level above the Cloud or exit the position once a new crossover happens in the opposite direction. Step #5 Take Profit when the Conversion Line crosses below the Base Line or your own exit strategy We only need one simple condition to be satisfied for our take profit strategy. When the conversion line crosses above the base line we want to take profits and exit our trade. Alternatively, you can wait until the price breaks above the Cloud but this means risking to lose some parts of your profits. In order to gain more sometimes you have to be willing to lose some. Note** the above was an example of a SELL trade using the advanced 9.09% Ichimoku trading strategies. Use the same rules for a BUY trade – but in reverse. PM me if you want to read the complete strategy
Short
by Tradingstrategyguides
EOS DAY CRYPTO STRATEGYStep #1: EOS coin price must make a new 20-bars low You have to wait until cryptocurrency EOS makes a new 20-bars low. This is essential because we want to make sure that the prevailing trend is “well established.” The only reason why we trade against the original 20-bar rule is because we know that the original Turtle system has a very low win rate. So, you can make a failed pattern work for you if you do the exact opposite thing of what the initial pattern was supposed to do. Step #2: The previous low must have occurred at least 4 bars earlier than the current 20-bar low The second rule that needs to be satisfied before pulling our trigger is that the previous low must happen at least 4 bars earlier than the current 20-bar low. Basically, this trading rule is trying to point out that we need the EOS price to have a sharp move when it does the 20-day low. Why do we need the EOS price to have an abrupt move? If you’re an avid reader of our TSG blog, you probably know through our teachings that the more reliable reversal happens after a trend ends with a sharp move. The Turtle Soup reversal pattern satisfies all trading conditions outlined above which mean that we can move forward and describe how to buy EOS coin. Step #3: How to buy EOS: After the market drops below the 20-bar low, place a buy order above the prior 20-bar high Now, the original Turtle Soup pattern uses a slightly different entry method. Instead of buying at the prior 20-bar low we buy at the previous 20-bar high. This entry strategy ensures that we’re getting into the market while the market has stopped falling and it’s starting to get traction on the upside. This is one way we’re going to capture the potential trend reversal. Important note* If the buy EOS order is not triggered during the same day you must cancel the order Secondly, when trading EOS tokens with our strategy, your entry will be not too far from the low, which means that you’ll be able to use a very tight stop loss. Step #4: Place your protective Stop Loss below the current swing low After the buy EOS order is triggered, you have to place your initial stop loss below the current swing low. If the EOS price makes a new low, then we want to get out of our trade because the Turtle Soup pattern got invalidated. This cryptocurrency strategy allows us to maintain a very low risk profile on all of our trades. Professional traders and hedge fund managers always look first to protect their capital and this trading strategy enable you to accomplish that for yourself. Step #5: Take profit when you can count 20 bars from the 20-bar low or use your own exit strategy Again, our exit strategy is slightly different than the original Turtle Soup system. We take profits after the market has advanced at least 20 bars from the 20-bar low. Alternatively, you can use the initial exit strategy which requires for you to trail your stop loss. Due to the volatility of this reversal pattern your trade will last on average between 4 hours and a few days, so trade with caution. Note** the above was an example of a BUY trade using our EOS cryptocurrency strategy. Use the same rules for a SELL trade – but in reverse. PM me if you would like to read the complete strategy.
BITFINEX:EOSUSDLong
by Tradingstrategyguides
2
GBPAUD DAY ZIG ZAG STRATEGYStep #1: Set the ZigZag indicator settings at 20 for the Depth and 5% Deviation Firstly, we want to make sure the ZigZag tool will only show the more significant swing high and swing low points in the market. For this, we have to use at least 20 periods for the Depth and 5% deviation to accurately display the market swings. Step #2: Plot the Fibonacci Extension line once the first two swing waves are established. In order to plot the Fibonacci Extension line, we need three points of reference. As soon as the first two waves of the Zig Zag pattern are developed, we’re offered with three swing levels that we’re going to use to draw the Fibonacci extension levels. The reason why we use the Fib extension levels is to try to anticipate where the last swing wave of the Zig Zag pattern will be formed. The zig zag indicator will only mark the swing low as being formed too late for us to rely and base our trades alone on this indicator. This is the main reason we employ different trade tactics to anticipate where it’s more likely for the zig zag pattern to end. Step #3: Wait for the third wave to terminate between 0.618 – 0.786 or between 1.0 – 1.272 The reality is that market symmetry doesn’t happen that often. The AB=CD pattern requires a lot of precision in order to have all the conditions for this pattern to be valid. Throughout our backtesting software, we have found out that the third wave of the zigzag pattern ends either between 0.618 – 0.786 or between 1.0 – 1.272. Since we can’t know for sure where the third wave will end, we’re going to employ one of our favorite trade techniques to spot a swing point in the market. Step #4: Wait until you have a candle with a higher low on the right and the left. The bar from the right needs to break above the bar on the left. The three bar pattern to spot a market swing point is quite easy. All you need to do is to wait until you have a candle that has a higher low on both the left and the right side of it. In order for this three bar pattern to be confirmed we also need the bar from the right to break above the high of the bar from the left. Step #5: Zigzag Trading Strategy: Buy at the close of the three bar pattern After the three bar pattern is completed, we don’t want to lose any more time, and we go buy at the market. Note* We use the three bar pattern to anticipate swing market points with all of our trading strategies. Step #6: Hide your protective Stop Loss below the three bar pattern. The stop loss is going to go below the three bar pattern. Your stop loss may be a little bit bigger depending on the time frame you’re trading. You want to make sure that the three bar pattern where your stop loss goes maintains at least a 2% risk. You don’t want to risk more than 2% of your account in any given trade. Step #7: Take profit equal 2 or 3 times more the Stop Loss. Now, where’s our profit target going? The classical ABCD pattern essentially keeps you at a 1:1 risk reward ratio. Also, a lot of the times with the ABCD pattern, you’ll see it pretty frequently that those targets areas are front runned. However, when you trade with the Zig Zag indicator, you’re able to capture two or even three times more the risk taken. Note** the above was an example of a BUY trade using our Zig Zag trading system. Use the same rules for a SELL trade – but in reverse. PM me if you would like to read the complete strategy.
Short
by Tradingstrategyguides