Reversal Easy Setup, Quick Profit: My Simple Trading Secret!

Summary

In this video, the presenter shares an effective intraday reversal trading strategy using two key indicators on TradingView: Bollinger Bands Breakout Oscillator and Extreme Trend Reversal Points. The strategy is tailored for scalpers and focuses on entering buy or sell trades based on specific signals from both indicators. The video explains how to set up and configure these indicators on TradingView, with step-by-step guidance on risk management, including a 1:1.5 risk-to-reward ratio. Several trade examples are shown to illustrate how the strategy works in real-time, making it easy for viewers to implement.

Takeaways

• 😀 Make sure to subscribe to the YouTube channel to stay updated on future videos and trading strategies.
• 😀 This strategy utilizes two main indicators on TradingView: Bollinger Bands Breakout Oscillator and Extreme Trend Reversal Points.
• 😀 The setup for the strategy includes searching and applying the Bollinger Bands Breakout Oscillator by Lux Algo and Extreme Trend Reversal Points.
• 😀 For buy signals, wait for a bullish candle and ensure the Bollinger Bands Breakout Oscillator is red to confirm the reversal.
• 😀 The risk-to-reward ratio for both buy and sell trades is set to 1:1.5.
• 😀 Place stop loss at the current market's lower level when entering buy orders and at the higher level for sell orders.
• 😀 For sell signals, look for bearish candles and confirm that the Bollinger Bands Breakout Oscillator is green.
• 😀 The market conditions should meet both the Extreme Trend Reversal signal and the confirmation from the Bollinger Bands Breakout Oscillator before entering trades.
• 😀 The strategy is tested on the 5-minute chart of the DAX index to demonstrate its effectiveness.
• 😀 The video encourages viewers to ask questions in the comment section if they need further clarification or have any suggestions.
• 😀 The creator expresses appreciation for viewer support, which helps in producing high-quality content consistently.

Q & A

What is the main focus of the video?

The video focuses on explaining an intraday reversal trading strategy for scalpers, using two key indicators on TradingView.

What are the two indicators used in the trading strategy?

The two indicators used are the *Bollinger Bands Breakout Oscillator* by Lux Algo and the *Extreme Trend Reversal Points* indicator.

How do you set up the Bollinger Bands Breakout Oscillator on TradingView?

To set it up, search for 'Bollinger Bands Breakout' in the TradingView search box and click on the option by Lux Algo, then apply it to the chart.

What adjustments need to be made to the Extreme Trend Reversal Points indicator?

You need to modify some of the settings within the indicator and hide unnecessary options for optimal use.

How do you recognize a buy signal using the strategy?

A buy signal occurs when the *Extreme Trend Reversal Indicator* gives a buy signal, the market forms a bullish candle, and the *Bollinger Bands Breakout Oscillator* is red.

What is the recommended stop loss and risk-to-reward ratio for a buy trade?

For a buy trade, the stop loss is placed at the lower level of the current market, and the risk-to-reward ratio should be 1:1.5.

What conditions should be met for a sell signal?

A sell signal occurs when the *Extreme Trend Reversal Indicator* shows a sell signal, the market forms a bearish candle, and the *Bollinger Bands Breakout Oscillator* is green.

What is the recommended stop loss and risk-to-reward ratio for a sell trade?

For a sell trade, the stop loss is placed at the higher level of the current market, with a risk-to-reward ratio of 1:1.5.

Why is the red oscillator important for buy trades?

The red oscillator indicates that the market is in a reversal phase, which aligns with the conditions for entering a buy trade when the other indicators show a bullish trend.

Can the strategy be used on other time frames besides the 5-minute chart?

While the strategy is demonstrated on the 5-minute chart for the DAX index, it can also be applied to other time frames, depending on the trader's preference and market conditions.