We are what we think; all that we are, arises with our thoughts; with our thoughts, we make the world.

Let’s start with an uptrend. As we are going up, the candles are waving up and down. To find a good entry to go up, we want to wait for the candles to go down, and start going up. After we see 3 candles of retracement, we draw a counter trendline (down) and wait for a good bullish candle to break this. We prefer a candle that is at least 75% body (25% wick).

We put our stop 10 pips below the low. We use fibs or support/resistance to determine our limit.

Or you can set a very high limit (1000 pips) and move the stop loss every time a higher low is formed. Then you can ride this wave as long as it lasts (surfing the forex)!  HANG 10!

Trading counter trendline breaks in an uptrend.

Trading counter trendline breaks in an uptrend.

Let’s go to the downtrend next. As we are going down, the candles are waving up and down. To find a good entry to go up, we want to wait for the candles to go up, and start going down. After we see 3 candles of retracement, we draw a counter trendline (up) and wait for a good bearish candle to break this. We prefer a candle that is at least 75% body (25% wick).

We put our stop 15 pips above the high. We use fibs or support/resistance to determine our limit.

Or you can set a very high limit (1000 pips) and move the stop loss every time a lower high is formed. Then you can ride this wave as long as it lasts (surfing the forex)!  HANG 10! (Can you hear the Beach Boys in the background… listen very carefully).

Trading the counter trendline break in a downtrend.

Trading the counter trendline break in a downtrend.

Share This:

Gold Trading GCC
Gold Trading GCC
2 Great trading tools
Forex Smart Tools
My Amazon store
Click here to view some amazing books and videos on Amazon.

This selection was handpicked by me.
Checkout another website
www.SafeJokes.com
This FREE website contains clean, safe jokes to get you laughing.