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Top Trending Price Action Strategies To Profit In Bull & Bear Markets

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Top Trending Price Action Strategies To Profit In Bull & Bear Markets

hey hey what’s up my friends so welcome to today’s training right where you will discover my top trending price action patterns that work because here’s the thing right i’m sure most of you or rather you know that you should trade with the trend the trend is your friend but here’s the thing you know that the market is in an uptrend but sometimes you just can’t find the right trading opportunity to get on board the trend right you know the price breaks out of resistance and you wait for the price to re-test previous previous resistance that could become support so you wait and wait and wait and wait and the price doesn’t come right you just do a slight retracement and then boom continue higher and you miss the the move so what now so this is why in today’s training i want to share with you four four specific trending price action patterns that work right so you can always you know find trading opportunities right in such trending market conditions sounds good then let’s get started price action pattern number one the first pullback so what is this about okay so this right is when you know the price breaks out of resistance and then when it makes a first pullback something like this okay so let me just illustrate right let’s say the market is in a range okay it breaks out of the range so what we are looking here is for the first pullback not necessarily towards this previous resistance that could support but nonetheless a pullback something like this right pull back so at this point right we want the pullback right to have small range candles right because when the pullback has a small range of candles it tells us that the buyers are still in control the sellers are not able to come in and push the price lower make sense right so if the pullback has a series of small range candles it tells you that selling pressure isn’t really very strong and that’s what we want to see the next thing we want to have is the 20ma to catch up with the low of the pullback so if you pull out your 20 me on your chart it would start to you know slope up higher right and the pullback reaches the 20 period moving average this is to give us uh give the market right sometime to digest the recent move right the recent upswing we want to give the market some time to digest the move so the 20ma right would be uh a way to gauge right how much time has passed so usually about after you know uh depending on your time frame right seven to ten candles on a pullback the 20ma should you know catch up with the pullback already at this point okay so once we have this uh small range candles on the pullback we have the 20ma catch up with the uh low of the pullback then what you can do is simply to buy the breakout of the swing high which is this one over here by buy right if the price breaks above this swing height okay so let me walk you through a few examples right so you can see what i mean so over here you can see that this market again aussie canadian you can see the price has been uh below resistance right around the 91 and a half cent area then the market broke out higher so at this point you can see over here many traders they are what are they looking for i’m pretty certain they are looking for a re-test of previous resistance that could act as support and that’s not wrong okay but if that’s the only trick up your sleeve then you’ll find that you are missing a lot of trading opportunities trading opportunities that you could uh otherwise exploit had you know and you have a few tricks up to up your sleeve okay so let me walk you through right how you could have you know uh trade this particular pair so again right what we mentioned earlier is the first pullback so when the price breaks out of a level right we are looking for the first pullback so in this case we let the 20ma be our guide so this is the red line over here the 20 period moving average we want to pull back right to have a series of small range candles when the range of the candles on a pullback is small it’s telling us that selling pressure isn’t really strong and that’s a good thing because we are looking to buy so give it some time right as the market pull back we can see that over here aha okay now this market has the pullback right the low of the pullback has touched the 20ma and if you look at this pullback right the price section if you look at the range of these candles they are relatively small and that’s a good thing right you compare this range of candles over here with this one over here do you see the difference this is what i’m talking about right this is what i want to see small range candles on the pullback compared to this one it’s very big large range candles right towards the downside so the smaller the range of the candles on the pullback the better and what’s left to do is that you know the market now has you know given you signals that it’s about to make the next wave higher what you can do is just simply have a buy stop order above this high go along right when the market breaks out above that high which is in this candle you can see the price took out above this highs over here and that’s where you can go along so this is one example of the first pullback and as for stop loss right couple of ways you can do it number one you can set it based on the 20ma right you notice here the price has been constantly above the 20ma so you can set it a 180r below it so maybe 20ma is here atr might be somewhere about here this is your stop loss or otherwise you can reference from the nearest swing load to set your stop loss in this case the nearest swing low possibly is this swing low over here right so you set it 180 below this low somewhere about here okay so depending on how conservative and aggressive right you want to be so let’s have another example of the first pullback so this one over here is the uh goal g for goal okay so again looking back we can see at this market we have broke out of this area of resistance so at this point you can see let’s just zoom in a little bit right many traders okay the old rainer will be thinking right now right now it’s time to be patient right now wait for the market to come to 1360 wait for this previous resistance to become support then i wait and wait and wait and wait and then i see this the market just go boom right up higher without me so again right uh it’s