I have found this ABC trend trading strategy!

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moby1

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abc+trend+trading.gif



ABC Trend trading strategy is a great tool!
I enter the position after turn C is finished!
I put Stop lose under point C when trading up trend.
I put Stop lose above point C when trading down trend.

For target I use money managment 1:2,1:3.
If target is not touched and turn B is over, must flat the position.
---------------------------------------------------------------------------

I have try to trade this strategy and it is good when there is Hi volatility!
It works on all time-frames!
 
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This is a classic swing trading strategy. To make it work you must be disciplined enough to always respect the stop-loss. The only other difficulty is knowing where to take profits.

A 1-2-3 swing trading strategy is similar but entry is made on breach of the high of B, generating a long position.

Do not disregard counter-trend entries - they can mark significant trend-changes leading to large gains.
 
I see that 1-2-3 is break trough system. But ABC TREND TRADING strategy is to find entry into position near support or resistance line by using small time-frame to find bounce. Wave from C to B is the larger and we expect next B to be higher high if it's UP trend.Or lower low if it's down trend. Target could be money managment 1:2 or 1:3, or up-trend resistance line. But if we see the turn B is over and it didn't touch neither MM, or up-trend resistance line then we must flat the position no mater what!
 
Indicators like MACD (12,26,9)for divergence, and Stochastic(5,3,3) for crossover are necessary for confirmation!

MACD- telling us when we can expect trend to be over.
Stochastic- shoving when we can expect B and C turning points.
 
Very similar to the way I am trading.
Is there a reason why the chart that you use for demonstration is from 2 and a half years ago?
Is this some sort of indicator that plots the points for you?
If it is an indicator, does it repaint? If so how many candles after a swing high or low are required before the B and C points are permanent. Often indicators like this look fantastic on the back charts, but put out a lot of false turning points that subsequently repaint and disappear in real time.
 
GumRai said:
Very similar to the way I am trading.
Is there a reason why the chart that you use for demonstration is from 2 and a half years ago?
Is this some sort of indicator that plots the points for you?
If it is an indicator, does it repaint? If so how many candles after a swing high or low are required before the B and C points are permanent. Often indicators like this look fantastic on the back charts, but put out a lot of false turning points that subsequently repaint and disappear in real time.
Click to expand...

-Only reason is that fit into one screen with zoom!
- No this is no indicator, it is how I see the trend!
- question about candles- One certain fact is that price has 12 moves in one day! (Ideal number of candlesticks would be by DeMark 9 and 14). C2 would be the best choice to enter the market. (Check for high volatility).
-To be fantastic in the future you need to adapt this strategy with "trading on the news"strategy and that would be a 15 min time GAP.
 
Here is video example of ABC trend analysis
It is shown how to make ABC trend analysis with support and resistance lines.
It also includes marking higher high,higher low,lower high and lower low by using
letters A,B1, C1, B2, C2,Unsuccessful B, Cx etc.
 
moby1 said:
abc+trend+trading.gif



ABC Trend trading strategy is a great tool!
I enter the position after turn C is finished!
I put Stop lose under point C when trading up trend.
I put Stop lose above point C when trading down trend.

For target I use money managment 1:2,1:3.
If target is not touched and turn B is over, must flat the position.
---------------------------------------------------------------------------

I have try to trade this strategy and it is good when there is Hi volatility!
It works on all time-frames!
Click to expand...

Hi
how can I download the indicator
Regards
 
It's not an indicator but rather a tactic/strategy for trading reversals and has been in use for over a hundred years. The letters and lines are there to make you think it's more complicated than it is. All you have to do is draw a straight line.

See this post. Chart examples follow.
 
you do realize that a "straight line" is the MOST unsophisticated algo out there, right?
 
dbphoenix said:
It's not an indicator but rather a tactic/strategy for trading reversals and has been in use for over a hundred years. The letters and lines are there to make you think it's more complicated than it is. All you have to do is draw a straight line.

See this post. Chart examples follow.
Click to expand...

Are you talking about S/R lines or channels?
 
gerryg said:
Are you talking about S/R lines or channels?
Click to expand...

Neither. Just a simple line drawn under swing lows, if long. E. g., the "C" line in the posted chart. This tells you whether demand is stronger than supply. If long, that's really all you need to know.
 
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