Trading method #3 (Trend Backstabbing system)
Submitted by User on June 25, 2010 - 15:02.
Submitted by Deo
Since lots of people are also entered in position against trend which might earn some good trades, I would like to take you thru one system, just opposite of your system with some addition and modification.
If it make sense please let me know.
Name: Friend (Trend) Backstabbing system .
Down Trend (Price below SMA 150) for long entry.( Less better success than shorts in up trend)
Up Trend (Price above SMA 150) for Short entry.(better success for shorts in up trend)
Objective: Quick Profit taking with tight stop loss by trading anti trend.
1. Mid way of Bollinger band
2. Upper Bollinger band
Do exactly opposite for going short in up trend.
ADX (14,1) had made recent mountain of hight of at least 45 and just started down hill.
RSI(3) had touched and recovered from line at 10.
Stoch(6,3,3) had crossed below 20.
Price had just departed from lower Bollinger band.
Upper bollinger band is at least 300 pip away
Stop loss 100 pip.