not wrong to wait for re-test but if you are a one-trick pony as mentioned you will find yourself right missing a lot of trading opportunities so this is again right where the first pullback comes into play pull out your 20ma doesn’t matter whether is it the 20 ema the sme the wme the concept is what matter right all these tiny uh differences in the calculation won’t matter as much okay so when we pull out the 20ma we want to see the pullback right touch or rather the low of the pullback touch the 20ma in this case we have it over here so this tells us that the market right has already digested this recent move over here he has digested the recent move that’s a good thing the next thing we want to look for is to make sure that the range of the candles on a pullback is nice and small so as we can see over here the range of the candles are getting smaller right pretty small candles over here we have here as well okay so what we can what’s left to do is to simply place a buy stop order above this swing high if the price trades above this swing high we get long we get onboard the trade right to see if we can catch the next wave of the trend stop loss couple of ways you can reference number one is using the 20ma which is this red line over here 180 below it so somewhere here or if you want to be more conservative you can reference it from this swing low over here 180 below it so you’ll be somewhere about here okay so this is what i mean by the first pullback okay moving on the next thing the pre-breakup so this is an advanced technique right that kind of you know uh stack upon what you’ve just learned so sometimes you know i know there are traders who look at this and they think to themselves oh rainer but rainer you know if i were to buy at this high right right now you know this is at a high point right can i get it at a better price i don’t want to you know buy at such a high price okay if that’s what you think right i know some traders might be uncomfortable with buying when the price breaks out of the swing high what you can do is look for the pre-breakout trading setup right so what happens is that number one you want to look for the price right to form a build up or consolidation after a breakup okay and then when that happens right you want to go down to a lower time frame a factor of four to six and look for a false break setup so let me just illustrate what this means so this portion here right let’s say the price is in the range it breaks out and then it starts to consolidate after it breaks out so this is what i call a build up a consolidation the price forms a build up or consolidation after a breakout pretty common sense when this happens right you want to go down to a lower time frame a factor of four to six and look for a false break setup so let’s say for example this one here is the daily timeframe let’s call it d d for daily then on the four hour time frame okay now some of you might be thinking right rayna why why the four hour time frame so as you know right the daily time frame has 24 hours okay and over here i mentioned that we are using a factor of four to six so 24 hours you divide by six right will give you the four hour time frame so your lower time frame here can be the four hour time frame right because four hour a factor of six you multiply by six gives you the daily time frame so anywhere between a factor of four to six right can be your lower time frame so in other words your lower timeframe can be anywhere from the four hour time frame the five hour time frame or the uh six hour time frame that’s fine because it will fall in between a factor of four to six because if you take 24 hours divided by six you get four hour you take 24 hour divide by four you get six hour time frame you take 24 hours divided by five you get some decimal point time frame so so i’m going to keep things simple right daily timeframe is 24 hour time frame that means that it has 24 hours the lower time frame is the four hour time frame and what i’m looking for on the four-hour time frame is this is that at this part over here you see over here the four-hour timeframe will look something like a range so what i’m looking for is for the price to retest the lows of the this support and then close strongly back above support like this so when this happens right this is what i call a false brake setup and i want to buy near the lows of support so this is kind of like you know a two part combo pump pump right first one is the daily time frame second one is going down to the lower time frame like the forward time frame so again i’m just going to walk you through an example so you can see what i mean so if you go up to the aussie canadian again okay you see that on this chart over here this is where we have this consolidation that i’ve illustrated earlier okay so now let’s go down to the four hour time frame and see what this looks like so i’m going to split the chart into two like magic kaching right now it’s into two so this portion here okay i’m just gonna you know walk you through this portion that you see over here is equivalent to this portion here so the key thing that i want you to pay attention is at this price point notice that we have a false break set up at the lows of this support notice how the price smashed below support rather you get below it and then close back above support right and this candle over here so this is a sign of price rejection this tells you that you know buyers are stepping in to push the price higher at this point you can look to buy on the next candle open which is over here stop-loss is one atr again below this low somewhere here and then to see if you can write the next wave up higher okay so this is what i call the pre-breakout setup let’s look at another one euro aussie if you look over here again we have this consolidation this time around it is the opposite side right we have a downtrend and we have this consolidation over here so again i want to split the chart up like magic kaching all right so hero aussie okay so let me just walk you through the uh the area of the chart so you know where i’m referring to so you see over here this here is equals to here now now what we’re looking for is for a false break set up on the four hour time frame so in this case you can see that over here the price trades above this highs and then make a reversal right closing below this heist over here this is what i call a false break setup and again stop loss can go 180 above this highs enter our next candle open somewhere here so in essence right if you look at it at the