hello traders welcome to this training session tips and ideas for trading the
t7 which is a double top double bottom with Trend strategy now in our
educational room we call it the bet the farm trade BTF and so you'll see this
marked up on the chart and I've had many members ask me if I could explain the
strategy in detail so basically we have two tests and another rejection the
market then decides to go in another direction and so that's basically what
happens with a double top and a double bottom now members if you go to our
folders you'll see under powerpoints we have extensive powerpoints there on
trading double tops and double bottoms with the exception with this setup or
it's not really with the exception with this one though it's a trend following
strategy as I'm about to illustrate so in a moment we'll go to the charts and
I'll show you ten or so different examples of bit the farm trades first of
all as always we do need to I put up the disclaimer as always this is a royal
real and unedited recording so if I make any blunders you'll have to forgive me
so on the understanding the risk if you haven't read our risk disclaimer for
some time please pause the video read the disclaimer there is a risk in
trading it's very very important that all traders understanding the risk
understand the risk I should say by the way I've been up trading all night it's
very early in the morning here for me down under so once again go to excuse me
so let's have a look at a couple of rules here
first of all normal money management rules apply meaning when I say bet the
farm that's a little tongue-in-cheek yes it is a very high probability trade
and that's a great thing about this it is a high probability trade however you
still will have losses right so it's so very very important that you stick with
your trading plan and your money management rules secondly this is a
trend following strategy so we are looking forward trading in the direction
of the trend this strategy works on all time frames
and markets but verify we know that every market has its own personality so
this will work on Forex futures and stock markets but the specific market
just go back and just back test now a t7 a double top of double bottom can be
within two to three ticks of forming a perfect double top or double bottom
walks like a duck looks like a duck acts like a duck it's a duck
meaning you don't have to have exactly the same height on a double top to work
and I will show you this on the chance ideally the anchor chart supports the
trade it's fantastic if you have a double top or double bottom in the sweet
spot zone that is where the anchor chart also supports the trend direction of
your double top or double bottom ideally you have divergence this is a
real bonus and we see this virtually every day if you've got divergence and a
trend trade so divergence sought supporting the double top double water
that is fantastic it probably adds another 10% to the percentage of this
trade coming off for you ideally the t1 super scalper confirms a trade
ideally to I'll show you what I mean by that so if you don't have the super
scalper but just look for a close over the trigger line so if you're going short
you want to see a close under the trigger line it's going short if you're
going long you want to see a close above the trigger line that's if you don't
have the super scalper we're looking for bit the farm trades at the 34,89 200 and
535 EMA's is sort of the best I really believe around the 200 is sort of your
most accurate but they're all high probability trades so let's go and have
a look at these in detail so what we're going to do we're going to have a look
at a few on a couple of different markets so we'll just have a look at the
NQ because it really doesn't matter which market you're going to trade as I
said because all markets have different personalities this
spend a bit of time go back and look at 40,50 ideally 100 trades this is how you
start to visually recognize them so what we're looking at here traders is the NQ
144 so we can see here we've come down we've got an 89b bounced at this level
you can see it here we've got a double bottom within the tick we have two super
scalpers plotting a white paint bars in the direction now on this particular one
it only rallied up probably about eight ticks not a great example but it still
is a bet the farm at t7 double bottom with divergence so we can see here we've
got divergence and so you would have got out of this with a few ticks or a
break-even coming down here we now have a great 200b double bottom so t7 with
divergence so we can see divergence on our platinum in the direction of the
overall trend and if you looked at your anchor chart here you would see we had
very very strong trend support on the anchor chart and so effectively what the
markets done is come down just that once and once ago short notes rejected that
we come up we then had a 34b pivot bounce we can see come down we bounce on
the 200 not don't want to go that way let's head back up and that's exactly
what happened here now moving right along you can have what we call big
picture pet the farm trades it is a big picture is where we've come down we can
see here we've had a pivot bounce 89 and 34 we rallied up we've come back down
with bounce on the 89 and the pivot so when you get a t7 with pivot support
there's another five to ten percent towards your trade coming off because we
know how effective pivot bounces can be so we can see here that the the anchor
chart was supporting our trade everything is pointing up we've come
down we've tested this line and notice here we're within the two ticks so this
point here is two ticks lower than this point but it's still a
bet the farm trade let's just have a look at one more on the NQ so we can see
we then rally down we've come up we've then got a pivot bounce so we can see
here we've got a great double top we've got divergence and a twin pivot bounce
fantastic and at the 200 thank you very much
so here is another double top bet the farm trade with a pivot bounce and
divergence it ticks all the boxes and what a nice trade that one was let's now
go and have a look at some trades on the CL so in our looking at the CL 233 tick
and in this particular case we can see at this first point here we had a nice
double top in the direction of the overall trend and this also was in a
sweet spot zone so we had the anchor chart supporting this the only slight
challenge you had with this trade is the support area down here at a previous low
and actually let me remove that because you can actually see that at the time so
glad I remove that so you did have a rate at the 34
great double top at the farm trade in the direction of the overall trend and
if we looked here what was another ignore these of other little black lines
here but we also had some divergence so very very nice now look over here we can
see it with 535 this is a 535 200B this is what we call a flat top it's a bit
the farm so flat top sort of perfect double top or double bottom but we had
one two three four five six seven eight nine ten candles all of the 535 and 200
so it's a flat top as good as a double top we're waiting for a close below the
trigger line which we had right there so we can see we only had one two one you
can see over here we had two t1s one two so you only had one t1 there but a
