I tested RSI + SUPERTREND Trading Strategy 100 TIMES… so you don't have to – Forex Day Trading

Published on February 21, 2022

Interesting YouTube videos highly rated Back Test Stochasticsnbsp, E Mini Trading, Forex Trend Analysis, and Macd And Stochastic A Double-cross Strategy, I tested RSI + SUPERTREND Trading Strategy 100 TIMES… so you don't have to – Forex Day Trading.

Trading Strategies RSI and Supertrend Trading Strategy tested 100 TIMES to see if you can make money with them in Forex and Stock Market
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Does the RSI Supertrend Trading strategy even work? What will happen if you combine RSI indicator with the Supertrend Indicator? Will you make money in trading? To find out, I took 100 Trades with the RSI with Supertrend trading strategy, so you don’t have to. We tested the RSI and Supertrend strategies separately on the Trading Rush channel, and they both had a profitable win rate. RSI strategy got a win rate around 49 percent with a 1.5 to 1 Reward Risk Ratio, and the Supertrend indicator on its own got an average win rate. To see the Supertrend trading strategy, check out the Supertrend strategy video on this channel.

When we tested the RSI indicator last time, we entered the trade when the RSI crossed below or above the 30 and 70 levels. When RSI value went above the 30 level, we bought. And when the RSI value went below the 70 level, we sold. On the other hand, with the supertrend indicator, we bought when the supertrend indicator indicated an uptrend, and sold when the supertrend indicator indicated a down trend. 

This worked fine! Both trading strategies got a profitable win rate, and made money in the Trading Rush App. But if we want to combine RSI and Supertrend together to see what happens, we will have to modify the strategy a little bit.

You see, the supertrend indicator is showing the short term trend direction. And the RSI indicator is showing the oversold and overbought areas. But as some of you already know, RSI works good when the market is in a range. You can use it to trade the trend. But when the market is moving sideways, some traders sell and buy when the RSI value reaches overbought and oversold zones respectively. 

But many times, when the price is moving in one direction, let’s say in an uptrend, the RSI will go above overbought 70 level, and many traders will see this as an increase in buying pressure. Similar thing applies when RSI value goes below the 30 level. Instead of buying, many traders will see the RSI crossing below the 30 level as an increase in selling pressure, and will sell instead of buying.
 
When we combine the RSI and Supertrend indicator, we buy, when the RSI crosses above the 70 level, only if the supertrend indicator is showing an uptrend. And we will sell when the RSI crosses below the 30 level, if the supertrend indicator is showing a down trend.

Subscribers of the Trading Rush channel probably noticed, that we are not using the 200 period moving average this time. Wouldn’t that affect the win rate, and the end result while comparing it with previously tested strategies? Well yes, but this time, we wanted to see what happens if we don’t use a moving average to find the trend, and use the supertrend indicator instead.

Since we are using the supertrend, in a long RSI and Supertrend setup, we can set the stop loss below it. And in a short setup, you can set the stop loss above the supertrend indicator.

Look at this example. The supertrend indicator is showing a short term uptrend, so we will only look for long entry signals. We wait for the RSI value to cross above the 70 level. When there is a buy signal, we enter the trade and set the stop loss below the supertrend indicator.

On this chart, the supertrend indicator is showing a downtrend, so we will only take short entry signals. We wait for the RSI to cross below the 30 level this time, and when that happens, we will take a short position and we will set the stop loss above the supertrend indicator. Simple as that.

So I tested the RSI with the supertrend indicator 100 times, and here’s what happened…

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Online Forex Trading – This Basic Fact Could Make You Huge Profits

They are placed side by side (tiled vertically). Get too complicated with a lot of guidelines, and you’ll just be slowed down. Examine the sellers website and examine the version variety of the software application being offered.

I tested RSI + SUPERTREND Trading Strategy 100 TIMES… so you don't have to – Forex Day Trading, Watch popular replays related to Macd And Stochastic A Double-cross Strategy.

Forex Trading – A Basic, Simple Idea To Increase Your Profits

You should not let your orders be open for longer duration. So how do we appreciate the trend when day trading? My point here is that it does stagnate the rate in one direction or another, however I want it did.

You can so this by utilizing the stochastic momentum indicator (we have actually written frequently on this and it’s the very best indication to time any trade and if you are not farmiliar with it discover it now) expect the stochastic lines to refuse and cross with bearish divergence and go short.

Versions are essential. Prior to you acquire any forex robotic, you require to make sure that it is present. How can you do this? Examine the sellers site Stochastic Trading and inspect the version number of the software being sold. Likewise, examine the copyright at the bottom of the page to see how often the page is upgraded. If not updates are being made, then it’s purchaser beware.

Since simple systems are more robust than complex ones in the ruthless world of trading and have fewer aspects to break. All the top traders use basically simple currency trading systems and you should to.

While the guidelines provide you reasons to enter trades, it does not suggest that the cost will enter your desired direction. The concept is “Do not predict the market”. Rather, you have to let the cost movement lead your way, knowing at anytime rate might alter and go in a different instructions. Stochastic Trading You have to offer up and stop out if the cost does not move in your favor.

MACD Crossover. After you have investigated a stocks chart to see if the stock is trending, you should now take a look at its MACD chart. MACD-stands for Moving Average Convergence-Divergence. This chart has 2 lines, the crossing of the 2 lines is a signal of a brand-new pattern. The two lines consist of a fast line and a sluggish line. If there is a pattern Stochastic Trading , where the crossover occurs tells you. The quick line has to cross above the sluggish line, or above the 0 line. The greater it rises above the 0 line the more powerful the uptrend. The lower it comes down below the 0 line the stronger the drop. A trader or investor wishes to capture stocks that are trending big time, that is how it is possible to make great money!

While these breaks can in some cases be tough to take, if the assistance or resistance stands, the odds favour a huge relocation – but not all breakouts are produced equivalent.

Remember, if your trading stocks, do your research and go in with a plan and adhere to it. Do not forget to secure profits. If done in a disciplined manner, stock trading can make you a lot of money. So go out there and attempt it out.

This is simply a minimum list of tools that you will require to be effective. The idea is “Do not forecast the market”. Looking for a Forex robotic to help you trade? A Forex trading system that succeeds is also easy.

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