'Swing wides' as I call them are a no brainer and often give very good results. This NZDCAD weekly chart here is a large range trade because it has been swinging wide of the kijun sen. When price swings wide of the kjinun sen it wants to mean revert and will often over shoot. It is especially good when it overshoots to resistance like it did in this case on the upside. As soon as I saw the cross down on the weekly stochastic I go to the 4hr chart and look for the break below the kumo. Being a range, even though I am looking at the weekly chart I am trading off the 4hr/2hr. According to my rules the weekly/daily conditions are now in place, but remember you can still trade a trend on 4hr/2hr.
If you want to just hold short longer term you can just hit these 4hr kumo 'snapbacks' as I call them. This is when you get a snap back above the kumo and then the cross back below is where you add to the trade. If you are more advanced, you can trade off the 4hr/2hr all the way down.
It is very simple if you just follow my trading rules
No comments:
Post a Comment