Dear Master SwngMan,
I few queries and hope you can clarify them regarding trade signal readings.
I’m planning to execute trades on the D1 timeframe, and I’ve been closely studying the trend and trade panels.
Example 1 – XAUUSD (Gold)
I few queries and hope you can clarify them regarding trade signal readings.
I’m planning to execute trades on the D1 timeframe, and I’ve been closely studying the trend and trade panels.
Example 1 – XAUUSD (Gold)
- The top-left trend label shows all three timeframes (W1, D1, H4) are short.
- Current price from the Data Window: 3358.89
- The top-right Trade Signal Info panel shows:
UAUUSD UTF
SELL STOP: 3363.00
Stop Loss: 3340.54
Break Even: 3362.80
I think the above signal is from the MTF indicator.
Here’s where I’m confused:
- A Sell Stop is typically placed below the current price to trigger a sell when price falls. But here, the Sell Stop is 3363, which is above the current price (3358.89).
- I can understand if we’re waiting for price to go up to 3363 and then trigger a Sell Limit , that would make sense because Sell Limits are placed above the current price. But calling it a Sell Stop is what’s confusing me.
- Also, the Stop Loss shown is 3340.54, which is below both the current price and the entry. In a Sell trade, the Stop Loss is usually above the entry. The level 3340.54 looks more like a Take Profit, not a Stop Loss.
Example 2 – USOIL (H1 chart)
- The Trend Panel shows H4, H1, and M15 are all short. I also checked D1, which is also short.
- Current price from the Data Window: 75.998
- The top-right Trade Signal Info panel shows:
BUY STOP: 76.513
Stop Loss: 75.638
Break Even: 76.533
Again, I’m a bit confused:
- A Buy Stop should be placed above the current price to trigger a buy when price rises — and in this case, 76.513 is above 75.998, so that part is okay.
- However, since all higher and lower timeframes are short, it seems contradictory to suggest a Buy Stop.
- If this were meant to be a Buy Limit, the level 76.513 would need to be below the current price , which it is not. So I'm unsure whether the label is correct or if the logic behind the suggestion is misaligned with the current trend.
I’m quite sure I’m misinterpreting something and would really appreciate any explanation that could help me better understand how to read and act on these signals and have also atatched an image for BUYSTOP/SELLSTOP vs BUY LIMIT/SELL LIMIT from this STOP Order Vs Limit Order
Apologies if I’m posting too frequently , it feels like I might be the only one currently studying this wonderful system .
Also, I’ll admit I’m probably what you would call a "lazy trader" ![]()
I encourage other silent readers to join in, asking questions and sharing experiences helps everyone learn.
Best
EN