Hey all. I’ve just been recently looking at renko charting system. I haven’t tried trading it yet but looking at it it looks very nice in smoothing out some of the noise, but as we all know sometimes looks can be deceiving (or not). What are your opinions on this charting method? Thanks for any input.
i am using timeframe to determine trend and pullback, and use renko chart to entry
Hey @viperone39, Renko is good for removing noise from the charts… they also smooth out any Indicators that are used in conjunction with the Renko Chart.
Getting the size of the block right to smooth the direction is the hardest task… some strategies use the ATR, which can be hard to dial in as Renko Charts are not formed by time frames only distance moved… So which time frame do you derive the ATR to form the block?
Have a good look on YouTube as there is a great deal of varied ways to apply Renko to the currency markets with smooth and tradable results.
Renko charts did not work for me. I don’t use temporal charts either. Try line break charts or range charts. Both show price accurately, unlike Renko, and both help to smooth out indicators if you use them. Try also a line break setting on range charts.
Drop an 11 period wma and an RSI on these charts and you’re good to go. 