DislikedSounds good so far. Do you want to use stops order for entries or entry on close below the sup/res? Anyway, for me the main problem is: ok let's play like this but this was a near perfect scenario for this type of trading. But how do we jump in the trend at early stages? We can recognize a good one just after 500 pips or so. Would be useful do a backtest to understand how many trades can be set at be, just to have at least an expectation Tell me if i'm wrong. ThanksIgnored
And you are correct about this scenario. Almost perfect. Cherry-picked. But why is that a bad thing. Why do we always come up with a trading system and then hope it will work well. That's my point in "reverse" engineering. Design something that would have worked well in one of these "near perfect scenarios" and then use that moving forward.
As far as entering in trends at the early stages, we've established the break of the DC on the weekly would signify a new trend. Through a DC with a setting of 20 on a weekly chart and see how well that would signify the start of a tradeable trend. Granted, we'll start many that will either hit stoploss or perhaps get taken out at BE, but that's okay. That's why we're keeping our initial risk low so that we can be around for the long haul and be there when the super trends hit. There not as rare as you might think.