Regardless of your trend trading time frame, whether you’re a day trader, do swing trading, or even investing, the classic definition of an up trend is:
Higher Highs and Higher Lows.
The classic definition of a down trend is:
Lower Highs and Lower Lows.
Every day trader knows this to be true … except for one thing: IT DOESN’T WORK!
There are several problems with this trend trading approach which I address in this video. I’ll also show you how I address these problems in my own trading.
However keep in mind that no matter how you measure trend, it’s only one “energy” on the chart. And I don’t care what indicator or chart pattern you use – one energy is not reliable enough to trade reliably (even if that energy is the venerable trend).
Personally, I won’t put my money at risk without getting the odds on my side with FIVE energies! To learn how I do that, you can view a recording of a 1 hour webinar I did here: The 5-Energies Webinar.
But first, enjoy this brief video on how to do trend trading.
After you watch the video, please leave your comments below.