Trend-following methods lose in a range, right?
I am a candlestick FX trader.
With a new prime minister elected in Japan,
and both the employment statistics and CPI passing,
next comes the United States presidential election, which is the biggest highlight of this year,
and for now the market is in a wait-and-see mood.
The market, at times, is difficult to trade in a range market,
while at other times a strong trend emerges, making it easy to aim for large profits.
Including myself, those who are not doing well
tend to break their streaks in such range markets,
stop using their current logic,
or quit trading altogether.
Then, when a big trend occurs next,
they miss riding it and feel frustrated.
And as the trend ends,
they jump back into the market again,
only to find themselves trading,
in which case the market has entered a range again,
and they end up not trading well,
further reducing their account balance.
If you repeat this cycle,
your account balance keeps shrinking, but
you convince yourself you are trading according to the logic,
think that the logic can’t be used,
and embark on a new quest for a different logic.
This kind of negative loop was exactly how I was in the past (sweat).
If you keep repeating this,
no matter how wonderful a logic you obtain,
your funds will not grow.
Because you actively trade in range markets,
and in trend markets you just watch with your finger in your mouth,
repeating that pattern.
Markets have good periods and bad periods.
So anyway, in any market,
you must calmly continue using your logic.
It may not work well in range markets,
but by continuing to use it,
when a big trend occurs, you can gain unexpectedly large profits
that will enrich your account.
And you can ultimately keep a solid overall profit
and gradually increase your funds.
And this trend,
no one can predict exactly when or how big it will be.
So, trying to enter only when a big trend appears is simply impossible.
By overcoming range markets and difficult trading conditions,
you can ride into the big trend.
However,
despite that, you still don’t want to suffer a streak of losses in a range, right...
.
I agree: I know it’s physically hard to take big gains in a range.
This is simply unavoidable.
In a market that moves only 10–20 pips up and down,
going for a single move of over 100 pips is not possible unless you are the central bank governor.
I understand that, but
I would like to avoid losing streaks if possible.
This is what I used to think.
In range markets, minimize losses and avoid streaks as much as possible,
while in big trends, take big, solid profits.
Such a strategy seems sustainable, doesn’t it?
At least, that’s what I believed.
So, the logic I am currently using“Trend Scalp FX Logic”is,
when a large trend appears, I pursue profits to the end,
and furthermore, in range markets, I have designed it to minimize streaks.
Trend-following methods often focus on taking large profits,
but few logics are designed to limit losses and avoid streaks in range markets.
Based on my past experience,
I wanted to trade while avoiding range-streak losses,
and after much research,
I built a rule-set to prevent funds from decreasing in ranges
and thus proceeded.
Now, is this really possible? Let’s look at the latest market.
The chart below is yesterday morning’s market.
In the morning, trends were not very likely to form,
and it was a week when trends were not forming much in general.
Let's see what kind of profits emerged from that.
Currency pair: XAU/USD
Timeframe: 1 minute
There were 2 trading opportunities,+69.2pipsprofit.
What I want you to pay attention to is the middle of the chart.
This is a range-bound state,
showing a market that is very hard to trade.
Nevertheless, not only did I avoid losses from streaks,
but I secured small profits and,
later, when a bit of trend emerged,
I properly took profits.
Because it is a trend-following approach,
it is natural to aim for profits when a trend appears,
but even in range markets, not losing and even making profits
is something rare in the world, I think.
Thus,“Trend Scalp FX Logic”is,
not only aiming for large profits in trending markets,
but also designed to be as loss-averse as possible in ranges.
Therefore, even in the current range market,
even though you cannot physically target huge profits like 100 pips in one go,
you can avoid streaks of losses in ranges,
and can trade with more confidence.
As a result, because you can trade with confidence in range markets,
when the next big trend appears,
you can ride that trend properly.
So, trend-following strategies,
do you worry that range markets would be tough?
I thought to explain why that is not the case.
Also, when I just checked GoGoJang’s homepage,
in the e-book section,ranked number 1.
It has not even been a full month since release, but
more than 100 people have already purchased it.
Thank you very much to everyone who purchased it!
And daily, we have received many happy voices,
and I am again grateful that sharing this logic was worth it.
Moving forward, with the US presidential election looming
we do not know what kind of market will come, but
I hope this logic can contribute to your everyday trading.
In the meantime, have a good weekend and holiday.
“A logic that can aim for large profits with scalping.”
“A logic that even beginners can profit from quickly.”
“A scalping logic that can be traded without discretion
If you want to trade like this,
I would be happy if you could get a copy.
For more details, please check the links below.
Trend Scalp FX Logic