Copyright Š 2007-2013 Market Geeks, LLC. All Rights Reserved.
New Video Tutorial Visit MarketGeeks.com Short Term Trading Report Please Subscribe To Our Channel Short Term Videos & Trading Tips!
Copyright Š 2007-2013 Market Geeks, LLC. All Rights Reserved.
Today's Agenda Stop Loss Placement
Profit Target Placement You Can Find The First Two Videos @ MarketGeeks.com & YouTube Channel
Copyright Š 2007-2013 Market Geeks, LLC. All Rights Reserved.
The Best Results Achieved = 90 Days Results for 20 day Simple Moving Average – 29.7 percent profitable Results for 40 day Simple Moving Average – 35.9 percent profitable Results for 60 day Simple Moving Average – 44.3 percent profitable Results for 80 day Simple Moving Average – 51.7 percent profitable Results for 100 day Simple Moving Average 47.9 percent profitable
Worst Results Achieved = 20 Days
Copyright © 2007-2013 Market Geeks, LLC. All Rights Reserved.
How Can This Help You? You Can Use This Data To Build Trend Fading Or Trend Reversal Strategy Remember 20 Day Breakout = Success Rate 29.7% Reverse It 20 Day Reversal Strategy = Success Rate 70.03% Add Few Filters To Increase Even Further
Copyright Š 2007-2013 Market Geeks, LLC. All Rights Reserved.
Average True Range Indicator Developed By J. Welles Wilder 1978
Published In New Concepts In Technical Trading Systems Top 10 Trading Book – Highly Recommend It
Copyright © 2007-2013 Market Geeks, LLC. All Rights Reserved.
Things To Keep In Mind ATR Does NOT Measure Market Direction
Only Measures Volatility Measures Stop Loss Levels Measures Profit Targets
Copyright Š 2007-2013 Market Geeks, LLC. All Rights Reserved.
ATR Formula Calculate Greatest Of The Following Three
1. Current High Less The Current Low 2. Current High Less Previous Close 3. Current Low Less The Previous Close By Using The Highest Of The Three You Take Into Account Gaps That Occur Overnight Copyright Š 2007-2013 Market Geeks, LLC. All Rights Reserved.
Things To Remember ATR Is Build Into All Technical Analysis Programs No Manual Calculations Necessary Change Time Frame From 14 Days To 10 Days Can Be Used For Intra-Day Trading As Well
Copyright Š 2007-2013 Market Geeks, LLC. All Rights Reserved.
Example 1
Copyright Š 2007-2013 Market Geeks, LLC. All Rights Reserved.
Example 2
Copyright Š 2007-2013 Market Geeks, LLC. All Rights Reserved.
Example 3
Copyright Š 2007-2013 Market Geeks, LLC. All Rights Reserved.
ATR Cheat Sheet Long Position Stop Loss=Subtract 2 ATR From Entry Short Position Profit Target=Subtract 4 ATR From Entry Long Position Profit Target=Add 4 ATR To Entry Short Position Stop Loss=Add 2 ATR To Entry Use ATR Number At Time You Place Order To Calculate
Copyright Š 2007-2013 Market Geeks, LLC. All Rights Reserved.
Thanks For Watching Visit MarketGeeks.com Download Your Short Term Trading Report Please Subscribe To Our Channel Short Term Trading Videos & Trading Tips!
Copyright Š 2007-2013 Market Geeks, LLC. All Rights Reserved.