I want to introduce this powerful trading strategy. I use two indicators which are Super Signal and Support Resistant indicator. The Super Signal arrow is the first warning that the price is going to reverse or retrace. Then the Support Resistant indicator is the trigger where we open our trades. We only buy or sell if the following are met:
- Super Signal arrow appear
- Price break the recent support or resistant
- The target is the Fibonacci level 161.8
Example buy condition:
In order to buy, we have to wait the BUY signal arrow of Super Signal indicator appear at the bottom. We do not enter trade when this signal appear. Even sometimes this signal is valid. We have to wait until the price break the most recent resistant. When price break this resistant, we open BUY and the target is Fibonacci level 161.8. Here’s how I draw my Fibonacci.
On buy, draw Fibonacci from the resistant to the candle where the BUY arrow appear. See picture above.
Example SELL conditions:
In order to SELL we must have the SELL signal appear at the top. Then we wait for the price move down and break the last or recent support. This breakout is to confirm that the price will move down further. If no breakout, there is no trade. Then we draw Fibonacci from the support to the candle where the SELL signal arrow appear.
It’s a simple system which does not need a lot of think. But, we have to be patient to wait the breakout and all the conditions met. Also, after you open the trade, do not watch it. Sometimes the target will be hit in matter of minute but sometimes it can be a whole day long. But trust me, this system will works.