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stop and reverse method


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  • 2 months later...

It is my contention that all swings are begun and ended by the five bar reverse. So when the trade is turning against you the place to get out is the place where you would enter the opposite trade.

 

http://i914.photobucket.com/albums/ac341/freddieforII/StopR.jpg

 

Another way of looking at it is the '3rd candle' which is really the same thing, only really differs in explanation.

 

Karl Dittmann's '10 pips whenever you want' is also the same thing.

 

These then are all you need for S&R, stop and reverse.

 

Freddie

Edited by Freddie
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  • 3 weeks later...
Trading is 3 options: Long Short Flat Why do not be flat sometimes ??

 

No sure what you mean Arnaud but quite sure that the market is only ever flat for a few minutes. Swings are relative to the time frame that you use. Here is a 15min TF with an 8 pip range over half an hour

 

http://i914.photobucket.com/albums/ac341/freddieforII/Flat.jpg

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