3 Proven Swing Trading Strategies (That Work) - YouTube

Channel: Rayner Teo

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hey hey what's up my friend so in
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today's video I'll share with you tree
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swing trading strategies that you can
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use to profit in the financial markets
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doesn't matter whether you're trading
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Forex stocks or whatever right these
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strategies can be applied the same so
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are you ready then let's begin okay now
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before I begin right I want to explain
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to you what is swing trading because
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some of you are wondering here you know
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what what is swing trading right so let
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me explain to you quickly so swing
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trading the idea is just capture one
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swing in the market so for example let's
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say the market is in a range okay so
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over here you can see that there are
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swings in this range this is a swing
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right this is a swing this is a swing
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this is another swing and this is
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another swing right so likewise in a
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trend right you would see swings in a
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trend as well so this is let's say an
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uptrend right this is one swing this is
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another swing another swing another
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swing and another swing you get my point
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right so swing trader right basically
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right what you're trying to accomplish
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is to capture just one swing in the
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market that's it one swing so here's an
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example so for example this market is in
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a range and let's say you know you are a
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swing trader and you buy support rightly
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by over here at this area of support so
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when will you exit your trade well as a
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swing trader you typically exit your
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trade before the opposing pressure comes
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in right let me repeat that once again
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as a swing trader you usually exit your
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trade before the opposing pressure comes
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in so if you are long right where is the
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opposing pressure the opposing pressure
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is traders who are looking to sell so
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where will traders be looking to sell
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right if you look at this chances are
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traders will be looking to sell at this
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level right this resistance or swing
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high right so you want to exit your long
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trades before this opposing pressure
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kicks in so this means that you go long
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near the lows and you try to capture
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this one swing right exiting your trade
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before this area of resistance okay and
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likewise if your short the market at
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this resistance right you want to exit
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your trades before this area of support
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okay so this is the core idea behind
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swing trading and moving on I want to
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share with you tree swing trading
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strategies that
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you can use to profit in the markets the
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first one is what I call stuck in a box
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where the price is pretty much stuck in
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a range stuck in a box right similar to
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what you've seen earlier so this the
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core idea here is is that the market is
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in a range right you want to buy low and
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sell high so how you go about doing it
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is to let the price come in to an area
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of value an area of support okay and let
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the price reject the lower prices so
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this as you can see right is rejecting
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lower prices over here right the market
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at one point in time it was trading
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lower and lower and lower and then
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suddenly the buyers step in and push
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press all the way up higher and finally
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closing near the highs over here so this
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right is a swing trading setup for you
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to actually go along so when this
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happens when you see a price rejection
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of the lows of support
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okay you can look to get long right on a
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mix candle right and look to set your
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stop loss right ideally a distance away
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from this locker because you'd want to
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set it and the precise low because it's
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very common for the price to just take
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out the previous low like this one over
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here take out this low and this can go
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over here take out this low over here so
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you don't sell it just below it or
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because there's a good chance that you
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might get stopped up before the price
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reverse in your favour
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so what I'll suggest is that you know
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give it some distance write some buffer
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set it somewhere around here right
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somewhere about here and you can enter
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annex candles open somewhere here so now
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your goal as a swing trader is to
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capture one swing so now the question is
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where is the opposing pressure likely to
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come in right if you ask me right
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chances are it would come in somewhere
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about here right somewhere about here so
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if you look left right there is some
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resistance over here so you want to take
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a profit somewhere about here right and
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as you can see in this example clearly
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this one the market didn't reach far
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enough right before I reversed back into
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this area of support and then finally
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the second attempt it did hit your
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target profit so depending how you
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manage your trade this could be a
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break-even trade a small winner or even
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a loser right so I'm not going too much
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detail into trade management because
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there would be a video for another time
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but I just want to share with you the
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core concepts of swing trading so the
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other one is what I call catch the wave
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so this is use right when the market is
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in in an uptrend right when the market
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is trending you're trying to time your
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entry and capture just one swing in an
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uptrend and one thing to point out right
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is that in an uptrend
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okay there are multiple swings as a
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swing trader if you ask me I'll see your
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best chance of you know writing a stream
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is to capture the swings right that is
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in line with the Train so you can see
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that the moves that are in line with the
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trend I usually stronger right stronger
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right this portion is stronger then this
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come to Train move this portion over
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here is stronger than this come to Train
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move so you usually want to treat with
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the move right then it's in line with
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the trend I call this the trending move
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okay and how we can go about doing it is
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again over here right I've just pull out
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the 50 period moving average in an app
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trainer if it's in a healthy uptrend
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right the market tends to you know
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bounce off the 50 ma so it's being shown
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on this blue line over here so what it
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can do is that wait for the price to
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come to an area of value which is this
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50 period moving average and again look
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for a form of a price rejection it can
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be a hammer it can be a what I call a
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bullish engulfing pattern and etc so in
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this case you've got somewhat of a
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bullish engulfing pattern notice the
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price came in right at one point in time
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was near the 50 period moving average
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and then the buyers stepped in and
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finally you know pushed the price higher
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closing near the highs right as a trader
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you can look to get long again stop-loss
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so I give you some buffer below this low
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somewhere here entry over here right and
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then you can look to exit your trade
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right just bill for this swing high
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again we mentioned exiting your trade
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right before the opposing pressure kicks
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it and this over here if you as Mira is
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where potential sellers could come in so
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you want to exit your trades just before
