Advanced strategy #10 (Trend Line Trading Strategy)

I think the performance is incredible Myronn, I'm sure as you gain experience you'll improve your trading of this system. Even if you don't make any more gains for this week you'll still have a 100% a month which is excellent. Congratulations!
I think at this point you should try to protect your gains a s much as possible and only risk a small amount say 1% per trade till you get back to making gains again at which point you could go back to the 5% per trade risk.

Burt

Hi Myronn,

Thanks a million. Yesterday, I tried to use this strategy in smaller timeframe to earn 30+ pips on 1 min chart in my real account, which based on 5 min to look at the trend, 4 wins out of 5 trades within 3 hours. This is a great system to catch up opportunity for "buy low sell high" and obey fundamental rule "trend is your friend".

One key point: For short strategy, I prefer to set a trailing stop few pips about lower high if price is favour to my entry point, vice versa for long. This is a more conservative and safty to improve your winning rate. In real trade, I think winning confidence is more important than money.

Regards
Cody
From Hong Kong

Hello all,

I have attached 2 charts showing a little tip on trade entry that I use.

The first chart shows entry in the 1hr timeframe (TF) and that would have provided only 2 valid short entries at point 3 & 4. The second chart shows the same pair in 15min TF and that shows 3 valid short entries at (3), 3, 4. See charts for details.

Hope you find this useful.

Regards

Myronn

Hi Cody,

good to hear what you have done. Keep it up.

Regards

Myronn

Hi Myronn,

Thank for your sharing. I find that it's not easy to drawing good trendline sometimes. Any rule should we need to follow??
1. How could we draw a valid and accurate trendline?
2. When should we adjust the trendline if price breakout the trendline?
3. Sometimes, there may exist main trendline and minor trendline in 1 hour graph, will you trade in minor trendline?
4. Sometimes, there may have upward and downward trendline at the same time (say triangle pattern), how to determine long or short?
5. In general, should we always waiting point 3 to entry? I found that the probability that trend will be reversed if more points touch the trendline. Is it true?

Regards,
Cody

Hi Cody,

(1) understanding the concept of a trend: uptrend=higher swing highs & higher swing lows & downtrend=lower sing highs & lower swing lows makes it easier to draw a trendline. all you do is connecting significant swing highs/lows.

(2) when a tredline is broken significantly, the may signify a change in trend OR just another swing high/low formed but will head back in the previous direction. since that trendline is violated, you need to adjust your trendline to what "new" info you have now.

(3)If you have read, Grant's explanation previously about FRACTALS, this is the same thing here:minor trends within the main trend. what you see in the smaller timeframe is a minature representation in the larger timeframes. Yes, I do trade in the minor trends within the 1hr. I use 30& 15min minor trends & for entry, I swith to 5min TF.

(4) When a triangle formation is happening, that is two trendlines convergin together, I place trade in the direction of the MAIN TREND because I have observed that is what seems to happen most of the time. but if I am unsure of what direction, I stay out.

(5)You can enter at point 3, and any other swing highs/lows that form after point 3. But If you really want to ensure confidence in you entry at these points, it would really pay to have some good understanding of candlestick formations as well as a good understanding of the major fib levels. Yes, the market will go wherever it pleases and sooner or later the trendline will be broken after being "tested" many times in the past.

hi Myronn.

you said you started off with a 5000$ a/c. i would like to know if you opened a mini a/c of lots 10K, or a standard a/c of lots 100K. am asking because your results got me wondering.....15K dollars in a month or so?
anyway, if it is a mini a/c, how many lots do you buy or sell in your trades?

joegathu

Myronn

your a champ...assuming your are from W.A? not one of those wise men from the east :)
Every trading book I have read tells you to let profits run and I have to admit that when taking set pip profits I tripled my account in 2 weeks of careful trading. Then greed also got me...let the profits run they cry...oops.
I was simply trading support/resistance and triangle breaks. New it was too easy to be true.
Still not bad but not enough rules in my strategy to protect profits.
I use IG here and they do not have the swing zz indicator...do you know if this can be applied?
I have tried to download links from yours and Edwards posts but to no avail.

ps...this is a very good site guys...congrats Edward

debono