STEPS TO SUCCESSFUL TRADING WITH PROFIT TRADER:
|Despite all the hype, the only Holy Grail to trading stocks and commodities is to trade with trend -- if it is up, buy the dips; if it down, sell the rallies.|
|But the question is - How do you determine trend?|
trading with cycles, the answer is simple --
The trend for the trading cycle is determined by the dominant cycle (trend cycle) in the next longer time frame.
|In a daily chart, the trend is determined by the cycle in the weekly chart. In a 5-minute chart, or a 7-minute chart, the trend is determined by the cycle in a 20-minute chart. The chart examples that follow show the weekly trend cycle/daily trading cycle relationship in the S&P500 Index. The same trading concepts and techniques work in all time frames, all markets.|
|Go to Step 1|