RSI Trading Strategy โ Master The 80-20 Strategy (Updated 2024)
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading Rsi Trading Strategy- 80-20 Rule](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2018/01/80-20strategy.png)
Looking for a trading strategy that uses the Relative Strength Index (RSI) indicator and price action analysis? The 80-20 RSI Trading Strategy may be worth considering. This article will provide you with step-by-step trading rules to help you identify great trade entries and potentially improve your trading results.
Before we begin this Ultimate RSI Trading Strategy Guide we want to welcome you to the best source of trading ideas and strategies on the internet.
Are you new to Trading Strategy Guides? Welcome! We hope you find everything you are looking for.
If you consider yourself a trading newbie we recommend you check out the What is Trading Beginnerโs Guide: youโll learn a ton of great info about understanding financial markets, trading platforms, and how to start your career as a trader.
Additionally, if you are more experienced and are looking to take your trading to the next level, we highly recommend our Prop Trading Beginnerโs Guide, this is a great place to help traders find the information needed to enter the world of prop trading.
Now that we got that out of the way, letโs continue!
Table of Contents
Intro โ RSI Trading Strategy
The RSI Indicator is one of the best technical indicators for traders. We have developed the 80-20 Rule Trading Strategy that uses the RSI indicator. It involves price action analysis, which will help you land great trade entries! This RSI trading strategy is as useful as the RSI 2 trading strategy, which was developed by Larry Connor [1]. However, this strategy strictly trades reversals that occur in the last 50 candles.
Read the entire article for all of the RSI trading rules and trading tips. Understanding the rules of these trading strategies will help you trade this strategy for the highest level of success. We also have training for the best Fibonacci Trading Strategy. Below, we will discuss the most important things you need to know about trading with the Relative Strength Index (RSI) indicator.
RSI Trading Basics
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading Rsi Trading Strategy - Trading Basics](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2018/01/Relative-Strenght-Index-.png)
Using the Relative Strength Index, you can identify whether a price trend is overbought or oversold. The 80-20 RSI Trading Strategy is used as an RSI stock strategy, RSI forex strategy, and an RSI options strategy.
The 80-20 part of the strategy simply refers to the threshold levels of the RSI oscillator, also known as the overbought and oversold zones. When the indicator signals above 80
Is RSI a Trend Indicator?
The RSI is one of the most common trend indicators you will find online. It is a key component of many trend trading strategies. It can also be used with your forex trading strategiesย if it is your market of choice.
RSI stands for the relative strength index. It is a momentum oscillator that shows you the strength of a given trend through its overbought and oversold levels. Before you start trading with our entry signal, we will cover a few key tips to help improve your trading.
For this specific strategy, we recommend using the daily charts to find the best opportunities. Our Strategy can be used with multiple time frame analysis to dial in your entries and make them more accurate.
RSI Strategy for Swing Trading
Swing traders attempt to capture medium-term changes in the trend over a few days. And, the RSI indicator is a great additional tool to help us gauge the constant ebb and flow of the price action.
For swing trading, the most commonly used trading method is the RSI overbought/oversold strategy.
But, here is the issue with this approach:
Everyone is using it!
When everyone uses the same trading strategies, they eventually stop working overtime.
Now you might be wondering:
โHow to use RSI in swing trading?โ
The RSI trendline method is the most effective way to capture swing trades.
However, before we get into that, we need to make sure the RSI indicator is in tune with the medium-term swing trends.
Without correct settings, even the best trading ideas can end up in disaster.
Now, you might be wondering:
โWhat are the best RSI settings for swing trading?โ
The best setting for swing trading is 20 periods. The RSI 20 periods encompass a full month of price action activity, which is just enough to be in tune with the medium-term trends.
Nowโฆ
The RSI swing trading strategy revolves around trading RSI trendline breakouts. The break of the RSI trendline will be used as a buy and sell signal as follows:
- For sell, signals draw a rising trendline on the RSI oscillator by connecting two or more bottoms
- For buy signals draw a falling trendline on the RSI oscillator by connecting two or more tops
Hereโs what I mean:
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading Rsi Trading Strategy Is Effective](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2018/01/RSI-Strategy-for-Swing-Trading.png)
Usually, the RSI trendline breakout precedes the price, because momentum precedes price.
By this, youโll ensure youโre one step ahead of the retail crowd with your entries.
Nowโฆ
Letโs not forget about day traders.
How are day traders going to use the RSI trading strategy?
See below:
RSI Trading Strategy Intraday
For intraday signals, we need to make the RSI indicator more sensitive to short-term price action.
