Nikkei 225 Index JPN225 Daily - TREND INDICATOR TRADE IS SETUP
Here are some trade setups that I thought you might want to consider:
SETUP FOR TRADE:
1. 2-Month low for range movement indicator.
2. CCI reading > +100
3. Break previous day's low.
4. Risk 3 Average Ranges.
5. Cover when CCI <-100.
6. Or Trail stop by 3 ATR behind lowest close.
This generates a few trades with the first being a losing trade.
The "TREND INDICATOR" is a simple, price based indicator that has no price bounds. The "RANGE MOVEMENT" indicator needs to make a new 2-month high or 2-month low to indicate the trend.
THEN:
In an uptrend, buy dips to CCI -100 and exit on rallies to +100 or a 2-month high in price.
In a downtrend, sell rallies to CCI +100 and exit on declines to -100 or a 2-month low in price.
Therefore, a sell signal is setting up here: JPN225 needs to break under a previous day's low (PDL) to trigger a short sale.
Tim 5/20/2014 10:59PM EST
SETUP FOR TRADE:
1. 2-Month low for range movement indicator.
2. CCI reading > +100
3. Break previous day's low.
4. Risk 3 Average Ranges.
5. Cover when CCI <-100.
6. Or Trail stop by 3 ATR behind lowest close.
This generates a few trades with the first being a losing trade.
The "TREND INDICATOR" is a simple, price based indicator that has no price bounds. The "RANGE MOVEMENT" indicator needs to make a new 2-month high or 2-month low to indicate the trend.
THEN:
In an uptrend, buy dips to CCI -100 and exit on rallies to +100 or a 2-month high in price.
In a downtrend, sell rallies to CCI +100 and exit on declines to -100 or a 2-month low in price.
Therefore, a sell signal is setting up here: JPN225 needs to break under a previous day's low (PDL) to trigger a short sale.
Tim 5/20/2014 10:59PM EST
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.