As per @TradingView 's previous post, in this article, I am going to share my trading strategy in three steps.
๐Step 1:
First, start from the higher timeframes like Daily/Weekly to identify the current long-term trend. Is it bullish, bearish, or stuck inside a range?
If the price is sitting in the middle of nowhere, then it is a NO trade zone, as the price has a 50% chance to go either up or down. Thus, there's no edge!
Remember: No trade is also a trade.
๐Wait for the price to approach the lower bound or upper bound. Then proceed to Step 2.
๐Step 2:
Zoom in to lower timeframes like H1 and M30 to look for any reversal setups.
A basic approach would be to wait for a swing low to be broken downward around a resistance as a signal that the bears are taking over.
In parallel, wait for a swing high to be broken upward around a support for the bulls to take over.
This would be the confirmation to enter the trade.
Just like a sniper waiting for the perfect shot!
๐Step 3:
Target at least a 1/2 risk-to-reward ratio. This way, even with a 50% win rate, you can still be profitable.
Remember: We are risk managers, not traders. We can't control the market; the only thing we have control over is our risk.
๐Always follow your trading plan regarding entry, risk management, and trade management.
Hope you find the content of this post useful ๐
All strategies are good; if managed properly!
~Richard Nasr
๐Step 1:
First, start from the higher timeframes like Daily/Weekly to identify the current long-term trend. Is it bullish, bearish, or stuck inside a range?
If the price is sitting in the middle of nowhere, then it is a NO trade zone, as the price has a 50% chance to go either up or down. Thus, there's no edge!
Remember: No trade is also a trade.
๐Wait for the price to approach the lower bound or upper bound. Then proceed to Step 2.
๐Step 2:
Zoom in to lower timeframes like H1 and M30 to look for any reversal setups.
A basic approach would be to wait for a swing low to be broken downward around a resistance as a signal that the bears are taking over.
In parallel, wait for a swing high to be broken upward around a support for the bulls to take over.
This would be the confirmation to enter the trade.
Just like a sniper waiting for the perfect shot!
๐Step 3:
Target at least a 1/2 risk-to-reward ratio. This way, even with a 50% win rate, you can still be profitable.
Remember: We are risk managers, not traders. We can't control the market; the only thing we have control over is our risk.
๐Always follow your trading plan regarding entry, risk management, and trade management.
Hope you find the content of this post useful ๐
All strategies are good; if managed properly!
~Richard Nasr
Trading Made Simple; and Rule-Based
www.RichTL.com
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www.RichTL.com
for 50% discount use coupon: BD2024
Instagram:
www.instagram.com/richthesignalyst
Telegram:
www.t.me/thesignalyst
Best CFD broker
cutt.ly/TickmillReal