Home Trading Strategies How to Buy High and Sell Higher (Proven Techniques That Work)

How to Buy High and Sell Higher (Proven Techniques That Work)

How to Buy High and Sell Higher (Proven Techniques That Work)

hey hey what’s up my friend so in today’s episode I want to talk about you know how do you actually buy high and sell higher right many traders they know right o buy low sell high but hey that’s not the only way to treat because you can also buy high and sell higher and you know some of the best stock traders I know they buy high and sell higher first let’s talk what not to do so when you’re training you know buy high and sell higher you don’t want to be chasing the markets right there is a difference between buying high and selling higher and chasing the markets when you’re chasing markets is usually when the price has made a huge explosive move right where you know multiple green candles in a row so bullish huge momentum when it looks like you know it’s going to the moon well that’s where you don’t want to be buying all right because when you are chasing the markets there is no logical place for you to set your stop loss and what you do is just say any stop loss under any random level and when a market does a pullback you’re toast right you’re out of the tree so now how do you buy high and sell higher so there are two ways to go about it number one is you do it before the break-up so let’s talk about this so before the breakout right what you want to do is that when the market is and resistance right it’s near the highest I know it can be you know uncomfortable to pull the trigger right but what you’re looking for is a built up and resistance so a build-a-bride looks like a tight consolidation just imagine right a series of candles they’re all very small very tight clutter together this is what I call a build-up and ideally you want to have ten candles or more so whenever you see a build up every resistance this is a sign of strength because it’s telling you that there are buyers willing to buy and this higher prices they’re willing to buy in front of resistance and if the price breaks another of the high there’s a good chance that the market will continue higher and also don’t forget right when the price is at resistance traders will go shot ready to look at the market o the market is a resistance let me go shop and we’re doing the short traders put your stop-loss you put it at above the highs of resistance right because that’s what textbook says that’s what a conscious teacher I put your stop-loss above the highest of resistance and when the price breaks out of resistance what happens well momentum traders will buy the breakout traders get stopped up their stop-loss is actually a buy orders which will also you know fuel the buying pressure and digital leads to a higher problem bility of a breakout tree okay so the first thing that you want to do when you want to buy high and sell higher is if the price has not break out yet you want to look for a buildup and resistance right and then you know have a stop order at the highs to buy the breakout in your stop-loss now I can just go below the lows of the build up build up right maybe just 180 are below the lows okay so this is the first technique right before the price has broken out number two what if the price has broke out and you miss the move right you’re not in the party you’re too late what do you do well this is something that I I call right in the first pullback so whenever the price breaks out it cannot go up without breathing you know right you just imagine when you spin 100 meter 200 meters right you have to breathe and pause after a while and it’s the same for trading after the market makes a huge move a huge breakout it needs to pause it needs to breathe and this is where you want to pay attention to what I call the first pullback where the market mate makes the first pull back right after the break up and for those of you who are familiar with shot patterns it looks something like a blue flag pattern okay and a quick thing for you right – to help you better time your entries that you want to overlay the 20-period moving average on your chart because when the price breaks out right is usually quite far away from the 20ma so let the 20ma catch up with price and the only way for the 20ma to catch up with price is where the prices are starts to consolidate or do a full bed this is where the 20ma would start to catch up with price and sometimes right you’ll notice that the price starts to respect the 20ma bounce of it and start to hit higher but when you notice it right when the 20m instance dueƱos so called support the price right this is where the price has really made a pullback and you want to get ready to buy the next breakout of the swing high so this is where you are looking to buy the breakup of the hinds right after the 20 ma has catch up with the price and for stop-loss we can just just again right set your stop-loss 180 are below you know the 20 ma or the most recent swing low okay so that’s a second technique to share with you and finally write another one to share is that sometimes right the market breaks out and the pullback is very deep in public becomes very deep exit the trend hear me so what now so when it could happen is that the market would start to form a new range or I can identify the highs and lows of the range right arrange my even retest the previous resistance and support so let the range form be page right and what he can do is to look to buy near the lows of the range you can look forward like a false brick set up where the price you know trigger below the lows of the range and make a sudden strong reversal up higher back up of support right when that happens right this is what I call a false break where the price makes a false a break down and then closing back into the range this is where I can look to get long again okay does it make sense so with that’s it that’s it right I’ve come towards the end of today’s episode if you’ve enjoyed it hit the thumbs up button subscribe to my youtube channel the link is all below and I will talk to you soon you


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