Hubert Senters here.
Let’s add one more free indicator to make this chart look even more busier than it is right now. But it is a trailing stop mechanism so let’s pretend we’re going to short this Roku potential trade set-up that we’re going to do.
This will allow us to stay into the trend without getting bucked out and potentially increase our profit. So in other words, let’s pretend that we were going to go short on this chart example at basically $100.43 actually get the dead low here.
Let’s go $98.71. Our stop-loss on the parabolic SAR would be this purple about. I didn’t make those bigger. Those are too small. Make them thicker. Here we go. And the theory behind this is if the Parabolic SAR is below the price, it’s trending up when they get above the price, it’s trending down.
So it’s like an early warning system for the cloud. So in this example, if we were short at $98.71 our potential stop -loss would be $140. That’s a big stop-loss. So what we’re going to have to do is we’re going to have to decrease the amount of stop-loss that we’re going to use.
Well, we could use the turning line. We could use the standard line. This is a standard line or what we can do is we can just go down here to a 60 minute chart. And now we can see. Well, that’s too tight because it’s going to wiggle us out.
Let’s do a daily weekly. Let’s do 240 minute chart. High. Perfect. So now in this example you can see that basically we got all the up move and most of the down move. So if we shorted it at $98.71 a potential stop-loss on this trade would be $104.98. That’s more it’s less risk.
So we’re not going to be risking from $98 to $141. We’re going to be risking from $98 to $104. So all you need to do is dial down your risk now. You don’t have to have all that stuff on the chart at the same time.
This is a blend of Ichimoku which is one indicator of ADX two Average True Range three and parabolic SAR four, four free indicators that if used in this combination can potentially help you time. Really good trade. So take a look at that.
Mark Helweg is going to be doing a special webinar Wednesday, October 2nd. I’ve got the wrong link. I’m getting a better link. Yeah. I’m recording this video says October 2nd but it will change when you see this video to Thursday, October 3rd and it’ll probably be the same time at 8PM EST.
Good luck. Hope it helps. See you on the next video.