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the swing high ideally somewhere about
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here okay so you can see that you have
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in essence what you've done in this
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right is just to capture one swing in
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this in this uptrend okay so this is the
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second strategy catch the weight and the
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final strategy I wanna share with you is
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a little bit more I'm so he's more
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aggressive right but still it's a it
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offers a favorable risk to reward on
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your trick if you don't execute it
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correctly so it's what I call fit the
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move right so this is actually a counter
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trend tree okay so because right when
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the market is trending right and if it
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has actually traveled quite a distance
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right towards the swing high towards
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resistance day it's actually opportunity
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for you to actually take a come to trend
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trade but I'll share with you a little
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bit on how to manage this type of trick
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because if you're not careful the price
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can actually reverse quickly against you
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so in this
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in this case right you can see that this
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market is in an uptrend right and price
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right actually came and retest back
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towards this swing high over here notice
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it travelled quite a bit right from this
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swing low all the way up into this swing
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high and then next can a pump or
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rejected forms a bearish engulfing
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pattern in the market collapse in the
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reverse level but prior to leave
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prior to this right if you think about
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this right at one point in time the
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market as he was breaking out higher
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down traders who actually going or
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rather when long on the break of this
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highs right because they are to me hey
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the market is breaking alright man I
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better go long the Train is up I want
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along to break out how to catch the next
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move up higher I'd want to miss the
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train and then what happened well who
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the next Kendall it did a 180 degree
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reversal towards the downside that's why
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you got this is a bearish engulfing
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pattern and now this group of traders
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who went long girlier who went long on a
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break up and now trapped right because
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the markets they thought is good up
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higher and then a reverse against them
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suddenly so they are now trapped so this
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group of traders right where will they
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put their stop-loss chances are their
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stop losses possibly right somewhere
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here here or even below this swing low
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over here so what happens is that as the
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price hits lower you would actually hit
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this cluster of stop-loss right but from
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the break-up traders and they will fuel
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further selling pressure so that's the
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logic behind this trick so what you can
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do is that when you see this a pattern
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where the price did a Falls break right
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you can go shot on the next Kendall's
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open again stop-loss right
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you can set it a distance away this high
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from this highs right in anticipation
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that you can capture one swing down back
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towards this swing low over here just a
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quick one swing down so now as I
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mentioned right this straight is a
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counter trend trade it's slightly more
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aggressive than the earlier ones because
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you are trading against the trend so for
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trade management what I suggest in in
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this instance is that you don't want to
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hold your tricks for too long so what
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usually I do is that if the price breaks
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and close let's say for example let's
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say this candle where we are currently
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looking at this candle if it breaks and
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close above this candle is high anyway
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okay I will exit the trade because I
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know I'm trading against the trend I
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don't want to overstay my I don't know
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you know stay too long or if you show
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signs of reversal chances are right the
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pullback my end and the trend would
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continue itself so this is where my
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trade management comes in it will be
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more I would say conservative right away
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my trillings
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ah so it will be tighter in this case
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alright so this is what I call fit the
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move so for the earlier traits right
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let's say like catch the wave in this
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case right so in this instance right you
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can be a little bit more I'll say giving
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your crate more room to breathe because
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after all you're trading with the trend
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so there are a few ways you can go about
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it number one you can use this market
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structure as long as the lower high
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remains intact you can hold on to the
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treat to the price hits your target
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profit or you can also you know use a
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trailing stop loss approach right to
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trillion stop-loss right until the price
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hits your target profit because after
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all this one you're trading with the
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trend whereas this one over here the
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fitnah move right you do want to over
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welcome your state your trading against
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the trend you want to get out right when
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the market is starting to show signs of
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a string right in the direction of the
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Train okay so with that said right let's
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do a super quick recap right what you've
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learned today number one we talked about
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the swing trading strategy which is
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called stuck in a box where the market
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is in range and a buy low and you wanna
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sell high we talked about catch the wave
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right for trending market on how to
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capture a swing ideally run the long at
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the area of value like the moving
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average for example I said with you
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earlier
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it's the 50 period moving average and
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then exiting your trace just prior to
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the swing high and finally this is a
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counter trend trade fitnah move where
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the market makes us strong rally into a
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key resistance or key level and then got
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rejected right you can take a shot
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position right and capture a swing down
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lower and see whether you know you can
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get a swing down lower thereby profiting
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from traders who actually long from the
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break-up okay so with that said right
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I've you know if you wanna learn more
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about what I do you can go down to my
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website over here trading with Rainer
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calm right trading with Rainer that come
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right rain ice mining here you should
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know that right and you can actually
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scroll down a little bit and actually
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have a couple of trading guides over
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here right so one is called the ultimate
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guide to Train following where I'll
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share with you practical trading
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techniques right know how to write big
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trends and market and then the ultimate
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price action
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the ultimate guide to price action
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trading on how to better time your
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entries and exits alright these two guys
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completely free right just click the
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blue button right and I'll send it to
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your email address for free okay so
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that's it
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I have come to the end of this video I
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hope you find it insightful if you did
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write could you please you know hit the
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like
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right and subscribe to my youtube
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channel and if there's anything right
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there you want to ask me or any
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questions leave it in the comment
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section below and I'll do my best to
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help well that's it right I'll talk to
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you soon
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you