This means that the best RSI setting for day trading is 9 periods.
Why RSI 9 periods?
Itโs not just because itโs more sensitive to the changes in the price, but it also ensures it encompasses enough price data so that itโs relevant. Otherwise, you might end up with a fast-paced RSI that is not that reliable.
Now, if youโre a high-frequency trader you can use a short-term period if the RSI is applied on the 5-minute chart or even the 1-minute time frame.
The RSI settings for the 1-minute chart that we prefer are 4 periods.
Next, weโll teach you a very unique way to use the RSI indicator to improve your day trading game.
Here is what you need to do:
Plot the 4 periodsโ RSI over the 9 periodsโ RSI on the same window and watch for buy and sell crossover signals.
You probably never heard you can overlay two RSI oscillators with different periods on the same window. But, this is possible with most trading platforms including TradingView and MetaTrader 4.
The RSI trading strategy intraday is straightforward:
- When the short-period RSI (RSI 4) crosses above the long-period RSI (RSI 9), itโs a buy signal if the crossover occurs below the 30 level.
- When the short-period RSI (RSI 4) crosses below the long-period RSI (RSI 9), itโs a sell signal if the crossover occurs above the 70 level.
See the example below:
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading 5 Day Rsi Strategy](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2018/01/RSI-Trading-Strategy-Intraday.png)
Nowโฆ
Letโs not forget about cryptocurrency traders. They also deserve some nuggets. Although crypto traders can easily use the above RSI trading strategies, we have something that is adjusted to the volatility of the cryptocurrency market.
See below:
RSI Trading Strategy Crypto
The RSI trading strategy is effective for cryptocurrencies as well.
We come up with a trading strategy that focuses exclusively on the cryptocurrency market.
If you want to learn more about it, make sure you click here: Amazing 2-Period RSI Day Trading System.
What is RSI?
RSI Trading Indicator Used for Strategy
The RSI indicator is one of the most popular indicators used by traders in any market, such as stocks, foreign exchange (forex), futures, options, and more. What is the RSI (Relative Strength Indicator)? This indicator was developed by Welles Wilder around 1978. It quickly became one of the most popular oscillator indicators for traders in financial markets.
This momentum indicator can fluctuate between 0 and 100 providing overbought and oversold signals.
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading Rsi 2 Strategy](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2016/12/b.png)
The formula for this indicator is a bit complex:
I could explain this whole process to you. However, I will spare you the details. I want to share this with the mathematicians that are reading this and enjoy equations. You can do a quick google search if you would like to learn more.
Forex Trading Indicator Settings
The default setting for this indicator is a smoothing period of 14. We are going to change that setting to 8. Make sure you turn this setting before you jump into this strategy. The reason we prefer eight instead of 14 is because the RSI will be much more responsive.
Responsiveness is critical when we are looking for overbought or oversold conditions and readings. Also, go into the RSI setting and change the threshold lines in the indicator to 80, and 20. You will learn more about this later.
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading Larry Connors Rsi 2](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2018/01/larry-connors-rsi-1024x372.png)
How to Trade with the RSI Trading Indicator
This indicator will be the only indicator we use for this strategy. This is because we have a strict set of rules to follow before entering a trade. And these rules will, without a doubt, validate a reversal for us to open a trade. Below is another strategy on how to apply technical analysis step by step. Before you use this strategy, make the following changes to the RSI indicator:
Adjustments:
- 14 period, to 8.
- 70 and 30 lines, to 80 and 20.
- This indicator comes standard on most trading platforms. Youโll just need to make the adjustments above.
RSI Trading Strategy
Step One: Find the currency pair that is showing a high, the last 50 candlesticks. (OR low depending on the trade)
The 80-20 Trading strategy can be used for any period. This is because there are reversals of trends in every period. This can be a swing trade, day trade, or a scalping trade. As long as it follows the rules, it is a valid trade. We also have training for Forex Basket Trading Strategy. In this step, we only need to ensure it is the low or the high of the last 50 candles.
Below is an example:
Note** We will use this same example to explain this strategy. This is a USDCHF currency pair and will be a BUY trade.
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading Best Forex Indicators Free Download](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2018/01/rsi-indicator.png)
Once we determine this low or high, then we can move on to the next step. I drew vertical lines on the price chart so you can see the 50 candle low that we identified. If you need to use horizontal lines on your chart to verify that the candle has closed the lowest of the last 50, you can do so. This is not necessary but may be helpful for you to do and see how strong the trend is.
