#TrendTradingStrategy

🔍 What Is Trend Trading?

Trend trading focuses on identifying sustained price moves—either upward or downward—and riding them for as long as momentum holds. It’s not about guessing reversals, but capitalizing on established trends .

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🛠️ Core Strategy Steps

1. Spot the trend

Use tools like moving averages (MA), ADX, and trendlines to determine trend direction and strength .

Example: 50‑day MA crossing above 200‑day = bullish trend.

2. Confirm momentum

Leverage RSI, MACD, or ADX > 25 as confirmation of trend integrity .

3. Time your entry

Enter on pullbacks in an uptrend or minor rallies in a downtrend to optimize risk–reward .

4. Manage risk

Always set a stop-loss just below the last swing low (uptrend) or above swing high (downtrend) .

Define position size based on volatility and account risk (e.g., 1–2%).

5. Ride & exit

Use trailing stops to let profits run until momentum fades or trend indicators weaken .