I wanted to share one of my top 3 favorite indicators with you....The Stochastic (STOCH). As a leading (vs lagging) indicator, it is perfect for beginners because you can find entry and exit signals with only a few key details.
Adding the STOCH to your chart: 1. Search the indicators for "STOCHASTIC" and click once to add to your chart. The only thing that I modify is the thickness of the lines but feel free to make further changes to your liking. 2. Make sure that the "indicators and financial values" option is ON. Right-click your scales, select labels, and make sure "indicators and financial values" is checkmarked.
Entry signals for a buy: - The STOCH is facing up - The fast line (blue) is above the slow line (orange) - The STOCH has crossed above the 20% level, from oversold, back into the blue-shaded area
Exit the trade or take profit once the STOCH has crossed back below the 80% level, from overbought, into the blue-shaded area.
Entry Signals for a sell: - The STOCH is facing down - The slow line (orange) is above the fast line (blue) - The STOCH has crossed below the 80% level, from overbought, back into the blue shaded area
Exit the trade or take profit once the STOCH has crossed back above the 20% level, from oversold, into the blue-shaded area.
I hope that this video helps someone become a more independent and profitable trader. Let me know in the comments if you try this strategy!
Thank you for the share! Very simple to follow and quite straightforward. Implementing a test now and looking back on my chart I can see several accurate trading points
MoneyMantraCha
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@cranky55, you’re welcome! I’m glad it was helpful :)
majidpourali90
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thanks for sharing.what time line is best?
MoneyMantraCha
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@majidpourali90, You're welcome! I have found this strategy useful on many time frames but I suggest you backtest it on the different time frames to see which works best for you. The 5-15 minute range may work best for you if you are a scalper. If you are a swing trader, the H1, H4, and Daily may work best for you. If you are a position trader, the 1D and higher time frames may work best for you. Good luck and happy trading!
gigistarr1221
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I read and watch for news early every single day .every single day I’m looking at stocks for months. But I just stay even.i believe my problem is I don’t have a plan.is that why I’m not getting anywhere?
MoneyMantraCha
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@gigistarr1221, I would recommend developing a clear strategy and plan. In my experience, the news is only one part of my analysis but having a strategy that includes strong technical indicators help. Try incorporating the Stochastic with your news analysis and see if that yields better results. Don't quit.
Destinified
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@gigistarr1221 I don't think so... you have to watch the video again.
From: FxWizard
Destinified
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@MoneyMantraCha From my experiences..... Indicators don't determine the Trends....the News always does.
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