Hi. Please I need help with how to exit trends… Say I’m following a trend, how do i know when it’s best to exit it.
I use moving averages so I enter trends a bit late. Waiting for the faster ema to cross over the slower in the other direction doesn’t always work as most of the gain would have been cut (if not already heading into loss). Retracements too might cut profit as sometimes you see price continuing in your direction later.
Please drop any suggestion you have, I’ll be glad.
hi, i d suggest using volume. look up climactic volume( it s usually the last hurray of a move, up or down, which signifies the end of that move). it s what i use to get into trades and to get out.(also lack of volume might mean it s a good time to sit tight and wait). cheers
PS> u can use the volume indicator inside the mt4 platform, and yes it works even with tick data.
Personally I exit trends at the first signs of weak price movement or even after unusually strong price action. But my exit signal is also often an entry signal and I am usually able to immediately set a new entry order which will be triggered as price resumes its with-trend movement. So I might get out of a trend (and back in again) a dozen times at short intervals, that’s alright by me. But when the trend does end, I’m already in cash and the new entry order should not be triggered.
Maybe in your own style you see a way of trading like this?
Thanks guys. I’ll try out your suggestions
Exit on any trade or winning trade is when your TP is reached , I use a RR of 2:1 so I don’t have a specific pattern or candle that signifies it
“take profit will be always too late or too early”
think about it 