Swing Trading Strategies for Amibroker (AFL)
Below points are useful for any successful swing trading strategy. Swing traders must make the right choice to build an effective strategy.
- Adopt a customized holding period that fits for risk profile and position management.
- Spend more time controlling losses then seeking profit
- Specialize on single pattern for as long as it produce good result – stay focus when unexpected outcome starts
- Emotional instability is worst enemy for swing trading
- Profit require both effective risk management and emotional self – discipline.
- Swing trading tends to focus on short term positions
- Use crowd’s excitement to exit trades on wide price bars before counter trends starts
- Get out quickly on bar expansion into major barriers like prior highs or Bollinger band extremes
- Always have different parameters for buy and sell strategy
- Stocks tend to fall faster then they rise.
- Volumes builds rallies but markets will fall from their own weight
- Greed burns out faster then fear.
Create Swing Trading Strategy
- Bulls & greed live above the 200 – day MA, while Bears and fear live below
- Fibonacci retracements to pinpoint multi trend bull – bear cycles.
- Simple 13 – 20 MA gives you good trend analysis – daily basis chart
- Use 50 – Daily MA to signal intermediate resistance or trend change.
- Bollinger Band extremes is one for your best friends
- Intraday pattern cycles produce more opportunities then daily ones. but same time whipsaws
- Buy when cross some resistance , Sell when cross support
- Chose HHV / LLV as per your risk appetite
- Money Management is key role in any successful trading strategy
- 1% of trading capital is ideal for Stop loss
- Avoid whipsaw by only taking one side position depending upon long run / trend
Please find Afl attachment below. Please change afl parameter as per your risk profile and time frame
Download – Swingtrading AFL
Use it at your own risk. You are responsible for your own trading decisions. Be sure to verify that any information you see on these pages is correct, and is applicable to your particular trade. In no case will www.investallign.com be responsible for your trading gains or losses.