Sunday, June 28, 2009
Super Long-term Breakout Strategy
Why do I call this strategy the super long-term breakout strategy? Well, it is because this strategy is used for long-term trading and it is very profitable.
The concept is simple. When a breakout occurs and the breakout is from a very very strong and long-time support or resistance, the price will 90% move further and further past the support or resistance, creating a super strong trend in its direction.
So what is this strategy? Simple. When you see such breakout, wait for a while to make sure it is not a fake break, and then trade in its direction! Of course, you can do some indicator analysis or candlesticks for confirmation but then again, when there is such a breakout, you know you will have some high chances to reap some long-term profits.