Summary of some of the most effective trading methods

 

1: Inside bar pattern of an inverted ascending triangle

Price Pattern: The opposite ascending triangle pattern appears on the chart opposite the Inside bar candlestick pattern.
Enter the order
Bullish: we place a buy stop order above the high of the small bar.
On the downside, we place a sell stop order below the low of the small bar.
Cancel the transaction if the bargaining process fails.
Profit target: our profit target will be on the opposite side of the inverse ascending triangle.
Stop Loss: can be placed at the bottom of the small candle in the Insidebar set or at the rate that you yourself accept to stop loss.

Example with CHF/JPY:

Look at the Inside Bar example formed inside an inverted ascending triangle. Let’s place a buy stop order on the intraday high here at 123.68 with profit target at 126.00 (triangle top), stop loss would be set at 122.70. The reward/risk ratio in this trade is 2.3:1. Pretty good.

2: Inside Bar pattern with descending triangle pattern

Price Pattern: After the descending triangle is broken, the price line forms an Inside Bar.
We will place a sell stop order below the low of the small candle. If there is no match after a few hours, the order is considered canceled
Profit Target and Stop Loss: Stop loss and take profit should be set at a price that gives you an acceptable profit or stop loss ratio.

Example with GBP/USD:

After the pair of Inside Bar candlesticks formed. Place a sell stop order below the low of the small bar at 1.5080 with a profit target at 1.4900 (low of the big bar). Stop Loss is placed at the top of the Inside Bar i.e. at 1.5150. The reward/risk ratio is 2.6:1. In the safe zone to manage your capital.

3: Double Bottom and Inside Bar pattern

Price Pattern: The Inside Bar candlestick pattern is formed at the end of a double bottom with a steep neckline.
Entry: A buy stop order is placed at the top of the Inside Bar. If the price does not match the entry price, the order will be cancelled.
Profit target: our take profit will be at the next support or resistance level. From the breakout point with the body of the triangle that could be the take profit zone for you.
Stop Loss: Stop loss is set at the allowable price or risk/reward ratio 2:1 or higher.

Example with GBP/USD:

The inside bar is formed when the price touches the sloping neckline of the double bottom. We place a buy stop order slightly above the intraday high of 1.5188 with a profit target around 1.5525 (next resistance) and a stop loss below the intraday low of 1.15100. The reward/risk ratio is 3.9:1.

4: Price bar reversed in flag pattern

Price Pattern: After a strong directional candle is formed with wide body characteristics and the price closes near the high (bull case) or near the low (bearish case), the price will retrace and forming a corrective flag pattern. Next, a reversal candle is formed inside that flag pattern, then we have a basis to enter the order.
Enter the command:
Bullish, we place a buy stop order above the recent high of the reversal bar.
In contrast to the bearish case the entry will be placed a sell stop order below the recent swing low low. Of course, don’t be stubborn, cancel if the order does not match. We have many other opportunities.
Profit Target: Take profit will be placed at the next support or resistance level.
Stop Loss: Stop loss is set at a price that allows for a risk/reward ratio of 2:1 or according to your tolerance.

Example with EUR/JPY:

After a strong bullish bar from 129.50 to 134.50, a corrective flag pattern appeared. A reversal candle appeared at the bottom of the flag pattern. We place a buy stop order slightly above the top of 133.25 with a profit target around 135.00 (next resistance). Stop loss is placed below the bottom of the reversal candle at 132.50. In this case, the reward/risk ratio is 2.3:1.

5: Double top/bottom and support and resistance pattern

Price Pattern: this is a more advanced form of pattern than the above 4 types. This advanced pattern consists of a double top (double bottom) stopped before a support (resistance) level and failed to break through that support or resistance. ie the price is rejected at that point, it will correct and form an Inside Day candle or an NR4 type candle (the candle with the lowest amplitude in the last 4 sessions).
Enter the command:
In the event of a Double Top and the price leveling off at the support level and there is a signal to turn around, we will place a sell stop order below the bottom of the Inside Bar or NR4.
Conversely, for a Double Bottom and price leveling off at resistance trending price reversal, we would place a buy stop order on top of Inside Day or NR4.
Notice for you: If you follow h1, h4, then after about 2 3 candles if the order does not match. Absolute cancellation.
Profit Target: Take profits at the next support or resistance level or where you feel comfortable. may depend on the volume you enter the command
Stop Loss: Similar to take profit. Take a stop loss at the next resistance, support if the price goes against our will or cut at the point you feel where you accept the risk.

Example with AUD/USD:

Pattern two is formed in the 0.6900 zone. The price then broke out of the pattern to the upside but stopped at the 0.7400 resistance. After a downward correction from the resistance area, the price will form an Inside Bar. We will place a buy stop above the intraday high of 0.7197, targeting the 0.7400 resistance. Stop loss is placed below the intraday low of 0.7110. The reward/risk ratio is 2.3:1.

6: 2 top/bottom and isosceles triangle pattern

Price Pattern: After confirming the double top or double bottom, an isosceles triangle is formed. We will identify an Inside Bar to try to capitalize on the trend of the two patterns above.

Entry: In the case of a double top, we will place a sell stop order below the bottom of the Inside Bar. In contrast to the double bottom, we will place a buy stop order above the top of the Inside Bar. In both cases, if after a few hours there is no order, we will cancel.

Profit Target: Our take profit exit will be at the next support or resistance.

Stop Loss: The stop loss is set so that the risk/reward ratio is 2:1 or higher.

Example with USD/JPY:

After the double top is confirmed, a clear symmetrical triangle is formed. Inside it, we observe an Inside bar pattern. Here, we place a sell stop order slightly below the 119.78 low with a price target at 118.00 support. Our stop loss is above the downtrend line of the isosceles triangle at 121.00 – slightly up. The reward/risk ratio does not reach 2:1, so you can choose not to trade with this pattern.

Above are 6 basic models for trading in stocks and cryptocurrencies.
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