Taking quick pips on long term trends

"The trend is your friend" as they say. Well lately I have been looking at long term trends I look at the daily, 8 hr., 4 hr., 2 hr., then the 1 hr. trend. If I see that there is no resistance or support on these charts that may reverse that trend then I go to my short time frame charts and look for an opportunity to trade in that direction taking at least 10 pips. I will close at my limit of 10 or I will close at the next support or reisistance level on my short time frame charts.
Has anybody been trading this way that may have some advice or perhaps shed some light on what type of indicators that help you out on an entry or exit? Thanks.

Hi Schlaps
I trade only m5 and sometimes m1.I refer to the longer term trend, in my case 1hour and will trade both ways but know which is safest and likely to give me more pips. One thing I use on all my timeframes is 21ema. I use longer emas on faster charts to represent the 21 ema. For example a 105ema on m1 shows me the 21ema on m5 but only need one chart. It can get busy if you add too many emas but saves flicking between charts. Same thing on cci also.

I will aim for a 20 pip trade on m5 on eur/usd but take 10ish if I see it hanging around. No part entries or partial profit takes , just in and out. Will move my stop to b/even and try to trail it up if the pa looks good but usually like to get 20 in the bag first.

This is very effective method. I use it with no indicators or even any formal way of reading PA. But it is very important to note where market is trying to push itself. Once you know who of the bulls or bears is stronger (depending on the trend direction you are playing), then just wait for a break in your direction. In and out in minutes with heaviest position you can afford.

Hi schlaps,

I used to trade the 5 min chart using hourly charts to guide me with the trend but to be honest it is very time consuming and a stressful way to trade. I still trade with the trend but not on anything below a 1 hour chart!

I would say that if you are looking to scalp 10 pips at a time then anything above the 1 hour timeframe doesn't have much relevance to you because there will be plenty of ten pip moves in both directions regardless of the long term trend.

Also, I have found that when you are trend trading the best exit strategy is to trail your stop loss rather than use a profit target!

I hope that is of some kind of interest to you!

Regards,

Dan

Takes a lot of experience, I guess. I get caught about as much as win big doing this approach.

edit: Sorry, I did it without the TFs lineup. Will try it.

Thanks for your replies,
I've been handling my trades pretty much like Chicky has, just waiting for the break usually at support/resistance on the smaller charts. That is why I go to the longer time frames to pick the major support or resistance to find the exit points. I also only trade in the direction of the trend to lower the probability of losing a trade.
My entry depends also on my Slow Stochastics modified at 5 periods because it is more finely tuned at distinctive turns.
To find out where the Bear/Bull push is at I refer to my longer time frames to see what direction the market push is at. If anyone has a better way of determing that I would like to hear it. I don't like to trade during a major economic indicator because I have seen it too many times go the opposite direction than it is suppose to.
I also use a Bollinger Band (20,2,2) to determine direction of the move.
I do most of my trading at work on the GFT web-based platform which doesn't utilize trailing stops. I wish they would but they don't so I am trying to get used to the Dealbook360 at home to use a trailing stop which I truly believe in.