Trend Taking Advantage Why now? Specific Markets / Time Frames - - PowerPoint PPT Presentation

‘Rip and Dip’ Alerts

• Trend
• Taking Advantage
• Why now?
• Specific Markets / Time Frames Alerts
• Examples and tests
• NOT a risk management tool
• EURUSD short term alerts (10 min chart)
• AlertFX details

• Problems with Trading Trend
• Waiting for the pullback that never comes
• ‘I missed the breakout!’
• Risk points too far away
• Solution
• Identify relatively minor reactions with momentum (RSI)

• RSI Dip and Rip Alert Rules
• ‘reverse’ divergence
• Long = RSI = lowest RSI(x) and price > lowest price (x)
• Short = RSI = highest RSI(x) and price < highest price (x)
• Taking Advantage of Trend
• Multiple entries (adding to winners)

• Why Now?
• With some exceptions, FX (OK…mostly EURUSD) has been in a range for 2

years

• Markets cycle between range and trend
• Important to Understand Adverse Conditions
• Following tests take all alerts and trail with a 5 day high/low stop

EURUSD Yearly Stats GBPUSD Yearly Stats

USDJPY Yearly Stats USDCAD Yearly Stats

Gold Yearly Stats

Crude Yearly Stats

• NOT a standalone system
• Determination on when to turn on based on analysis of price pattern

(breakout, etc.)

• Complimentary to SB analysis

• EURUSD Short Term Alerts
• Same entry logic but on a 10 minute chart
• Does incorporate stop and limit logic
• % of square root of price
• 3 hour time limit for trades
• Does not trade during Asia
• Small repeatable edge

• AlertFX
• Recent executions
• Disable option
• Devices / add-change email
• Customize alerts