High accuracy intraday “AUTO“ Fractals Trend Line trading with SpudFibo target.
Trend lines basically identify areas of SUPPORT and RESISTANCE.
A DOWNTREND LINE (a line that is moving down from left to right) can be interpreted as a RESISTANCE line (price finds it difficult to move up and through it).
And an UPTREND LINE can be interpreted as a support line (price finds it difficult to move down and through it).
Trend lines can be drawn on any time frame, but they tend to be “STRONGER” on the HIGHER TIME FRAMES.
How to draw trend line with fractals… When drawing trend lines, I start on the right-hand side of the chart and drawback to the left.
It’s nice to have the lines automatically extended off to the right of your chart, so it depends on what charting program or trading platform you use.
- To draw a DOWNTREND (or upper trend) line, find the last high (or bearish) fractal on the right-hand side of the chart. Then, look to the left and identify the next fractal point that is higher than the one on the right. Draw a line between the two highs.
- To draw an UPTREND (or lower trend) line, find the last low (or bullish) fractal on the right-hand side of the chart. Look left and identify the next fractal point that is lower than the one on the right. Draw a line between those lows.
But in this system, we use Fractals Tred Line indicator to draw fractals trendline automatically.
This “TraderVersity Intraday Fractals Trend Line Trading System” is very easy to use.
- Best Time Frames:
- H1 for intraday trading
- H4 and D1 for short-term swing trading
- Most Recommended Currency Pairs:
- EURUSD, GBPUSD, and USDJPY
- But you can use the system for all currency pairs
- Fractals Trendline
- RSI Histo
- Relative Strength Index
- Price Break above the green color “RESISTANCE” Fractals Trend Line
- RSI Histo blue color
- Relative Strength Index line upward and above 50 level
- Price Break below the red color “SUPPORT” Fractals Trend Line
- RSI Histo red color
- Relative Strength Index line downward and below the 50 level
- This “AUTO” Fractals Trend Line System is great for identifying breakouts and therefore, possible trade entry points.
- Use SpudFibo to determine your “Take Profit” and “Stop-Loss”