Pullback trading is a trading way that traders will look for trading opportunities when a trend reversal ends and a reversal to follow the major market trend. Pullback trading is one of the most popular trading methods used by many traders.


There are many ways to trade pullbacks, traders can use price action or use indicators, ... The most important thing in this trading idea is that the trader has to find the moment when the rallies (represent exhaustion, and that's when the trend-follower gets involved in trading.

Although the idea of pullback trading seems simple, in reality, there are many brothers and sisters who have not really traded effectively this way. Most have problems finding the point where the shot ends. In this article, we will learn how a professional pullback trader works.

With that said, Julian Komar is a momentum trader, with most of his strategies taking momentum into consideration. For the pullback trading strategy that Julian uses, there are five main principles:
  1. Prices are fluctuating around the 21 EMA or 65 EMA, or the price has a strong pullback.
  2. The EMA acts as a support or resistance.
  3. Volume decreased
  4. Decreased price volatility
  5. Signs of reversal appear at EMA, prices bounce back from EMA or at important price zones.

In general, the main idea for pullback trading here is this: price retraces to key resistance zones and signs of reversal accompanied by reduced volume and volatility. But it is important to note that the market needs to be trending.

With this trading idea, the brother's price action traders can also adjust themselves to form their own trading strategy. We only need to make a slight adjustment in the price reversal zone, instead of using EMA, the price action trader will use resistance zones based on the top bottom, the pullback zone, the Fibonacci, the trendline, ... transactions are basically the same.

As can be seen, the pullback trading is not too complicated. It is important that you keep the principles and transact consistently. Using this set of principles for a long time can verify its effectiveness.