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading Best Forex Indicators For Scalping](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2018/01/what-is-rsi.png)
Step Two Using the RSI Trading Indicator:
When we find a 50 candle low, it needs to be coupled with RSI reading of 20 or lower. (If itโs high it needs to be combined with the RSI reading 80 or higher.). Below we have a reading that hit the 20 line on the RSI and was the low of the last 50 candles.
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading Proven Best Forex Indicators](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2018/01/rsi-indicator-forex.png)
Once we see that we had a low, the last 50 candles, and the RSI is BELOW 20, we can move to the next step. Remember that this strategy is a reversal strategy. It is going to break the current trend and move the other direction.
Step Three: Wait for a second price (low candle) to close after the first one that we already identified.
The second price low must be below the first low. Although, the RSI Trading indicator must provide a higher signal than the first. Remember that divergence can be seen by comparing price action and the movement of an indicator. If the price is making higher highs, the oscillator should also be making higher highs. If the price is making lower lows, the oscillator should also be making lower lows. If they are not, that means price and the oscillator are diverging from each other. This is why itโs called โdivergence.โ
Just because you see a bullish or bearish divergence, doesnโt mean you should automatically jump in with a position. We have rules in place that will capitalize on this divergence so that we can make a significant profit. Keep in mind that this step may take time to develop. It is very important to wait for this second low because it gets you in a better trade making position.
This sounds a bit complex, but think of it like this:
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading What Is Rsi](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2018/01/rsi-trend-indicator.png)
Price goes down/RSI goes up. That is the Divergence. Remember that our example is a current downtrend looking to break to the upside. If this was a 50 candle high, we would be looking at the exact opposite of this step. With that said, letโs take a look at our chart.
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading Divergence Trading](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2018/01/divergence-indicator-mt4.png)
Once this criterion has been met, we can go ahead and look for entry. This is because the charts are showing us that a reversal is coming soon.
Step Four: How to Enter the Trade with the RSI Trading Strategy.
The way you enter a trade is very simple. You wait for the price to head in the direction of the trade and wait for a candle to close above the first candle that you identified that was previously 50 candle low.
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading Rsi Trading Strategy](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2018/01/rsi-forex-strategy.png)
If you are struggling with this step, save the picture for reference. This will help guide you when looking for a trade.
Step five: Once you make your entry, place a stop loss.
To place your stop, bump back 1 to 3 time periods and find a reasonable, logical level to put your stop. You are looking for prior resistance and support.
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading Rsi Trading Strategy](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2018/01/how-to-trade-with-rsi-1024x479.png)
We placed our stop below this support area. That way if the trend continued and did not break, it could hit this level and bounce back up in our direction.
I recommend you follow at least a 1 to 3 profit vs. risk level. This will ensure that you are maximizing your potential to get the most out of the strategy.
You can adjust some of the parameters as you wish in order to optimize the strategy. Keep in mind that most successful strategies that identify breaks of a trend use a 1 to 3 profit vs. risk level. Here you can learn how to profit from trading.
Conclusion โ RSI Trading Strategy
The RSI trading strategy is a popular and effective system. It is used by traders to identify overbought and oversold conditions in the market. With the use of the RSI indicator, traders can make informed trading decisions and increase their chances of success.
Traders should consider other indicators and factors, such as market trends, news events, and risk management strategies, to make well-informed trades.
Through practice and experience, traders can fine-tune their RSI trading strategies to achieve consistent profits.
At Trading Strategy Guides, we provide valuable resources and information to help traders improve their skills and develop successful trading strategies.
To recap, here are the rules of the strategy:
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading Rsi Trading Strategy - Pdf Trading Rules](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2018/01/rsi-trading-strategy-rules.png)
Thank you for reading!
Please leave a comment below if you have any questions aboutย RSI Trading Strategy.
We also recommend taking some time to learn about our mean reversion trading strategy.
-Trading Strategy Guides
Further Reading
If you enjoyed reading about the RSI trading strategy, you may also find the following articles interesting and informative:
What is Prop Trading: This article helps you understand the concepts of prop trading and how it can help you achieve financial stability.
What is Trading: This article provides an overview of financial markets and helps you understand their differences, and learn all about trading them.
Forex For Beginners: If you are new to Forex Trading, this article will help you learn the basics of Forex Trading and become a pro-Forex Trader.
Risk Management Formula: This article explains how to use Sharpe ratios to get a good understanding of how to best manage risk with your trading strategy.
