Steep TL Breakout Method
Since I am not in a trade I also want to teach you my Steep line entry.. You can include it into the system. It is a separate rule that works by itself.
1) We must wait to see MACD, Stochastics or RSI or whatsoever divergence first!
2) Once we see divergence we draw a steep line from highest candle wick top to outest candle body of some of the lows so that there is no candle body sticking out of the line.
3) Now we just wait for a candle close outside of this line: shows weakness in trend!
4) The candle that closes outside: put a horizontal line on its body top! I assume it is a bull candle and so we use closing price.
5) Also put another horizontal line on the "body" half of its preceding candle.
6) Try to catch a long trade when price comes back to this zone!
For example at this moments there is no candle closing outside of the steep line on H1. So I just wait.. If divergence gets overwritten by further drop we cancel this sort of setup!
Once you get the logic you can use this steep line also to stay in a trend. Since why would I close my trade when candles have not even closed outside of this steep trendline eh? That way you stay also away from closing trades early because of fake divergence!
Stay Green
Since I am not in a trade I also want to teach you my Steep line entry.. You can include it into the system. It is a separate rule that works by itself.
1) We must wait to see MACD, Stochastics or RSI or whatsoever divergence first!
2) Once we see divergence we draw a steep line from highest candle wick top to outest candle body of some of the lows so that there is no candle body sticking out of the line.
3) Now we just wait for a candle close outside of this line: shows weakness in trend!
4) The candle that closes outside: put a horizontal line on its body top! I assume it is a bull candle and so we use closing price.
5) Also put another horizontal line on the "body" half of its preceding candle.
6) Try to catch a long trade when price comes back to this zone!
For example at this moments there is no candle closing outside of the steep line on H1. So I just wait.. If divergence gets overwritten by further drop we cancel this sort of setup!
Once you get the logic you can use this steep line also to stay in a trend. Since why would I close my trade when candles have not even closed outside of this steep trendline eh? That way you stay also away from closing trades early because of fake divergence!
Stay Green
Be a seer, not a looker!
Ata's Trend Hunter V3.6 All Time Return:
0.7%
7