very very nice trade also with a t19 and as time went on we had
even more we can see price action does falling right away when I say price
action the Platinum falling right away so you had a nice T19 that's at the
535 200 close below the trigger line and in you go so flat tops also qualify
for bet the farm trades here is another once again on the CL 233
at a nice that it now you can see nice little double top here two super
scalpers you within two ticks you can see this this highest to tick slower than
this site however it is at c7 now you can see here that we still have our
overall major EMAs are in a downtrend now what's nice about this one you also had
double divergence you had a 2 d so you had divergence in a direction of your
overall trend on both your anchor and your entry chart and the way it fell or
go and have a look at another now this is one that we can really learn from now
what we had was a little double top here after a mage divergence strayed so here
is your short you've only got one T plot but as you can see here the trend
we were to accept early trading against the 200 on our anchor trot chart so we
can see here we've actually heading up now and notice here that what we
effectively have is we've got support so we've entered a trade or potentially
into the trade and you've hit a major support area so ideally your t7
and bet the farm trades you want to be trading away from major support
resistance areas and you can see here it come down it was only good for a couple
of ticks then it continued back in its merry old trade direction now what about
this here so if we look at this here this is actually down three tech service
low is lower by three ticks than this so we can see here that this actually
formed a double bottom it's within three ticks it's more of what I
call a big picture formation but it has formed a double bottom bottom within
three ticks with divergence now bouncing off your 535 so I hadn't knocked that up
but you could have qualified this as a double bottom bet the farm because you
are in the direction of the overall trend so here we have another t7 right
on the 200 and you can see here we've only got two you've actually got sorry a
number of your EMA's are all converging here and it bounced up and it didn't go
too far now I talked about in the room about watching for divergence because
even if you don't trade divergence and once again traders I highly recommend if
you only trade with the trend into your consistently profitable as a trend
trader and even then you can still use divergence just desire heads-up when
to stay out of a trade or when to potentially exit a trade and we can see
here your entry would have been here there's your double bottom here's your
entry your closed above your trigger line now yes it popped up five ticks
then we can actually see we had a t1 plot a reversal here at this point we
had double divergence we had divergence on our entry chart and on our anchor so
this was more of a small loss or break-even trade here is a nice little
double top so we've got a nice double top we can look at all of our EMA's or
in a definite downtrend in actual fact we had great divergence here and a way
when it fell away now just why we're on this we can see de Stover to the right
here we had t19 trade as well higher high
lower high alright so that was a really nice t19 trade at the same time so once
again your t19 nd T7 a singing out of the same hymn book
basically so once again when you get your t19's your divergence trades in
the direction of the overall trend these are also a very very nice
spit the farm trade once again I say that with a smile on my face you stay
within your money management rules let's patch just have a look at a couple more
now this one's a little hard to see because of the floor pivot we've got
here so we can see here we've come down we've got a what we call a 34b here now
this is straight after a nice t19 divergence straight in the direction of
the overall trend by the way the anchor chart was confirming the sweet spot so
we are in a sweet spot zone here so we come down we then bounced up we had a
pivot bounce so it was good for five ticks we then come back up and we had
another bounce on the pivot notice our overall trend is down we've had a double
top pivot bounce so at t7 so it's both a bit too firm trade and a pivot bounce
and thank you very much it was good for 10 ticks or so $100 now this is more of
what we call big picture divergence this is an ideal divergence but it is one
other huge thing what is that a pivot bounce so we know that once we break
through a pivot we love these pivot bounces and that's what that is are
formed here's an example where it's not as perfect it's not a perfect double
bottom but we can see here we've come down we've had a 200 535b price
actions gone up we've had a 34b come back down and bounced on the pivot now
what I've got here is wait for the sweet spot almost I will see at t7 and I just
forget the little the rates actually meant to be a seven there so it's almost
a t7 a double bottom those is a three tick difference however we can see here
that our longer-term EMA's are in an uptrend and if you have looked at the
anchor chart you would see that we actually are in a sweet spot that is
we've come up the anchor chart is supporting the trend plus we have
divergence so you're within three ticks you have divergence the 200 bounce and
support of the 535 just below so we now have another great
at the farm BTS we can see here that the Rent downtrend and 289 we've bounced off
the 89 we've come back up we've now bounced on the 200 we are within three
ticks we also have t19 so t19 of course is our divergence trade so we're
up three ticks or so just here very very close plenty of room to run down to the
pivot and you can actually see here we ended up having a nice double pivot a
big picture pivot bounce so as I've got up there user t1 to
better qualify the trade I like to see the t1 but once again if you don't have
the t1 indicator or you can't get it for your software package
just look for a close below your trigger line that will qualify you into the
trade
so in closing traders if you hopefully you picked up some ideas from this short
video now if you haven't already subscribed to my channel if you're new
to my channel please subscribe to the channel visit my website I now have two
free books I've got a training manual and the ebook the truth about day
trading even more importantly for $197 now get it's now over 15 different day
and swing trading strategies easy to learn we've got cheat sheets on all of
our key strategies dozens of powerpoints there's actually over 80 hours of online
video instruction I provide a full email support there's over 20 hours of
recorded live trading sessions and trading strategy recaps and even better
I provide you with indicators for all of a major for trade trading platforms and
very very important let me just say something about indicators traders don't
spend a fortune on your indicators I'm still seeing traders spending many
thousands on indicators remember most indicators are just the derivative of
price you can get them from me for free and most of the indicators we use every
day indicators just may be fine-tuned to suit our style of trading so traders
please subscribe and hope to see you as a member and hopefully you picked
some ideas from this training session see you on my next recording