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The following is a short extract from the course "How To Trade The Futures Market", please click here Trade Futures Course for full details on how to obtain the full text, futures trading simulator along with sample data and bonus trading ebooks package.

Find: Lows trend higher high bar low lower method able highs.

 

In order to be able to trade with the trend, we need to be able to identify the trend. We could use an objective or a subjective method to identify the trend. A subjective method allows for interpretation and flexibility, but is subject to our indecisiveness and hesitation. An objective method allows for no such flexibility, so it won't always be right, but being rules based and rigid it is open to testing and minimizes human error. We know that the definition of a trend is higher highs and higher lows for an up trend and lower highs and lower lows for a downtrend. So an up trend is broken when the last low is broken and a downtrend is broken when the last high is exceeded. My method is simply to buy the breakout of the most recent high and sell the breakout of the most recent low. In order to be able to do this we need to be able to define a high and a low. In this approach we define a high as being a bar (in any time frame) that has two lower highs before it and two lower highs after it. So we will only know if a bar is a high bar after at least two more bars have formed. Similarly a low bar has to have two higher bars before it and two higher lows after it. Figure 30 54 Figure 31 The two bars in the diagram above have equal lows and as they have two higher lows before and two higher lows after, they form a low bar.

 

Find: Lows trend higher high bar low lower method able highs.

 

 

How To Trade The Futures Market

For full details about this detailed course, which includes a futures trading simulator software package complete with some sample trading data, and free trading ebook package please click here Futures Trading Course

 

If you are more interested in trading the eminis you need to review these emini - e-mini trading courses

 

Futures Trading Course ebook

 

Professional Trader Explains How The Market Really Works - Don't Believe Me?... See For Yourself! Click Link Below For FREE professional trading insights!

Free 5 Day Video Trading Course

 

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