big picture on the daily time frame you’re selling this market right somewhere near the highs of this consolidation near the highs of this build up so this is as best as you can get for an entry trigger make sense and by the way if you’re enjoying this training so far smash the thumbs up button if you don’t then hit the subscribe button sounds good then let’s move on okay so this is what i call the pre-breakout trading setup so this allows you right to enter as early as possible right to buy near low to buy near the lows right or sell near the highest depending on your trade direction next one the moving average way bounce okay so what this is right is that it’s very useful if the market is in a healthy trend right respecting a moving average so usually when the market is in a healthy trend it tends to respect the 50ma so what you want to do is again be patient let the market make a pullback towards the 50ma and then look for a price rejection before entry so for example let me just illustrate this one quickly so market is in a healthy trend right you can see the app and flow of this market and if you pull out the 50ma it’s like this right it’s the price bounce here once twice then on the third time over here you can look for a trading opportunity to buy you want to wait for the price to break and close back above the 50ma to time your entry to go long so let me share with you a few examples again over here okay merge the chart and nasdaq so over here you can see that on the eight hour time frame okay i’m going to pull out the 50ma so i know some of you might be thinking ah ray now this is too good to be true right this is a cherry pick chart well guess what yes it is right it is a cherry pick chart and the reason i cherry pick shut cherry pick discharge is to illustrate my point it is so silly to pick a chart that invalidate my point okay so again i’m not asking you to trust me to take this at face value right in fact take what i’ve shared with you test it validate the concept on your own that’s how you learn and that’s how you get better at trading okay so nasdaq eight hour time frame so you can see over here again we have multiple bounds on this market at the 50ma that’s that once over here twice third time over here so over here right there was a trading opportunity for you to go long notice how the price came into the 50ma smash below it and then on the next candle it break and close back above the 50ma i think i just covered it right so on this candle over here when the price staged a strong rally closing back above the 50ma you can look to go long on the next candle open stop loss again 180r below the swing low somewhere about here so this is a valid entry here’s another one right price was below the 50 m and then you bullishly break and close above the 50 ma you can enter on the next candle open stop loss 180 below this low okay so this is what i mean by the moving average bounce and this is useful right when market has been uh trending for a while let’s say you missed the first pullback let’s say you missed the pre-breakout trading setup and by now the market is really no trending for a while and in such market condition don’t change the market don’t trade for it from an area of value so what i mean is let’s say for this point right market looks bullish okay and many traders they are tempted to buy in this highs because after all hey rayna you look how bullish this market is right you know it forms a bullish engulfing pattern the market is going up higher for sure arena guarantee plus chop but here’s the thing right when you buy at this price point over here you know historically that this market tends to bounce off the 50ma which is over here so if you were to set your stop loss over here over here over here it doesn’t quite make sense because when the market makes a pullback let’s say towards the 50ma guess what you’re going to get stopped out so this is a it’s a poor trade location to be trading from alternatively right some of you might be thinking right now if i buy here i can set my stop loss below the 50ma somewhere about here that’s true but if you look at the size of your stop loss it’s again pretty done wide so what do you do well be patient right let the market come to you let the price come to you this is where you know or this is what i mean by trading from an area of value make sense another example so this is the oil market again same concept market tested it number of times i would consider this a first test second test and right now it’s about here once again okay so so okay i can’t share this i mean i can share this right on the higher time frame right now the market is actually coming into this area of area of resistance right this area of resistance over here and it’s like range of the candles are getting smaller and smaller and i sense right a breakup could be coming soon so at this point right there number of ways you can trade this one right again you can look to buy let’s say the break of this highs to go long as a breakout trade or you can look for the price to re-test right this low over here to trigger uh the low over there like this trigger the low and then close back above the 50ma to get long so this one will be an earlier entry before the breakout so this is uh not the best example of the moving average bounce not the best example but i want to highlight you right when you trade in the real world of trading right you would have different moving parts together sometimes you might be thinking i want to trade a breakout sometimes i might be thinking maybe i can look to trade the moving average bounce so what’s the right way to go about it so guess what there’s no right or wrong way to go about it right ultimately right it’s where right you want to be trading from where can you define your risk and what’s your game plan what’s your trading plan are you going to treat this as a breakout trade to trail your stop-loss to write the next wave or are you just going to capture one swing because for example in this case right if you just want to capture one swing in this market i would rather forgo the trade because you can see that there’s really not much profit potential right to capture that one swing because right now let’s say you market come near this low and trades up higher there’s really not much meat left in this move just quite little right so again from a swing trading standpoint i would rather forgo the trade but if you’re looking to trade breakout right in anticipation of a next uh uptrend that could continue right up i mean you can’t see here