That would be possibly the simplest trading strategy!
What is the simplest trading strategy?
- Thread starter kut2k2
- Start date
That would be possibly the simplest trading strategy!
The simplest trading strategy is to remain flat and make interest on your money.
Sure you could do a carry trade and bear the exchange risk. If you know of a domestic interest rate that does better than inflation, I'd like to know.
I created a couple indicators. They aren't any proprietary, just a Vix and $TICK index. The Vix has a bollinger band with a standard deviation of 2. The $TICK is just a high, low, and close histogram with 200, 400, 600, 800, and 1,000 levels marked.
I can find buy or sell levels using the Vix then determine whether I should take it or not using the $TICK. I scalp off the 1m chart. I like using the $TICK to trade "W" formations. Say the first dip is at $100 with the $TICK bottoming at -400 then when it makes the second dip of the "W", the $TICK is at -600 but the stock is at $100.10, I know despite the selling pressure of the market, the stock is holding strong and would be long. My exit would be when the $TICK reaches +600. I don't even use the Vix for some of my trades. I've been 72.8% successful, but only 1 losing day since I began, being I trade 1m scalps at 72.8%, it's hard to have a losing day. Averaging roughly 1-2% profit a month. A natural R:R is right about 0.9-1.0 meaning it's nothing important to my strategy. I don't set stops at % of my position, I just take a loss when I know it's not gonna go in my direction, which averages out around 1.
I can find buy or sell levels using the Vix then determine whether I should take it or not using the $TICK. I scalp off the 1m chart. I like using the $TICK to trade "W" formations. Say the first dip is at $100 with the $TICK bottoming at -400 then when it makes the second dip of the "W", the $TICK is at -600 but the stock is at $100.10, I know despite the selling pressure of the market, the stock is holding strong and would be long. My exit would be when the $TICK reaches +600. I don't even use the Vix for some of my trades. I've been 72.8% successful, but only 1 losing day since I began, being I trade 1m scalps at 72.8%, it's hard to have a losing day. Averaging roughly 1-2% profit a month. A natural R:R is right about 0.9-1.0 meaning it's nothing important to my strategy. I don't set stops at % of my position, I just take a loss when I know it's not gonna go in my direction, which averages out around 1.
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Thats simple but wise;
don channels, moving averages may help.I wouldnt confuse moving averages with ma crosovers.
