Trading Strategy with High Win Rate

In this article, I will walk you through some trading strategies with higher win rates, but Neither do I use any indicator nor the moving average.

Table of Content

  

So, let's deep dive into some strategies with higher rates,

 

Big Candle Formation

In most cases, this large candle gets formed when the big player or institution exits their position, and the retailer won't be able to make that much bigger candle because the volume will be low. The most important thing about this candle is that its upper part works as a resistance, and the lower part works as a support.

 

 

Let me walk you through the logic. The buyer & seller got trapped in the range, and the market stayed in the same range. When it breaks the support and resistance and gives good momentum,

Important Notice

If it's spending some time in the top or low part, after that, it gives a breakout, which means it can be sustainable.

 

Risk-to-Reward Ratio

Trading is all about risk to reward, money management, mindset and technical setup. You must accept the risk to reward, but if there are news and events, the technical patterns will not work, and you could follow the risk to reward and money management.

 

Trading Opportunities in Range Breakout

Do not trade when the market is in the range only if you are an option buyer, but if you are an option seller, you should do that because you have the advantage of time decay.

 

 

It gives you good movement when it breaks. I have used this chart pattern multiple times, and it works perfectly.

 

Pro Candlestick Trading Strategy

When the candlestick gets formed, what people do is they take a trade, and this is the biggest mistake, which should not be repeated, by means you have to wait for the breakout because that is just an alert candle, and only take a trade if it breaks it low and high.

 

Choose near Strike Price

Choosing the right strike price is crucial because it can reduce the time decay impact, and if you are planning for a bigger target, then OTM(out-of-the-money) options are the way to go. If you choose the nearest strike price, then what will happen is that their chances of hitting the target are very high.

 

Why I'm saying that OTM is better for a bigger target?

OTM strike price is less volatile than ITM and Deep ITM options. First of all, practice on the OTM option. If you're profitable continuously, then switch to the ITM options.

So you can gradually develop your mindset to handle that much volatility.