pullback swing trading strategy

REQUIRED GOVERNMENT DISCLAIMERS RISK DISCLAIMER: FUTURES & FOREX TRADING HAS LARGE POTENTIAL REWARDS, BUT ALSO LARGE POTENTIAL RISK. YOU MUST BE AWARE OF THE RISKS AND BE WILLING TO ACCEPT THEM IN ORDER TO INVEST IN THE FUTURES AND FOREX MARKETS. DON'T TRADE WITH MONEY YOU CAN'T AFFORD TO LOSE. THIS IS NEITHER A SOLICITATION NOR AN OFFER TO BUY/SELL FUTURES OR FOREX. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE DISCUSSED ON THIS WEB SITE. THE PAST PERFORMANCE OF ANY TRADING SYSTEM OR METHODOLOGY IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS. CFTC RULE 4.41-HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER- OR OVER-COMPENSATED FOR THE IMPACT, IF ANY, CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.

Set up is called 4 X 4 pullback strategy. Tried and tested for over 12 years. Applies across most markets except options. Works with daily and intraday time frame.

Works well with high volume stocks and index futures contracts. Both to the upside and to the downside.

YOU MUST IDENTIFY THE MAIN TREND 1. Find a market that is moving strongly either up or down.

2. The 4 by 4 pullback relies on price action and does not use technical indicators.

THE 4 WEEK HIGH OR LOW PRICE WORKS WELL TO IDENTIFY MARKETS THAT ARE TRENDING

IDENTIFY THE TURNING POINT 1. This is the point where the market begins to turn back in the direction of the major trend.

2. This will allow you to maximize profit and minimize risk. *TIP â&#x20AC;&#x201C; The lowest risk entry opportunities occur when the main trend and the minor trend intersect.

LONG ENTRY RULES 4 X 4 PULLBACK 1. Market must trade Above 4 week HIGH price. 2. Next 3 trading days must have consecutive LOWER closing prices. 3. The 4th day the market must close ABOVE the previous day’s HIGH. 4. Enter a buy stop 5 ticks ABOVE the HIGH made on the 4th day. 5. Put a protective Stop Loss 5 cents BELOW the LOW of the 5th day. 6. Profit Target is distance between the entry price and the stop loss multiples by 3 and ADDED to the entry price. Copyright © 2007-2013 Market Geeks, LLC. All Rights Reserved.

SHORT ENTRY RULES 4 X 4 PULLBACK 1. Market must trade Below 4 week LOW price. 2. Next 3 trading days must have consecutive HIGHER closing prices. 3. The 4th day the market must close BELOW the previous day’s LOW. 4. Enter a SELL stop 5 ticks BELOW the LOW made on the 4th day. 5. Put a protective BUY Stop 5 cents ABOVE the HIGH of the 5th day. 6. Profit Target is distance between the entry price and the stop loss multiples by 3 and SUBTRACTED from the entry price. Copyright © 2007-2013 Market Geeks, LLC. All Rights Reserved.

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