When a stock is trading in a channel… is it better to wait until the channel breaks or play it off the bounce of support and resistance?
★ SUMMARY ★
Let’s take a look at what is a channel. A channel is typically when a stock is moving in a tighter range pattern than normal. Think of this like a stream, a channel of a river, so it’s tighter, it’s smaller, it’s a smaller pattern range than what the river normally flows.
There are typically three types of channels you have a sideways channel, you have an upward channel, and you also have downward channels
How a stock moves in a channel?
How does the stock move within this channel? Typically you will have a stock move from the downside, or from the upside region, depending on where it’s coming from.
The question really comes down to, is it better to trade within that channel? Or is it better to go ahead and trade once that channel breaks?
Posted at: http://investinghelpdesk.com/24-when-trading-a-channel-better-to-wait-until-the-channel-breaks/
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8:30 hehehehe
They say there is no holy grail in trading. There is , its called trading the channel in the higher time frames and compounding it.
@Sasha Evdakov what software do you use?
Didn't even talk about the upward and downward channels
I love how Sasha says "stock"…. STAHHK
milked the clock the whole time
amazing
If I wait for the safer risk, when the stock break the support line, why it is safer? Is it because when the resistance or support line is break, its pretty sure it will goes up or down for quite few time?
Appreciate this new initiative and format Sasha. Looking good ;)!
Vry vry important video!!!
I was thinking that u should request sasha to make video on channels trading, n guess what he did it 😀
Thanks a lot sasha
Thanks. Good video! Do you have any videos on stops? What to think about when setting the stop distance. ATR and such.
Thankuh very much brother for all ur support and knowledge uh share with us