1. PATTERN: Falling Wedge
2. TRADE TRIGGER: Breakout with an above-average-sized (open to close) bullish candle and above average volume.
3. TARGET: Outlined resistance area - previous support.
4. STOP-LOSS: 1 ATR, or 1x the average candlestick size (last 14 periods) below the 10 EMA.
5. RISK TO REWARD RATIO: abt 2.90
6. POSITION SIZE / RISK MANAGEMENT:
a) No more that 1% of your total equity at risk on an single trade, therefore: (Stop Loss (set logically as per above) / Entry Point) x 100 / Total Equity < 1
b) No more than 30% of your total equity at risk at any given moment
7. IMPORTANT NOTE: Remember that drawing lines on a chart means nothing if you do not command and deploy thorough risk management principles and rules.
===
Having this said, discretionary trading is a heavy burden, so many choices, so many doubts … At a certain stage of your development as a trader you will realize that setting a quantified trading system, which translates these biases and ideas into numbers, conditions, signals and commands, and is time tested, is your next step as a trader.
If that's the stage where you're at, then feel free to drop by my store for backtested, quantified trading strategies across all markets and asset classes.
Cheers,
Tenacious Tribe - Quantified Trading Strategies
2. TRADE TRIGGER: Breakout with an above-average-sized (open to close) bullish candle and above average volume.
3. TARGET: Outlined resistance area - previous support.
4. STOP-LOSS: 1 ATR, or 1x the average candlestick size (last 14 periods) below the 10 EMA.
5. RISK TO REWARD RATIO: abt 2.90
6. POSITION SIZE / RISK MANAGEMENT:
a) No more that 1% of your total equity at risk on an single trade, therefore: (Stop Loss (set logically as per above) / Entry Point) x 100 / Total Equity < 1
b) No more than 30% of your total equity at risk at any given moment
7. IMPORTANT NOTE: Remember that drawing lines on a chart means nothing if you do not command and deploy thorough risk management principles and rules.
===
Having this said, discretionary trading is a heavy burden, so many choices, so many doubts … At a certain stage of your development as a trader you will realize that setting a quantified trading system, which translates these biases and ideas into numbers, conditions, signals and commands, and is time tested, is your next step as a trader.
If that's the stage where you're at, then feel free to drop by my store for backtested, quantified trading strategies across all markets and asset classes.
Cheers,
Tenacious Tribe - Quantified Trading Strategies
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Die Informationen und Veröffentlichungen sind nicht als Finanz-, Anlage-, Handels- oder andere Arten von Ratschlägen oder Empfehlungen gedacht, die von TradingView bereitgestellt oder gebilligt werden, und stellen diese nicht dar. Lesen Sie mehr in den Nutzungsbedingungen.
Haftungsausschluss
Die Informationen und Veröffentlichungen sind nicht als Finanz-, Anlage-, Handels- oder andere Arten von Ratschlägen oder Empfehlungen gedacht, die von TradingView bereitgestellt oder gebilligt werden, und stellen diese nicht dar. Lesen Sie mehr in den Nutzungsbedingungen.