ClearTrend
Our ClearTrend Strategy uses a combination of trend detection mechanisms for trade entries and risk management.
Overview
In trading, 'The trend is your friend' holds true. Optimal trade selection is key for long-term success, especially since the market trends only about 20% of the time. Our ClearTrend suite, available in fully automated or indicator form, serves as a strategic partner by identifying optimal trade entries and offering real-time responsiveness to opportunities and risk management."
How It Works?
The algorithm offers customizable moving averages to match your trading style. It uses these averages to identify trends, with settings for alignment and trend strength. You can measure strength using ATR-based sensitivity or a fixed distance setting, adapting to price volatility. The ClearTrend algorithm focuses on price pullbacks rather than buying peaks or selling bottoms. It includes an extra moving average for adjusting the preferred pullback strength. Shorter moving averages suit fast, trending markets, while longer ones are apt for weak trends with more pronounced reversals.
Additionals
You can also consider that If choosing the Pullback EMA is challenging, the shorter EMA is a viable option, though a longer EMA provides additional protection in weak price action. The trade entry rules address these concerns by waiting for consolidation and entering on a price breakout post-pullback. This approach not only sidesteps traps but also identifies high-probability setups. Additional optional indicators such as the RSI are automatically included. RSI can supplement trade decisions. The MACD histogram is another tool that can be used to gauge trend strength.