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Traders must learn - 16 classic trading strategies

JRFX Forex player

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Dry goods sharing, no more nonsense······

Strategy 1: Opening game strategy

The strategy idea is simple: predict the trend of the day based on the rise and fall within a certain period of time after the opening. Applicable to 1-minute, 3-minute, and 5-minute charts, with few parameters and small optimization space.

Strategy 2: Aberration strategy

Invented by Keith Fitschen in 1986, it has achieved an annual return of more than 100%.
Trading using 3 tracks: Calculate the arithmetic average of the closing price of N days as the middle track (MID), and the upper and lower tracks are MID±mstd (standard deviation) respectively. Go long when the price breaks through the upper track, and close the position when it returns to the middle track; vice versa.

Strategy 3: Turtle trading strategy

Richard Dennis has proved through practice that the long-term execution of a simple positive expected value strategy can bring stable profits. This strategy is still widely applicable in the futures market.

Strategy 4: Dual Thrust intraday strategy

Developed by Michael Chalek in the 1980s. The channel width is calculated based on yesterday's highest price, lowest price and closing price, and the width is added to the opening price of the day to form the upper and lower rails. If the price breaks through the upper rail, go long, if it breaks through the lower rail, go short, and close the position at the end of the trading day.

Strategy 5: Single Moving Average Strategy

Using only one moving average to determine the market direction, you can make money if you understand the nature of the market enough.

Strategy 6: Channel Breakthrough Strategy

A common trend trading method, which defines the trend based on the price breaking through the upper and lower channels. If the current price breaks through the upper rail, go long, if it breaks through the lower rail, go short, and close the position when it returns to the middle rail.

Strategy 7: Position Management Strategy

An important part of fund management. Using different position management methods at different stages, reasonable position management can improve strategy performance and even turn negative expected value strategies into excellent strategies.

Strategy 8: Stochastic Index Strategy

Initiated by George Lane. When prices rise, the closing price is close to the upper end of the range; vice versa. This theory is applied to the analysis of stochastic index (%K, %D).

Strategy 9: Tracking Stop Profit Strategy

Trend tracking strategies often wait until the trend reverses before exiting. Adding a mobile tracking stop profit module can reduce profit taking.

Strategy 10: Volume-price coordination strategy

Adding volume conditions to the strategy, not opening a position when the volume is insufficient can filter out false breakthroughs, but may also miss big market trends.

Strategy 11: Relative Strength Index (RSI) Strategy

First created by Wells Wilde. A large RSI value indicates a bullish trend, and you should go long; a small value indicates a bearish trend, and you should go short.

Strategy 12: Deviation Rate (BIAS) Strategy

The deviation refers to the gap between the market index or closing price and the moving average. Go long when the deviation rate is large, and go short when the deviation rate is small.

Strategy 13: Moving Average Channel Strategy

Use the moving average as the middle track, and add the upper and lower amplitudes to form a channel. Go long when the price breaks through the upper track, go short when it breaks through the lower track, and close the position when it returns to the middle track.

Strategy 14: Double Moving Average Strategy

Use two moving averages to judge the trend, and use the price to break through the moving average to find the entry point. Avoid the problem of frequent stop losses on a single moving average.

Strategy 15: Commodity Channel Index (CCI) Strategy

Proposed by Donald Lambert. CCI builds long positions above +100, holds short positions below -100, and closes positions in the middle area.

Strategy 16: Closing price breakthrough strategy

Compare the current price with the price N cycles ago. If the current price is higher than the price N cycles ago, it indicates a bullish trend, and if it is lower, it indicates a bearish trend.

These strategies cover all aspects from opening game to position management, from technical indicators to volume and price coordination. I hope everyone can choose a strategy that suits them according to their own situation, move forward steadily, and become a winner in the market.

Trading strategy signal sharing community:
https://t.me/jrfxasia2024

Newbie welfare collection:
https://www.jrfx.com/2024/april/en/?396

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Channel Breakthrough Strategy is a working strategy based on technical analysis, I use it sometimes.
 
Traders must learn key concepts such as risk management, technical and fundamental analysis, and trading psychology. Understanding market dynamics, developing a solid strategy, and practicing disciplined execution are essential for long-term success. Continuous education and adaptation to market changes will enhance a trader's effectiveness and profitability. LQDFX broker offers an advanced trading course for free to traders to grow up their trading skill.
 
The story about Turtle trading is very popular among forex traders, this has proven that being a profitable trader doesn't just rely on talent, but can be taught, meaning traders who want to achieve success must continue to learn, not just rely on talent.
 
Traders must understand market dynamics and develop a solid strategy, and practice regularly for long-term success. Continuous training and mastering emotions and adapting to market changes increases a trader's profitability. In the meantime, it is very effective to have the help of commercial signals that can be tested and checked, such as TW Volume Signal pro
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Apart from learning how to analyze the market with technical analysis, traders also need to follow updates on market changes in terms of fundamental analysis, however, both can complement each other for traders to make trading decisions.
 
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