Forex Day Trading: Learn the art of day trading Forex and become the prop trader you always wanted to be with this informative guide.
Sources Cited
RSI Trading Trading Strategy Free PDF
Please Share this RSI 80-20 Trading Strategy Below and keep it for your own personal use! Thanks, Traders!
![Rsi Trading Strategy - Master The 80-20 Strategy (Updated 2024) -- Rsi Trading Strategy,Rsi Strategy,80-20 Rule,80-20 Trading Strategy,Rsi Trading Rsi Trading Strategy Free Pdf](https://eadn-wc03-4272332.nxedge.io/wp-content/uploads/2016/12/RSI_Trading_Strategy01.jpg)
Frequently Asked Questions
What is the RSI indicator?
The RSI (Relative Strength Index) is an indicator for technical analysis trading strategies. The tool measures the strength of price movements over a given period. Overall it is used to identify potential overbought or oversold conditions in the market.
What is the RSI 60 40 strategy?
The RSI 60 40 strategy is similar to many other RSI strategies. On the RSI oscillator, the 60 line indicates overbought, and 40 is oversold. When the indicator is above 60 enter a short trade and when the indicator drops below 40 and enter a long trade. Just like with any other indicator, you should be using other indicators and technical analysis to confirm signals.
What is the best indicator combination with RSI?
There really is no best combination of indicators to use with the RSI. It can be used in combination with any number of technical indicators such as moving averages, Bollinger Bands, and MACD. It can also be used in conjunction with fundamental analysis to identify potential trading opportunities.
What is the success rate of the RSI Trading strategy?
The success rate of an RSI trading strategy will depend on various factors. The time frame used, the market(s) being traded, and the specific trading rules being employed. Additionally, the traderโs skill level, trade management, and psychology, all play into the effectiveness of any trading strategy. However, the RSI trading strategy can be profitable for any trading with discipline and practice.
What are the best RSI settings for a 1-minute chart (Day-Trading)?
The best RSI settings for a 1-minute chart will depend on the traderโs preferred trading style and market conditions. However, a common RSI setting for a 1-minute chart is 14 periods with oversold and overbought levels set to 30 and 70, respectively.
Some traders may prefer to use shorter or longer periods depending on the market they are trading, their risk tolerance, and their trading goals. It is important to test different RSI settings on a 1-minute chart to find the best one for your trading strategy.
Additionally, it is usually recommended to use other technical or fundamental analyses in conjunction with the RSI to confirm trading signals and avoid false breakouts.
What are the best RSI settings for swing trading?
The best RSI settings for swing trading may vary depending on the traderโs preferred time frame and trading strategy. Some commonly used RSI settings for swing trading, however, include using a period of 14 with overbought and oversold levels set at 70 and 30, respectively.
Traders are also encouraged to experiment with longer or shorter periods to suit their trading style and risk tolerance. Itโs important to note that RSI should not be used in isolation and should be combined with other technical and or fundamental analyses for more accurate signals.
Is RSI a good trading strategy?
The RSI indicator is a useful tool for traders and can lead to profitable strategies. It most likely will not prove profitable if used solely by itself in a trading strategy. Like most lagging technical indicators, t is best used in combination with other forms of technical analysis, as well as fundamental analysis.
How is the RSI indicator calculated? (RSI Formula)
The RSI indicator formula takes into account the average price increases and decreases over a selected time period. The formula is as follows: RSI = 100 โ (100 / (1 + RS)), where RS = (Average Gain / Average Loss) for the specified period.
What is the best trading strategy for RSI?
The 80-20 RSI Trading Strategy is considered one of the best trading strategies for RSI. This strategy uses the RSI indicator to identify overbought and oversold conditions in the market. The goal is to enter trades when the RSI indicator reaches extreme levels and then look for price action signals to confirm the trade entry.
To implement this strategy, traders can use the 8-period RSI indicator and set two threshold levels at 80 and 20. When the RSI crosses above 80, it indicates an overbought market, and traders should look for sell signals to enter a short trade. When the RSI crosses below 20, it indicates an oversold market, and traders should look for buy signals to enter a long trade.
Traders should also use additional technical analysis, such as moving averages and price action, to confirm the trade entry and increase the probability of a successful trade. Itโs important to note that while the 80-20 RSI Trading Strategy can be highly effective, itโs not a foolproof strategy, and traders should always use proper risk management techniques to protect their capital.
What timeframes can the RSI strategy be used on?