but let me just zoom out let’s see over here you can see how tight this is on the daily time frame over here this portion right and you anticipate that this market if it breaks out could have another next search or rather the next wave higher then hey you can look to trade the breakout and trail your stops accordingly so really there’s no like you know one size fits all okay i hope this i hope this little bit of uh aspect right would help you think deeper about price action trading so okay this is the moving average bounce and finally the last technique i want to share with you is the break and re-test and in fact this is actually what i shared with you at the start of this video right where many traders just simply look for a break and re-test and as i said right it’s not wrong right but if this is your only tool right then you know you find that you miss a lot of trading opportunities from time to time so let me explain to you how i would trade the brake and re-test so very simple right you wait for the price to break out of resistance and re-test previous resistance downturn support look for a price rejection before entry so something like this price range breaks out rejects close bullishly above support so a few examples to illustrate my point so canadian and eight hour timeframe you can see over here i zoom out notice that this market has broke above this area of a resistance it breaks out retests previous resistance that could now become support and this is where our price rejection came in right look at this nice juicy fat bullish candle not the fattest on this chart but you know i would say it’s a valid right notice how the price come down lower and close near the highs of this candle right this is a bullish price rejection right can look to go long on the next candle open stop loss 180 below this low somewhere here okay so this is what we call a break and re-test and this is a setup that i believe many traders are familiar with another one is the euro against the swiss franc let’s zoom out a bit you can see over here the price previously this is the area of support price broke down re-test previous support now become resistance and if you just zoom in a little bit right this price rejection this time round is much much stronger nice strong parabolic move coming in then over here we have some price rejection lurking in the background and it’s confirmed right by the next candle as the price tries to rally up higher again but then eventually closing near the lows of the day so again it can go along on the next candle i mean sorry go short on the next candle open stop loss 180 are above this highs somewhere about here okay so this is what i mean by the break and re-test and i’m not going to show you the outcome of this trade because it’s not important right what’s important is the concept what’s important is you know taking the ideas and concepts that i’ve shared with you and validating right whether it works or not right so yep no point sharing the result of this this particular trade okay and finally right one last thing okay one last thing just one last thing before we go this bonus training so i’m going to walk you through right uh what i’ve just shared with you right it’s uh it’s of course based on hindsight but when you are trading in real time it’s not high inside so so how should your top process be like so i’m going to walk you through step by step right how my top process is going to be like to trade this type of you know trending price action patterns so as you see right now euro dollar i zoom up you can see that this price the market has broke above this area of resistance previous resistance that could become what support okay so here’s my game plan right i have a couple of rather a few tricks up my sleeve first thing right i could wait over here at this area previous resistance that could become support price hit down lower lower lower lower and then reverse close strongly back above support i can go along on the next candle open stop loss one atr below this lows in anticipation of higher prices this is something that i think most of you are familiar with next thing i can also look for a first pullback market uh pull out the 20ma i want the 20ma to catch up with the price or somewhere about here at this point market makes a pullback right small range candle pullback so at this point i have something that looks like a blue flag pattern if the price breaks above this swing high i can look to buy again stop loss can go 180 below this the low of the flag somewhere about here that’s my second option the third thing right what i can do is i can go down to a lower time frame like the four hour time frame and look to trade the pre-breakout so in this case the market could form a new range on a four-hour time frame like this and i can look to buy on this false break price reverse close up higher in anticipation right that the market could continue up higher so this is another option that i can use right to trade this market so hopefully by now right you can see that as a price action trader as a trend trader you don’t want to be just a one-trick pony hopefully i’ve opened up your eyes right to the different possibilities that you can that you can trade right in this type of market conditions so a quick recap today we spoke about the first pullback right basically a blue flag pattern or a bare flag pattern right after a price breaks out of a support resistance next one we talk about the pre-breakup basically entering and write your trade before the market now breaks out of the flag pattern the third thing is moving average bounce this is for markets right which have been trending for a while uh there’s a very clear app and flow right goes up higher pulls back goes up higher pulls back this type of market condition is what i call the healthy trend and i’m looking for a pullback usually towards the 50ma and finally right the last one that you’re all too familiar with the break and re-test right breakout of resistance re-testing your previous resistors that could become support looking for a buying opportunity at that area and by the way if you want to learn more of such price action trading strategies tips and techniques then just go down to my website over here trading with raynor.

com download this guide the ultimate guide to price action trading click this orange button and i’ll send it to your email address for free sounds good then go do it right now and i wish you good luck and good trading i’ll talk to you soon you

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