TrendlineStrategyFinal

Hello everyone. Today we’re going to go over one of the most basic sports strategies Old trend van strategy and its basic says it has three key rules that are very easy to set and to identify. And therefore it offers you a very good reason to leave or reassure which is of course key in every trade. So first you mention three basic rules are the first to be to identify seeing heights OLIVOS the pending. Is it a bearish or bullish strategy. We have two examples here in its two major there’s a dollar and dollar yen to show and to show how this strategy actually works in practice. Here we have a Eurodollar. Here we are current Keelin downturn because we are creating over the highs and overflows and therefore. You’re trying to identify peaks. Here is the first the first. And then the price goes down. Then you’re looking for a second peak that you can connect the current trend line. And what’s important here when these two touchiest 1 and 2 we don’t have any break in the trend line. So the trend needs to have. At least two of course patches that you can connect and then as soon as that happens you’re actually looking to enter into the trade. So the third part should be the first opportunity to enter into the trade and play the trade again. Again the trend line. So here we are looking of course to sell here again the trend line scenes. It is very easy to identify where your stop loss is and where you take profit is actually going to see. Now in this dollar, check for example.
So we have to Duchy says he said. And then you’re looking for a touch to enter into the trade as well as the toothache happens, he concedes happened in this particular case at 120 140. We were selling, the price we are entering the trade. At market at 120 140 and Stop-Loss should be approximately in the strategy for our 10 to 50 pips above the trend line. Here we’re talking about a one hour chart and destructed the best on our charts. So here we were selling the pair 140 but actually why I choose this example is because here we also have hindered M.A which is also very visual. Also provide a very strong resistance to talk to any more. That has a tendency to go higher. So what is actually advisable here is that you use both these lines as resistance so you’ll set the trend line at one point month 40 but you put your of actually above the annd a hundred. Why? Because the price may move briefly above the trend line and then react and turn over opport patching the hundred. So here you would put your stock lots approximately. Four fifths of about moving average and you can see here that what happens is the price matched the trend line and then returns returned back. Of course it rotated back over

So often who is identified or stop off now. You are trying to identify your take profits high risk reward ratio is what you actually see here so what you what are you risking in order to gain something. And it should be at least two point 5 1 a while, anything off 2 2 2 2 2 1 is actually extremely profitable. So here we are receiving more or less let’s say 25 beats orders to gain 75 how he identified the state profit. Well, after we didn’t front their stock losses. Actually, we are looking to make some profit in the straight. So if you’re looking to risk 35 fixed again 25 but if looking to gain for example, at least 40 50 deals in this particular example, we have a report here, which the horizontal support you see that the price touched the trend line here and then rotated back over and then the inbounds from this 120 60 level which immediately becomes support for us looking to target that spot again. And this is actually what happened in the end. Of course at this point we don’t know this is going to happen, but since we had that we show that the price has bacon is one point sixty.

We know that there’s going to be some movement and some interest in buying the Eurodollar this particular price. So the advice will be to take your profits close to this level not exactly to get to this level, but actually 4 5. And if you did this in this particular trade you would risk as I say around 85 peeps and you’re going to be around 75. 75. it’s another example, if I were to show you is a bit different. It’s Dollar and different because it has many patches. It has many patches and the second rule of the strategy is that the more patches on the trend line the better. So it’s much better if you have a trend line that connects four or five patches and if you have a president with two patches it’s more it gives more validation to your strategy. So here you can see the stock from here the total vote to the actual improvement. And then we have a couple of factors here. Here you can see four white patches where we clip the trend line, but the trend the trend is still not broken. It’s important to say that because either the trend line is broken or even we have a clear close up or in this particular case below the trend line. In that case we can see the trend line has been broken. So here we see multiple patches. And as I said as of Pekkanen poetry you can actually start thinking about entering even it’s great. Eventually I put a. Patch number five here because as I said the more patches you have the better. So a few if you analyze these price more and so forth that as you say on camera we’ll do another. Another test of this importance and we’ll see the trend and you will enter into the trade here. So you enter let’s say around 1 0 8. And then you let us say ideally since we don’t have anything be more turnover any kind of support will the trend line. Dan be arguing around 10 to 15 pips or caution. In order to defend against these fools Bridge that actually happened here. So this is why this is extremely valuable to do to us because it shows us that we brought below the trend lines for the price traded below the turnover but it’s been looked. You see the closes the actually created for the breakdown and then the price rebounded sharply higher. So here we’re buying at 1 or 70. You give us I said you can depending on the rescore risk management I will by 10 to 15 heaps of Stop-Loss here I put 13 Starplus and then your your your take profits will be the first Easton’s that you identified in this in this particular example, we see here to actually and he’s one or 1893 which was horizontal support and horizontal resistance so here we are looking to this particular example.Very interesting piece in order to gain twenty two and each is around one point seventy one or one point eight to one. Of course you did not know that the prices moved all over 200 Emmi if you wanted to be more aggressive. Of course you could target this area here. But as I said if you want to really keep it simple just target first burst or resistance or support that comes next. So Terry just does a quick recap. Triqui rules are identified the single or something highs in the sense that we’re seeing both. Second of all is that correct. If you need to collect all the singles and swing highs and the more batches the better. So in this case, it’s fifth that you’re trading in the dollar simply the third. And the third rule that is you need to buy again that trend line. It’s a bullish trend line or need to sell against the trend line. If it’s if it’s a bearish trend line, it’s a great strategy since as I said it offers a clear area or risk. We’re out with the trade. And you don’t really have to. We will have to really over analyze chalk to see where are wrong because if the price moves the price the price trade friendly dips below trend but then obviously we’re wrong and it’s again depends on you how aggressive are trading. But. It also can provide you a very good at least risk and reward. I hope I was very clear. Thank you very much and have a nice day.

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