[Method Logic Details ④] [MACD (short-term)] Following the higher-timeframe trend is the key! Directly taught by the master: the logic to reduce losses
[Technique Logic Detail ④] [MACD (short-term)] If you follow the higher-timeframe trend, you can't go wrong! The "reduce losses" logic taught directly by my master
This article focuses on the following [MACD (short-term)]. For other indicators, please see other articles
■Overview of the entire method
We focus on the "edge" (expectation) of winning rather than the "win rate"
1-minute timeframe scalping trading method
Even in scalping,
we align with the mid-term trend (higher timeframe direction),
and capture the short-term momentum
that moment
Also, avoid areas with low volatility
do not go against the higher-timeframe flow, ride the current momentum
Where there is momentum
areas where prices rise soon after entry (or fall quickly after entry)
Trade only where there is an expectancy, and accumulate profit overall
■ Combinations of excellent logics
We combine multiple logics that alone can constitute a trading method
■ What each indicator determines
※ Each blog will explain one by one
【Logic Explanation of the Method ①~⑤】
【○○】is an indicator
【Logic Detail ①】[Bollinger Bands]
【Logic Detail ②】[MACD (short-term)]
【Logic Detail ③】[Two EMAs]
【Logic Detail ④】[MACD (mid-term)]
【Logic Detail ⑤】How to take entry points and exit points
【Logic Detail ⑥】Presence or absence of volatility
Now, below, about 【Logic Detail ④】[MACD (short-term)]
I will write about this
This is the important, very important logic I learned from my master
MACD
is a balance between two lines: a short-term EMA and a mid-term EMA,
and is a very effective indicator for judging market direction and momentum
We use it in the method to maximize its benefits
How we use it in the logic? I will explain
■ Even in scalping, riding the higher-timeframe flow is extremely important
Just this alone is a strong filter to "reduce losses"
[MACD (mid-term)] is set slightly longer than [MACD (short-term)]
and used to ride the longer timeframe momentum
To ride the longer timeframe, still,
just watching the slope and direction of this [MACD (mid-term)], trade within that period is sufficiently advantageous
Because it considers the mid-term trend,
you don't often get whipsawed,
and then, within this, how to take the entry point?
The precise entry is left to the logic of other indicators,
that is how it works
This logic may look understated, but
for me and for my master’s method, scalping on a 1-minute chart, it might be the most important
In scalping, to take only momentum
Nevertheless
if you do not factor in the mid-term trend as a trend-following approach,
you will be whipsawed quite a bit, profits may be just enough or negative overall
If there are logics that only ride the higher-timeframe trend like this,
you will rarely face a situation of a back-and-forth whipping
The boxed area satisfies this logic
MACD period settings and level values are spoilers, so they are not stated here, but
I think there are many possible settings, so if you are interested, please search for those settings yourself
As already described in another article,
in my actual method I use MACD with one more different setting
Article: 【Logic Detail ②】[MACD (short-term)]
The method I am currently practicing is here
【Stable 1 Day +10 pips】
Learned from a pro trader, the FX method on 1-minute charts that helped me exit the losing group (2–5 hours a day)
Explained with smartphone chart images
【Entry Point】【Exit Point】that are easy to understand
■ Thoughts of overseas pro traders (legendary investors Buffett and Soros)
A trading method not to win, but to earn
Trade only at points with high expectancy, not based on win rate
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https://www.gogojungle.co.jp/tools/ebooks/76385
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