Explanation of the Swing Alert DAX:
The SwingAlert DAX is based on the DAX future and will be updated at least twice a week. If I have time, I will upload it every day.
STRATEGY (just one of the many possible).
When to open a position?
STEP 1 – wait for a NEW SIGNAL in the Indicators 1, 2 and 3 after the close of DAX Market. Whenever 2 NEW signals appear, it’s time for
STEP 2 – compare the NEW SIGNAL to the BASE Trend. Whenever these line up, it’s time for
STEP 3 – enter a position in the momentum of the BASE Indicator. Use the previous Highs and Lows as Stop Loss.
When to close the position?
Whenever a New Signal appears (assuming Stop Loss is not hit). You could choose to close 50% of your position when it’s 1.5% in the money (because then the other 50% position is risk free).
And then wait for a NEW trading signal.
You could skip STEP 2, but that means you could enter a position that is not in line with the BASE Trend and therefor could be contrarian. So more risky.To earn money on the long run, it’s key to minimize the losing trades, in number but also in EUR value. Better be late than sorry, at least, if you include step 2.
Swing Alert DAX