Many people are looking to follow the trend. However, the big cats use a good risk reward ratio and pick Tops and Bottoms.
I am looking for a strategy to pick tops and bottoms instead of following the trend. Any idea? So far, the double bollinger band strategy from Kathy Lien, seems to be great.
Forget top’s and bottoms(in my opinion) go for profit in between.Enter your trade whether trend is up down or sideways. Use Support and Resistance if it’s sideways and Fibonacci if it’s a trend. Set your stop, make your entry & your take profit and after x amount of tips (you decide) in profit switch from a fixeed stop to trailing stop.
Again my opinion.
Gp
Your welcome. In addition to my original post I meant to mention, you could also use Moving Averages in your analysis. One of my default settings when I’m trading on the one hour time frame is 3 moving averages if price is below 21, 13 & 8 I’m looking for sell trades, the other way would be buys . I also use the 200 on longer time frames. Again keep in mind nothing works all the time. Protect the trading account first before anything.
Gp