3 Trading Strategies to Grow a Small Account to $5,000

[00:00] that allow me to profit off of price action and market trends that also work amazingly well to grow small trading accounts and get you to your first $5 to to know everything in the video to understand so make sure you stay to the

[00:16] end all right so first we need to master trading strategy fundamentals there's a few things that we need to look for in any trading strategy we need a thesis so what are we aiming to do when we're approaching a trade in the market are we

[00:29] trying to play a continuation on a trend and follow the trend okay the second thing that we need to pay attention to are our trade tools so what indicators do we need on our chart and what tools do we need to be able to quantify our

[00:44] second okay the third thing is trade criteria so what are our signals to signals for us to not enter the market at all and avoid taking bad trades the

[00:58] systems so we're going to be following the current trends and profiting off of the current move of the market first thing we need to do is identify what a trend is a trend is simply a move in the market that has a high a low and then a

[01:12] secondary higher high and a secondary higher low the same thing is true for a downtrend a downtrend has a first low a lower high a second lower low and a second lower high okay once we have these four points of contact we can

[01:25] confirm that we have a trend this is going to be the foundation of us trading is a break of structure now when we have multiple contact points on a trend and going to Signal the potential of a new trend and the earlier we can get into

[01:43] third thing we're going to be looking at to confirm a trend are moving averages So today we're going to be using a 2050 and a 200 day exponential moving average okay simply put as candles form the 20 EMA is going to be taking the average of

[01:59] more aggressive Movement we get up the 20 is going to be the strongest and then the 50 is going to take 50 candles worth of average so it's going to be a little bit below it and then the 200 or any larger long-term EMA that you're going

[02:13] to be using is going to be taking an average of all of the price data with exponential emphasis on the most recent candles to plot that average line down indicate Trend Direction and we're going to be using these EMA Stacks in the

[02:28] which is going to be a Fibonacci and EMA continuation strategy so the thesis learned and then being able to use Fibonacci tools to catch areas of the

[02:42] trend all right the tools we're going to need for this system are exponential moving averages Fibonacci and something called a Pro Plus now if you want to add moving average exponential right on trading view but if you want to have

[02:57] access to the EMAs in the Pro Plus indicator you can head over to our everything you're going to need is going to be in the section so first thing that we need to do is confirm the beginning of a new trend do we have our break of

[03:11] structure yes we have our contact Point contact Point contact point and then the a high here a low here a high here and a low here which is confirming that we do have a continuation of a trend the third thing that we need to check is our 2050

[03:26] and 200 day moving average showman green meaning that all of these are layered on top of each other if the 20 is over the 50 and the 50 is over the 200 this recent price action over the more longer term exponential moves is going to

[03:42] allowing for the price action to start breaking through these moving averages aggressive trend has broken and we're starting to see a bit of a retracement

[03:55] a few ways we can do this this all right so you can go over into your Fibonacci retracement tool here then I'm going to go off of my most recent low before the price action Cuts up and we get these crosses on these moving averages I'm

[04:09] going to give us levels over here now this is how Fibonacci works when we're getting a move up in the market this one level is always going to be the beginning of our Trend and then this zero level is going to be the high of

[04:23] that price and we're going to use these different levels to time reversals in we'll get big reversals in the market okay we often times pay attention to this 50 level and then the 0.618 is the golden ratio in Fibonacci which is a

[04:39] into our settings over here and put in this exact criteria which is going to show us the 0.382 level which is something that we use on the private so for today I'm going to use this so we're going to start actually at the top

[04:56] here and go to the bottom level there drag this over a little bit and that's going to give us the 0.382 level the next thing that we want to add to our the price drops below this gray band we're going to get a highlight signaling

[05:11] that the price is undervalued relative to the normal volatility all right think a highlight over here it can be overvalued or a good place to start price to start coming down and start thinking about getting into a position

[05:27] right in this region all right so price comes down now we get a candle close into our level and the price is reversing up when you're placing a stop and figuring out an area that isn't a place for potential support and

[05:42] significant level so I have price breaking above catching support bouncing off of that High Point here hitting resistance on the other side and now this is going to potentially be an area of support what we like to do is place

[05:57] chart all right so now we have price continuing to move up in our Direction now at this point we can start looking at potential take-profit zones

[06:09] Works nicely with trend continuations is switching from a 5minute time frame which is what we're using to trade these continuations and going up by 3x and using a candle close in the cloud highlight here on our never trade Pro

[06:24] Plus indicator as a time to start scaling out of our position so we go [Music] all right in trading you always want to be minimizing your risk so on a 5minute frequency when you do see a highlight

[06:38] a good time to start reducing risk on your position so that way if the price essentially a risk-free trade okay so we're going to go back to a 15-minute

[06:51] frequency so we'll go ahead and play this forward now at this point we are overvalued position and these are good areas to start taking profit so here was

[07:05] highlight strip which is where we can go ahead and start exiting the trade and you can see this was a 4.68 multiple of our initial risk so had the price have

[07:17] have risked one risk factor so whether it's $25 $50 $11,000 okay we would have highlight we were able to get 4.68 times that initial risk meaning

