Simple profitable scalping method

Discussion in 'Technical Analysis' started by Trader28Lite, Nov 12, 2006.

  1. 1 minute chart

    MACD 12,26,9

    2 period Simple moving average +2 offset (horizontal shift)


    METHOD: eg: buy signal

    1: MACD above it's signal line

    2: Price pulls back below 2 SMA +2 but MACD stays above it's signal line

    3: Trigger: Price opens above the 2 SMA +2

    *exit is up to the individual and will seperate the men from the girls*


    Note: What you are looking for is the price to close below the 2 SMA +2 without the MACD breaching it's signal line so that when price opens above the 2 SMA +2 you are confident that there is plenty of momentum to scalp a few ticks and the pullback was just a breather in a continuation.

    MACD zero line is not as important for this method because you are scalping, but as always any long signal above the zero line will probably move more so you can target a few more ticks than if it was below and vice versa for a short

    METHOD: eg: sell signal

    1: MACD below it's signal line

    2: Price pulls back above 2 SMA +2 but MACD stays below it's signal line

    3: Trigger: Price opens below the 2 SMA +2

    *Dont ask me how it goes on the YM, I've only watched it on the ER2 and know it works a treat for that market*
     
  2. Could you post an annotated chart showing this scalping method? Thanks!
     
  3. Will this work on YM?
     
  4. Here's the last couple of hours on Friday

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  5. And here's the YM, look ok, but I dont really watch it


    [​IMG]
     
  6. Dont make me hurt you BB