This is an article shared from a reader of Olymp Trade Club about Trend and Signal trading strategy. His strategy is built from money-making in Olymp Trade series including:
1st Guide: How to make money in Olymp Trade: Trend is all you need
2nd Guide: How to make money in Olymp Trade: Uptrend and entry signals
3rd Guide: How to make money in Olymp Trade: Trading with Japanese candlesticks
Ok, let’s start the article.
As you know, my trades have a high winning rate due to two factors. They are Trend and Signal. If you know the core things, making profit in Olymp Trade is no longer difficult and ambiguous. In this article, I will share my entry points and trading process in Olymp Trade when using T.S strategy on February 17, 2020 and February 18, 2020.
Things to prepare for the money hunting with Trend and Signal strategy in Olymp Trade
Choose the pair of assets I understand most about its fluctuations. Here I choose the EUR/USD currency pair. And I’m a trend trader so Asia session is not my favorite one. I like trading in European and US sessions because I have a high winning rate with T.S.
Find out if there is news that strongly influences the exchange rate of the assets you choose. You can also quickly look through the analysis in Olymp Trade. If you do not know how to watch the news on the Olymp Trade interface, you can refer to the article: How to read the economic calendar at Olymp Trade.
The risk I accept is $250 because I limit my transactions to only 5 orders a day. Each order is $50. So I deposit just enough to trade.
The conditions for opening orders with Trend and Signal strategy in Olymp Trade
First of all, what is the current major trend in the trading time?
If it is an uptrend, then only watch logical points to open UP. On the contrary, I will only open DOWN in a downtrend. When the market hasn’t had a clear trend (sideways), my advice is to stop trading. Because it is hard to win in a sideways market. The more you trade, the more you throw your money into a wastebasket.
After identifying the trend in Olymp Trade, next are the entry signals. They include candlestick patterns and indicators. To identify signals quickly and accurately, you must learn overall knowledge about candlestick patterns and special candlesticks. After learning and trading demo, you will know when to apply which special candlesticks and indicators to improve accuracy to the highest level.
There are some reliable candlestick patterns when combining with trends.
Upward trend: Morning Star candlestick pattern, Hammer pattern, Pullback candlestick, etc.
Downtrend: Evening Star candlestick pattern, Gravestones Doji candle, Pin bar candle, etc.
If you want to learn about these candlestick patterns, you can refer to the articles in the Education section of Olymp Trade Club.
Review Olymp Trade entry points on Feb 17 2020
Order 1: The downtrend was gradually weakening. The signs were red candlesticks with lower tails. A Bullish Harami candlestick pattern appeared. The trend was likely to reverse from downward to upward. Opened a UP as soon as the pattern is confirmed.
Order 2: The price continued to increase. A standard Hammer candlestick showed up. Following the uptrend, I opened a UP when the pattern was confirmed.
Order 3: The uptrend was clear. There was a hammer candlestick testing the support level the price just passed. At the end of the signal, it was time to enter a UP. I expected that the price would continue to rise following the established uptrend.
Order 4: The price was still going back to test the support level the second time. At this time, my expectation was that the next candle was a green one following the main trend. Entered an UP as soon as the signal candlestick was closed.
Order 5: The candle broke out quite strongly at the current important resistance level followed by the Three white soldiers pattern. It meant the price would continue this strong trend. Entered an UP when confirming the candlestick pattern.
The trend kept going up but it was enough for a day. My rule is 5 orders a day so I stopped trading and closed the laptop. As long as the market is there, there are tons of opportunities with Trend and Signal strategy in Olymp Trade. Do not let emotions lead yourself to orders that are likely to lose.
Total: Win 4 lose 1. The profit is $114.
Review Olymp Trade entry points on February 18, 2020
Order 1: When the price broke the support zone, it was the beginning of a downtrend. Once the price has broken through the hard support zone, it retested the level with a Bullish Doji candlestick. This was a good signal to open a DOWN.
Order 2: The price kept going down and testing the recent resistance it just passed. Opened the DOWN when the signal candle (Test Candlestick) is a Doji with a long upper wick.
Order 3: After a fairly strong decline, the price started to recover. The new resistance level was formed. Opened a DOWN as soon as the test candlestick closed.
Order 4: After the strong red candlestick was a gravestone candle in a downtrend. This was a positive signal that the next candle would decrease if the gravestone was formed. Enter a DOWN after the signal candlestick closed.
Order 5: This was an Evening Star candle pattern in a downtrend. It was likely that the price would continue to fall. Bet a DOWN as soon as the price has successfully created the Evening Star pattern.
After 5 consecutive DOWN in 3 hours, I finish my trading time. Never break the rules.
Total: 4 win – 1 lose. Get $114 profit.
If you want to make money from Olymp Trade, you must at least have an effective trading method and a strategy around it such as Trend and Signal. Then write seriously the rules that are beneficial to your trade. Apply the rules during your trading time. If you can do it, you’ll see a positive change when making money in Olymp Trade. In every game, calm is what makes us the winner.
These are the shares of my trading process and I only see trading in Olymp Trade as an additional income to cover my basic daily living expenses like electricity, water bill or coffee, etc. Don’t press yourself to earn a living with trading when you’re not ready. Thank you for reading this article. Sincerely!