Note when using strategy

There are 3 things you need to note:
  • When entering orders, we do not use the initial stop loss
  • You will place a stop loss when the price moves in a direction that benefits your strategy. That is when your trading is profitable.
  • With this strategy, after placing orders, you need to follow up, not place orders, close the computer. Because we don't set a stop loss, then we have to move the stop loss after making a profit.
The trading signals of the strategy mainly rely on the intersection of ema 9 and 18, then wait for the price to reverse then buy or sell in the direction of the original trend. But this trading strategy has the following major problems:

You cannot determine exactly when the market ended a small price reversal and reversed the direction. You need to use a reversal candlestick or use the hurdle as a bottom high or previous support resistance as your entry point.

This means that when you placed an order but the market did not return to the old trend if you placed your stop loss your order may have been hit. In such a case you will find that not placing a stop loss looks better.

See the picture below:


The main problem is that the candlestick goes up after entering a sell order. At that point, a lot of the traders had a stop loss. That is why this strategy we do not use a stop loss.

Now we go into the rules of the trading.

Notes on time frame:
  • The day trader can use the M15 framework
  • A swing trader can use H1, H4, or D1 framework
  • Position trader can use the W1 framework
Trading principles with sell setup:
  • When 9 EMA crosses below 18, it shows a downtrend. Ensure that both EMAs are facing downwards or in the process of turning upside down.
  • Ensure the price of 3 candles is below both moving averages.
  • Wait for the price to return to the EMA and then trade in the downtrend.
  • Your trade is executed on trend reversal candles.
See the picture below:


For a buy setup:
  • When 9 EMA crosses above 18, it shows an uptrend. Ensure that both EMAs are pointing up or in the process of reversing upward.
  • Ensure the price of 3 candles is above both moving averages.
  • Wait for the price to return to the EMA and then trade in the uptrend.
  • Your trade is executed on trend reversal candles.
See the picture below:


Note, your trading area is only around 2 EMAs.

Stop loss and take profit

As you can see in the above 2 images we have an initial stop loss below the signal candle (for sell orders) or above the signal candle (for buy orders). Remember to add 1 spread. Or set stop loss according to ATR.

However, if any brothers accept more risks, they may not place stop losses. But we can wait for a profitable strategy and then move the stop loss to follow the trend. However, there should be a predefined point that indicates that your signal is invalid and should exit there.

Take profit by moving your stop loss to the trend when a trade starts making profits at a 1: 1 ratio. Move your stop loss when the market creates a bottom following the trend, everyone.

Note, do not trade this strategy when you do not have time and when the market is sideways.