NY
Experience: Advanced
Platform: Esignal, MBT navigator
Trading: Currencies
Posts: 2,507 since Jun 2009
Thanks Given: 1,396
Thanks Received: 2,576
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Its tough to define a trend because its a bit subjective and its always best to have your own parameters that define bullish , bearish or stay away conditions . Also , whatever you use to define the conditions - STICK WITH THE SAME DEFINITION for as long as possible and dont change it unless you have solid proof that its not strong . In other words define what you call a trend ( or bias , thats what I call it ) write it down and test it under all kinds of market conditions and when you have a lot of samples you can measure your results and then youll know exactly what to change and adjust .
What I have been using , and its good for a 5 min. , is just the 20 ema as a reference point . Then when an entire bar manages to trade above or below the ema without touching the ema then thats the direction I look to trade and enter after retracements occur . When an entire bar trades on the other side of the ema without touching it then ( to me ) the trend has changed direction . Its simple and effective and easy to repeat over and over again .
If I was trading CL though I would read and digest Jeffs AYN thread and adapt it to my tastes cause that guy kicks the CLs butt most days .
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