[Strategy] Trend Re-Entry Strategy using a Stoch and Zero Lag MA
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Trend re-entries can be hard. The difficult part is knowing if price will continue to pull back or will it shift back into the original direction. This is a strategy with some extra notes to help you understand
1. The Original entry 2. The Re-Entry 3. Is my trend ending
In the video I show you how to adjust the settings for a 5 minute chart on both indicators.
Long Entry rules: You have 3 MAs. The longest one is your support and resistance The other two are your "trading" and "trending" MAs If price is above your support and resistance, your trading and trending should be right side up. If price close in between trading and trending, the stocashi should be at a low point. It needs to arrive at this low point by previous crossing down through its midline.
**If it did not cross down through its midline, there is no entry here** Once price closes above the trading MA, you should have a rising stocashi from its valid low point.
During this uptrend, each time price pulls back in between the trading and trending MAs, the Stocashi should be at a valid low point. Re-enter your long trade as long as: Stocashi made a valid low Price is closing above the trading MA Trading MA is above Trending MA Trending MA is above Support and Resistance MA.
You can reverse all of these instructions for taking short trades.
Potential Market Flip If you are getting consistent invalid lows on Stocashi while price is in a correct position, this means you are losing your trend, and you should wait for your price to close below the Support and Resistance MA. At this point your Trading and Trending MAs should be upside down. They do not always have to be BELOW the Support and Resistance MA.
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As informações e publicações não devem ser e não constituem conselhos ou recomendações financeiras, de investimento, de negociação ou de qualquer outro tipo, fornecidas ou endossadas pela TradingView. Leia mais em Termos de uso.