#SwingTradingStrategy

✅ Basic Swing Trading Strategy (Trend + Momentum Based)

Identify the Trend

Use 4H or Daily chart for swing trades.

Apply indicators like:

50 EMA + 200 EMA (Golden Cross / Death Cross)

Trendlines (support/resistance)

Higher Highs & Higher Lows = uptrend

Lower Highs & Lower Lows = downtrend

Entry Signals

Look for confluence of these:

Price pulls back to a key support/resistance or EMA zone

Bullish candlestick pattern (e.g., bullish engulfing, hammer)

RSI between 40–60 turning back toward trend direction

MACD crossover or divergence

Example: In an uptrend, wait for price to pull back to 50 EMA, show bullish candle, and RSI bounces from 40 → Consider LONG entry.

Set Entry, Stop-Loss, and Target

Entry: After confirmation candle closes.

Stop-Loss: Below swing low (for long), or above swing high (for short).

Take-Profit (TP):

Use Fibonacci extension (1.618) or next resistance level

Or apply Risk:Reward of 1:2 or 1:3

Position Sizing

Risk only 1–2% of your capital per trade.

Calculate position size based on SL distance.

Exit Plan

Partial profit booking at first TP.

Trailing stop (e.g., move SL to breakeven once trade moves in profit).

Exit fully at key resistance/support or if trend breaks.

🛠️ Recommended Tools:

TradingView for charting

Indicators:

RSI (14)

MACD

EMA 50 & 200

Volume

⚠️ Pro Tips:

Don’t chase trades. Let setups come to you.

Always use stop-loss.

Avoid trading during major news (especially in forex/crypto).

Backtest strategy on past charts.