Horizontal lines at points of swing high (resistance) and swing low (support).
Specially recent ones, and areas touched or rejected a few times.
(How else can you see support and resistance?).
Sorry, I don’t know how to post charts yet.
The trigger for the method I’m talking about is a pin bar on (or nearly on) the line, when the RSI confirms it - but it’s better explained in the post I put up a link for, in my post above. I do it with 1.5 reward to 1.0 risk as explained there, and have a good win rate. And sometimes a runner, too.
Well… if you noticed the price trend for the following years. In the past, trend is your friend. As of present, trend is not your friend. The market is fulled with tons of reversal, fake breakouts and a consolidation of previous trend which makes it harder for traders to identified a potential long term view.
We should understand and go with the trend otherwise it become too difficult for us to survive in risky market. We had to analyze the market and then make a plan that should be followed with full discipline to achieve our targets.
We had to trade with trend otherwise Forex market is full of risk and within seconds we may suffer from huge losses so first we should analyze over the market trend and then make entry to achieve our targets.
it is not necessary to trade always with trend. If you are not flexible not turn your trades when trend is suddenly changed you can face a big difficulty. I trade on base of my analysis , trend also count but I not go along with trend so far . there is no surety about movement so I have to see at what point I have to close my trades.
It’s not necessary, but unless you’re very experienced and a specialist at trading reversals or ranging markets, it’s obviously a way of increasing your chances of becoming a profitable trader.
I can’t rely only trend, I give my all efforts not only follow the trend, I make my own trading analysis and then follow the trend then I make the decision, trading with this way I am earning reasonable amount and enjoying.
Trading should be done with the aspect of trend because trend helps us to make right entry and generate the maximum profit as Forex market is full of risk and we may loss over all investment within seconds so we must trade with the trend.
I think alot of BP members would agree with that statement.
I dont always follow the trend myself, but I agree in principle with the concept. However, I believe that identifying the trend is easier said than done, mostly because its a matter of perspective.
Depending on the time frame used, section of a chart used, etc… multiple traders could analyze the same chart and arrive at different conclusions about the direction of a trend.
I also agree that trading is risky, but It takes much more than simply identifying the trend to minimize risk.
Trading with the Trend is the only way anyone should be trading, I feel so strongly about this I have a thread dedicated to it. But sadly the majority will think they are smarter than the market and go against the trend, this is called “calling tops and bottoms” and is why such a high percentage of retail traders lose money.
Now, this is all based on mid to long-term trades, if you are scalping or day trading ( very risky) then the trend is less important as you are just trading the daily range. Everyone has their own way of trading but if you are consistently losing money. You might want to try trading with the trend and play longer-term moves
Some of the resistance to trend-following has to do with the way we perceive charts. Even the best trend-following trade chart can look a bit of a failure - we always get in above the bottom and always get out after the top. But its weird that we all accept that trading is a probability game, not perfect mathematics, yet the cynics with their own agendas refuse to apply this principle to trend entry and exit. For them, if its not absolute perfection, its absolute failure.
The trouble is ‘trend’ means different things to different people. Price can be trending, often in different directions, on multiple levels. So, if I intend to capture a movement over the course of 3 hours, do I care about the W1 trend? Or the M1 trend? Probably not.
The question is should you really care about the trend at all… It’s such an over used, over exhausted retail marketing term that it’s been taken way out of context. At the end of the day a trend is perhaps the easiest element of trading to understand, so no wonder it does the rounds in all FX forums. It’s really just a small part of the bigger picture.
The fact that there are different trends over different time-frames isn’t a problem and it isn’t unique to tend trading. The same can be said for candlestick patterns and chart patterns of every variety.
I try to know trend ,without trend we can not do good trading. It should be in mind you can not go with trend. I experience suddenly trend is opposite and traders had nothing in their hand what to do .A managed trader remains between the trend to secure his trading.
Yes this is good way to go with trend in limits. When we are trading as market going we need to decide at right time to close positions never go and go with trend as it is moving. I normally gain some profit % ,It is enough for that day. Against the trend trading is not fruitful so go with it as much it is safer for you.
There is no straight line in a trend. You’ve to know that a currency or a market movement moves in a range bound cycle for years. Why would institutions adopt the Elliot Wave Theory into algorithmic systems? Because, it’s the reality. Look as far back into the Monthly timeframe and you’ll soon realize that it’s moving forward with ranging cycles.
