1 Minute Scaling Strategy — Transcript

Full transcript

1. 0:00Here are the trades that it has taken
2. 0:02since Monday night till right now. In
3. 0:05today's video, I'm going to show you RSI
4. 0:07divergences on the 1-minute time frame
5. 0:10and what the trades have looked like
6. 0:12over the last few days. I believe I've
7. 0:14finally been able to automate this
8. 0:16strategy, but it's not fully there yet.
9. 0:19In any case, I still want to document
10. 0:21the process, so let's get into the
11. 0:23charts. Okay, so just to keep this video
12. 0:25shorter, I'm going to show you the
13. 0:27trades that have occurred since midnight
14. 0:29tonight. Today is Tuesday and what we're
15. 0:31going to do is look at the RSI as well
16. 0:34as price and find where price and RSI
17. 0:37are diverging on this low time frame,
18. 0:39the 1-minute. Now, because this is an
19. 0:41automation, some of these do not meet my
20. 0:44visual requirements, but so far it's
21. 0:46working okay. Zooming into this first
22. 0:48trade, you can clearly see price was
23. 0:50making a higher high and the RSI was
24. 0:52making a lower high. The first high
25. 0:54being above the 70 range and the next
26. 0:58high being below the 70 range. That is
27. 1:00my secret sauce for divergences. Once
28. 1:02you get a rejection candle, you set up a
29. 1:04short position and because this is a
30. 1:071-minute time frame, I'm only looking
31. 1:09for tiny, tiny, tiny little pullbacks.
32. 1:13I'm not expecting major swing trades or
33. 1:15major retracements or major reversals
34. 1:19based on the 1-minute time frame
35. 1:20divergences. Higher time frame, yes, but
36. 1:24because I want to get the volume of
37. 1:25trading in to get a higher percentage
38. 1:27return per week, I'm only looking for
39. 1:30small moves. Anywhere between three and
40. 1:32five pips is going to be my maximum
41. 1:34here. Now, the next trade setup, this
42. 1:36one I didn't like as much because I
43. 1:38would have visually drawn these like
44. 1:41this and this doesn't meet my
45. 1:42requirements for an RSI divergence with
46. 1:44my secret sauce recipe. The last high is
47. 1:47actually still outside of the 70 range,
48. 1:49but what the automation has done is
49. 1:51actually measured a double top with a
50. 1:54tolerance of 0.1 ATR right here And you
51. 1:58can see that tiny little divergence in
52. 2:01the middle of the chart. This did cause
53. 2:03some drawdown, but it eventually went to
54. 2:05the take profit. Next up, this one is
55. 2:07much more clear. You can see that first
56. 2:10lower low was outside of the 30 range,
57. 2:12and then the next lower low was within
58. 2:14the 70-30 range. This trade also went
59. 2:17into some drawdown, but eventually hit
60. 2:20the take profit level of three pips.
61. 2:22Next up, again, another one I didn't
62. 2:24really like, but because it met the
63. 2:26requirements of the double top tolerance
64. 2:28with 0.1 ATR, it actually measured this
65. 2:31divergence right here. Again, went into
66. 2:34some drawdown, but eventually hit the
67. 2:37take profit area. Double bottom,
68. 2:39RSI divergence outside the 30, inside
69. 2:42the 30, and hit the take profit level.
70. 2:44Now, this one was much bigger, and after
71. 2:47this strong rejection candle, quick
72. 2:49retracement, that one hit almost
73. 2:50instantly, within 2 minutes. And
74. 2:52currently, we are in another one. It
75. 2:54measured this divergence right here as
76. 2:57price made a higher high. We are
77. 2:59currently in a bit of drawdown, but
78. 3:01hopefully it will take the three-pip
79. 3:03take profit level.
80. 3:05Now, because this is an automation, and
81. 3:06I'm still testing it, I'm leaving the
82. 3:08stop loss much wider because the win
83. 3:11rate right now is sitting at about 90%
84. 3:13with a larger stop loss. Yes, the
85. 3:15risk-to-reward ratio is kind of
86. 3:17atrocious, but with such a good win
87. 3:20rate, it might be worth testing
88. 3:21long-term. Here are the trades that it
89. 3:23has taken since Monday night till right
90. 3:27now. And I think what I've learned from
91. 3:29all of this development process of what
92. 3:33I see on the charts and how I can
93. 3:34actually translate it into a language a
94. 3:37computer can understand, which then
95. 3:39leads into the indicator. There's a
96. 3:41massive benefit, but also a massive risk
97. 3:44to this. The benefit is that it can
98. 3:46trade while I'm asleep, not available,
99. 3:49and does not make emotional decisions.
100. 3:52The decisions that the system makes is
101. 3:54based on mathematical computations that
102. 3:58simply occur on the charts. And it is a
103. 4:01pattern that I've recognized over years
104. 4:03and years of day trading. Now, one of
105. 4:04the main issues with it, as you saw on
106. 4:06the charts, some of them don't really
107. 4:08make sense to me visually. Others were
108. 4:11completely absurd and I wouldn't have
109. 4:12taken them. But, if that's the risk that
110. 4:14I need to take in order to have more
111. 4:17consistent winning trades that do follow
112. 4:20all of my rules while freeing up my
113. 4:22time, I believe this is a path worth
114. 4:24going down. If you would like to try the
115. 4:26same strategy, I did a full long video
116. 4:29breakdown of the exact rules of my
117. 4:32secret sauce RSI divergences. And if
118. 4:35you'd like to not just test it on a demo
119. 4:37account, but see if this would work in
120. 4:39the live markets, there's a huge
121. 4:41opportunity right now. I actually spent
122. 4:43the last 30 days of my life negotiating
123. 4:45with Funder Pro to allow only my
124. 4:48audience to get a $1,000 funded account
125. 4:52for a single dollar, which is less than
126. 4:54a can of soda. So, if you just go to
127. 4:55Funder Pro's website and use the code
128. 4:58try one, it's open to anybody watching
129. 5:01this video. And you can actually try
130. 5:03trading these RSI divergences
131. 5:06on a lower time frame once you've
132. 5:08watched the tutorial on how to actually
133. 5:10set up the trade according to my secret
134. 5:12sauce. And if you want to learn that,
135. 5:14that video is going to be right here.
136. 5:15Thank you so much for joining me today.
137. 5:17I really appreciate you guys and we will
138. 5:18see you in the next one.