My Trading Strategy is Boring But Made Me $18,517/month [100x Strategy]

Summary

This video introduces a strategy for professional trading, focusing on overside/underside retests and trend analysis. The speaker emphasizes the importance of identifying key levels, drawing trendlines, and waiting for market confirmation before entering trades. Risk management and refining strategies are highlighted, along with the use of custom tools like trade journals and position size calculators. The speaker encourages viewers to practice strategies through simulated trading and invites them to join a private community for further guidance. The goal is to build a disciplined, high-conviction trading approach for long-term success.

Takeaways

• 😀 Emphasize discipline and selectivity in trading to manage risk and increase profitability.
• 😀 Use overside and underside retests to identify key levels and confirm trade setups.
• 😀 Trendlines are essential in identifying important support and resistance areas for entry points.
• 😀 Focus on high-conviction setups where price breaks significant levels, leading to strong directional moves.
• 😀 Always place stop-loss orders comfortably outside of trend levels to ensure proper risk management.
• 😀 The goal is to minimize losses while allowing the account to grow through high-probability trade setups.
• 😀 Use a structured process and refine your trading approach over time to ensure consistency and success.
• 😀 Test strategies through backtesting (e.g., using TradingView's 'bar replay' feature) before applying them with real capital.
• 😀 Build a custom trade journal to track performance, analyze equity curves, and maintain discipline in your trading.
• 😀 Avoid blindly following YouTube trading advice; instead, test and prove strategies for yourself to build confidence.
• 😀 Engage with a trading community for structured learning and support to accelerate your progress in trading.

Q & A

What is the core concept behind the overside/underside retests mentioned in the video?

The core concept of overside/underside retests involves identifying key levels in a trend where price action tests either the opposite side of a trend (underside) or an overvalued area before reversing. These retests help traders confirm the strength of a trend and ensure they are entering at high probability setups.

How does the speaker define trends in the market?

The speaker defines trends in the market by observing the general direction of price movement, categorized as uptrends or downtrends. They emphasize drawing trend lines across significant points in the trend to identify key areas where price might reverse or break.

What is the significance of 'trend breaks' in this strategy?

Trend breaks are significant because they indicate a shift in market behavior. When a trend breaks, it often leads to a retest of the opposite side, providing a potential entry point for a trade, confirming that the previous trend has been decisively broken.

How does the speaker use trend lines in their trading strategy?

The speaker uses trend lines to mark key points along the high and low points of a trend, identifying potential bounce points or areas of support and resistance. By drawing these trend lines, they aim to predict where price may reverse or continue its movement.

What role does 'confluence' play in the speaker's trading strategy?

Confluence plays a crucial role in identifying high probability trade setups. By combining multiple indicators or conditions, such as a trend break and a retest of a critical level, the trader can increase confidence in their entry and exit points.

Why is being selective important in trading according to the speaker?

Being selective is important because it helps to minimize risk and avoid unnecessary trades. By focusing on high-probability setups with a clear trend break and confirmation from retests, traders can reduce losses and improve the overall success of their trades.

What is the speaker's approach to risk management in trading?

The speaker's approach to risk management involves setting stop-loss orders outside of key trend levels, ensuring that potential losses are limited. They also emphasize using proper position sizing based on risk tolerance and setting take-profit targets at strategic levels.

How does the speaker track their trading performance?

The speaker tracks their trading performance using a custom trade journal built in Notion, where they can log trades, analyze their equity curve, and track results over time. This journal also includes checklists to ensure each trade meets the necessary criteria.

What is the 'Bar Replay' feature on TradingView, and how is it used?

The 'Bar Replay' feature on TradingView allows traders to go back to specific dates and replay price movements. This tool enables traders to practice taking trades and manage risk without putting real capital at risk, helping them test strategies in a controlled environment.

How does the speaker encourage traders to validate their strategies?

The speaker encourages traders to validate their strategies by testing them using replay features or paper trading. They stress the importance of proving the strategy to oneself through practice and analysis rather than relying solely on external sources or videos.