The Reversal Day Trading Strategy
Reversal Day Trading Strategy
Criteria for a reversal stock candidate
2) I look for at least 5-10 consecutive 5min candles of the same color
3) I look for RSI below 10 or above 90 to indicate extreme conditions
4) I think of these stocks as a rubber band, the more stretched out it is, the better the snap back potential
5) I look to buy the first candle that begins to reverse with a stop either at the high/low or minus 20 cents.
6) I use trailing stops to keep myself in these winning trades as long as possible.
Warrior Reversal Indicator available on eSignal
To complement our trading strategy we have developed a highly customized Warrior Reversal Indicator with eSignal. In an effort to teach traders the techniques for success we are distributing this indicator free of charge! The Warrior Reversal Indicator is ready to use out of the box. Traders are welcome to tune the filters to suit their individual preferences or to adapt to changing marketing conditions. To learn more about these options please visit the eSignal Knowledge Base. If you have any questions please feel free to reach out at anytime! We are here to help.
Our indicator includes:
* Adjustable High / Low RSI Filters
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