#TrendTradingStrategy – How to trade with the trend?** 📈
The trend is your best friend in the market until it reverses. 🔄 But how to correctly identify the trend and trade with it? Let's figure it out!
#### **🔹 What is a trend?**
Trend – a stable price movement in one direction:
- **📈 Uptrend (bullish)** – Higher Highs (HH) and Higher Lows (HL).
- **📉 Downtrend (bearish)** – Lower Highs (LH) and Lower Lows (LL).
- **➡ Sideways (flat)** – the price oscillates within a range.
#### **🔹 How to determine the trend?**
1. **Visual analysis** – looking for a sequence of HH/HL or LH/LL.
2. **Moving Averages (MA)** – if the price is above MA(50/200), the trend is upward, and vice versa.
3. **Trend indicators** – ADX (trend strength), MACD, Parabolic SAR.
#### **🔹 Trend trading strategies**
✅ **Breakout of levels** – entry when exiting consolidation.
✅ **Retracements to moving averages or Fibonacci levels** – buying on upward corrections.
✅ **Following the momentum** – using MACD or RSI for confirmation.
#### **🔹 Risk management**
- **Stop-loss** – at the last minimum (for long) or maximum (for short).
- **Take-profit** – at the level of fixation or through a trailing stop.
**Main rule:** *"The trend is your friend until proven otherwise"*. Don't try to catch reversals too early!
📌 **Example:**
- BTC on the daily chart above MA200 + ADX > 25 → looking for longs on pullbacks.
Do you trade with the trend? Share in the comments! 👇 #TrendTradingStrategy #StrategyBTCPurchase #crypto