The RSI strategy can be used with any timeframe, from short-term intraday trading to longer-term swing trading. Traders often adjust the RSI period to suit their preferred time frame. For example, a 14-period RSI may be suitable for daily charts, while a 5-period RSI may be better for 1-hour charts. The threshold levels can also be adjusted for more refined signals.
How can I improve my RSI trading strategy?
Traders should combine the RSI signals with other technical analysis tools, such as trendlines, moving averages, Fibonacci retracements, and many others. Practicing proper risk management techniques, such as using stop-loss orders and position sizing, to minimize potential losses. Additionally, backtesting and analyzing past trading results can help traders identify areas for improvement in their RSI trading strategy.
For the 80-20 strategy, i did use my own strategy by changing the indicator setting . I am using 2 period setting , 5 and maintain the 14 period. I add in the level from 70,60,50,40 and 30. The 5 period (mark yellow) and 14 (mark blue). The 5 period will show the entry buy or sell when crossing the 14 from bottom or down. Again the level 60 and 40 will indicate to open buy or sell. But sometimes i canโt sure if the trend is up or down. I just add in to my chart the currency strength power indicator and make a decision to enter trade base on the current strength. But your 80-20 strategy is something additional knowledge to me and many thanks to you for this strategy and can be very useful in my daily trade. Thank you.
For this strategy 80-20 trading strategy, what is the best time frame use to calculate 50 candle for the step. Is it 1 min , 5 min , 15 min TF. Please i need your advise. Thank you. Rosli Hamsan Malaysia.
What unique feature do you want to see most in a Trading Indicator?
In my point of view the most important feature of the indicator is to predict (with high percentage of accuracy)of the reversal point or zone (either over bought or over sold)
For sure, reversals are a great way to trade the market!
%probability for a successful trade
I really think that this indicator will be extremely valuable because in my experience reversals are one of my most profitable trades and I it can be a real pain trying to find it on the charts, this is exactly what I have been looking for.
Absolutely Casey! Thanks for commenting.. Its always a pleasure hearing from a professional trader!
An indicator which shows the supply and demand zones in all timeframes (but especially the longer ones) would really be useful. Thanks.
Four hour, Daily, weekly time frame reversal trades are huge! If only there was an indicator that would show you an accurate way to trade these consistently ๐
Itโs an interesting strategy. Iโd like to know if you have any percentage of success information from backtesting.
We have back tested the indicator and it did show us great trade entries and exit points. We are not promising 100% it will be correct, because as a trader, you are ultimately the one that decides to trade or not ๐
People in nature over think and over complicate things. Trading can be simple but some common sense has to be used. Price action is king which is proven over and over again. I believe in simple charts and with what I see you guys have developed looks incredible which doesnโt repaint which is crucial and this fullfills all the above I just mentioned which is so important in all aspects of trading. A great development from a great company.
Thanks! Our philosophy is to make things more simple then what they need to be. https://uploads.disquscdn.com/images/4bf2a9fbbaaf418a1e94a04b5683b382d672a7b72bec921e98d0cf95974e50d2.png We see stuff like this from so called โgurusโ and shake our heads. There is no need put that many indicators/lines on your charts! We hope our indicator will make peoples lives easier when searching for reversal trades.
I am a new trader and at times one is so confused with so maby stratrgies out there. I have however enjoyed reading this strategy you have posted here. Am going to change my settings to see if I understan it. Regards Shads
shadtrans@gmail.com
Great to hear, let us know how it goes ๐
Hello there,
Ineresting article! But I still find the strategy somewhat complicated. Well, why count till to 50 bars and what is the logic behind this? Then, why not 20, 15, 30 or soโฆ? Did you bactest it or trade it live? Please let me know.
P
https://uploads.disquscdn.com/images/ec600f37518416a0342e6f18e06f8a3be172c265128613e693d9a4811dd7fbaa.png The indicator will make it much easier for everyone to use the strategy. This line will always stay on your chart 50 candles back so there is not a tedious process of counting candles all the time. To answer your question about why we chose 50, the last 50 candles are still meaningful on your charts on any time frame. If there is a reversal to take place, more often then not there was a strong uptrend/downtrend the last 50 candles so its prime for a huge reversal when our indicator is triggered based off of this strategy!
GREAT. THANK YOU VERY MUCH FOR TAKING THE TIME TO EXPLAIN. I AM STILL WAITING FOR THIS INDICATOR YOU PROMISED. I ALREADY COMMENTED. BY THE WAY, WIL ONE RECEIVE THE PROMISED INDICATOR BY EMAIL OR SOME OTHER MEANS?
THANKS
PLOK