London Breakout Strategy the Right Way — Transcript

Full transcript

1. 0:00the London breakout strategy is one of
2. 0:03the most hyped things on the internet
3. 0:05that screws over countless numbers of
4. 0:08people please stop doing it if you don't
5. 0:11want to watch this entire video but in
6. 0:13this video I'm going to explain why it's
7. 0:14crap why you shouldn't do it and what a
8. 0:17better way of doing it is
9. 0:19[Music]
10. 0:21welcome back to the channel everybody my
11. 0:22name is Artie and this is the moving
12. 0:24average a show where we discuss
13. 0:25everything day trading to keep you
14. 0:27profitable let's not waste anybody's
15. 0:29time get this video done under five
16. 0:30minutes and into the charts so the
17. 0:33concept behind the London breakout
18. 0:34strategy is that Tokyo session is
19. 0:37usually a consolidation session so once
20. 0:40London opens as price breaks out of that
21. 0:43consolidation range the theory is that
22. 0:45we'll always continue in that direction
23. 0:47the issue I see a lot of people have is
24. 0:49they have a buy order here with stop
25. 0:51loss in the range and a sell order here
26. 0:54with stop loss in the range so if it
27. 0:56breaks out and decides to reverse you
28. 0:58got stopped if it breaks out to the
29. 1:00downside decides to reverse and people
30. 1:02also make another error when they get
31. 1:04stopped out the first time they figure
32. 1:05it was a trap and then they get stopped
33. 1:07out on the downside two losing trades in
34. 1:09a row let me introduce you to something
35. 1:11called moving averages moving averages
36. 1:13usually tell you which way price is
37. 1:15trending right here I have in white the
38. 1:1821 in green the 50 and in red the the
39. 1:21200 smoothed moving averages when all
40. 1:24moving averages are lined up price is
41. 1:27moving in an uptrend as long as price
42. 1:29stays above the 21 it is a strong
43. 1:31uptrend the way that I trade and the way
44. 1:34that I teach other people to trade is to
45. 1:36wait for a rejection off of the 21 in an
46. 1:39uptrend this way you don't get into a
47. 1:41trade right here and then have to wait
48. 1:43for a pullback and price to go back up
49. 1:45to get you into profit you get in right
50. 1:48as the rejection of the strong trend is
51. 1:50occurring once price starts breaking
52. 1:52between moving averages it's usually
53. 1:54going to try to go back to the 200
54. 1:55because that's its price that's the
55. 1:57price that it wants to be just doing
56. 1:59this one thing and then using your
57. 2:01moving averages as your stop loss areas
58. 2:04and then looking left for your price
59. 2:06targets it's going to save you a lot of
60. 2:08heartache and a lot of getting stopped
61. 2:10out so don't believe the hype of all the
62. 2:12other videos and just willy-nilly Place
63. 2:15trades at the top and bottom of the
64. 2:17Tokyo session that's the wrong way to do
65. 2:19it use moving averages look look at
66. 2:21Trend look at support and resistance and
67. 2:23do trading the right way for Price
68. 2:25action to show you the price is going
69. 2:27that way not simply breaking an
70. 2:30imaginary time frame box this video is a
71. 2:32part of the intermediate playlist so if
72. 2:34you haven't checked out that playlist
73. 2:35check it out right here and if you guys
74. 2:37enjoyed this video and you like the way
75. 2:39that I teach make sure you're dropping a
76. 2:40like on these videos and subscribe if
77. 2:42you haven't already thanks so much for
78. 2:43watching and we'll see you in the next
79. 2:44one