[07:34] that we would have made on $100 risk $468 which means we can essentially be wrong four times in a row we only need to be right 25% of the time in order to going to be losses in trades a lot of these are going to lose but the idea is

[07:50] precise entries all right so let's take a look at another example so we have a nice uptrend here we have lows here lows along these and then price comes through breaks it and tests it on the underside and is now starting to potentially make

[08:05] looking for and now we just need to see if we're going to form a trend to potentially take a trade continuation into all right so let's see if price breaks down below these moving averages okay so we do have a confirmation of a

[08:18] new low now what I'm looking for is we have our lower low a lower high now a new lower low we just need one more lower high to confirm that this is a full Trend then we can start using our fibs to try to a continuation to the

[08:30] downside all right so now we have our 20 our 50 and our 200 all layered on the same side which is going to confirm our new trend in this direction okay so I can take my Fib from this level here to the most recent low here before we get

[08:43] all of our moving average cross and look to potentially take an entry here in this 38.2 zone now we also want to be looking at previous levels to place our stop loss on this position what I ideally would want to do is place a stop

[08:56] loss over recent important levels so we can look to enter our position around here place our stop loss comfortably outside this level take profit is going to be to be determined okay you can see price action came up through rejected

[09:08] and confirm a new low okay so once again here is where we're starting to get a highlight on a 5 minute so in situations like this okay it's always a good idea

[09:20] initial position we actually broke up a little bit past our entry and found a place my stop loss a little bit lower so now we're going to a 1 to 855 risk

[09:35] reward meaning now we're risking Less on the position so now we get a significant move down in price so now I want to go ahead and check on my 15minute frequency highlight strip here so as soon as this candle closes we can take profit this

[09:50] was the close of our candle right in this region and that got us off of our initial stop loss once again right around a 3.22 to 3.5 risk reward so once to be nice all right so let's get into strategy number two which is going to be

[10:07] a fair value Gap Fibonacci and EMA continuation so we're using similar principles but we're going to implement something called a fair value Gap to of the losses by adding some of these things all right once again we have our

[10:22] break of structure here then price is moving up confirming this break and confirming a new uptrend all right so at this point we already have a high a low have the establishment of a new uptrend so now once the price starts to sell off

[10:39] low before the flip of the moving averages but we're also going to start looking for fair value gaps now let's go over what a fair value Gap is so you can finally did have a major break in price action all right so when the price does

[10:57] finally break through these areas in this pocket there's going to be areas of liquidity where the orders skip through and there's potential for a lot of buy orders sitting at that level so the way we're finding a fair value Gap is by

[11:09] identifying a three candle pattern where we have that breakout we have 1 two and three and in this area we had the first candle's Wick High not overlap with the third candle's Wick low and this goes in both directions so our fair value Gap

[11:21] would be starting from this candle level over here up to this low candle right evaluating these all over our Trends so we can see overlapping overlapping here

[11:33] we have our Wick here with a low Wick here so we also have a buy side fair value Gap in there high here overlap overlap we have a small fair value Gap in here now the goal of the system is to find a fair value Gap that also lines up

[11:46] can use this one or we can use our standard Fibonacci as well so you see price reacts nicely off of that first fair value Gap and starts making a new low so once the price starts coming down to our 61.8 level or our 38.2 level this

[12:02] is where we can start looking to set up a long position right so long take critical levels I'm seeing significant price levels in this region so ideally

[12:14] see price comes down into that pocket of support here and then starts flipping so we also saw a highlight in entry this is also something you can start looking for

[12:26] a highlight into entry is often times a good indication that we could see a nice flip just off the fact that it is undervalued right you can see we got our reduce risk below that low and that can shave off some of the implied risk on

[12:42] it's going to break below this level on this region if we're going to break to be out of the trade already because we're trying to Trend follow so we're

[12:55] frequency qu also if you want to you can click this button over here and click on a two pane click here add two or 15minute frequency and now you can start watching on the different frequency as you're watching the 5minute frequency on

[13:09] got our first candle closed here at a 15minute highlight which in this instance would give us a 1 to five risk reward all right so let's take a look at Above This level high establish here low higher high higher low everything's

[13:27] checking off for a positive move in Trend we also have our 2050 and 200 all going to go from this high over here to our most recent low big move up in price

[13:39] so we have technically a fair value Gap here and another fair value Gap from the value gaps lined up here so once again we can start positioning ourselves at

[13:51] that Fibonacci level take profit to be determined stop loss placed outside of this critical level price comes off and immediately catches support off of that fair value Gap now there's something interesting noted here whenever we're

[14:03] Gap and either close on the above side of this dotted line okay that's indicating that this fair value Gap is being respected okay if we get a close signal that the fair value Gap is getting completely ignored and it could

[14:20] but in this situation we do have price react nicely off of that level so once going to do now one thing to keep in mind in these trades when something like

[14:34] my God it's moving so nicely and then you're going to see this happen and it's you're going to start biting your nails again you're going to start being having this be a roller coaster of emotions right all you're trying to do

[14:50] is trade a continuation of a trend look at how sporadic and crazy the price action is previously keep that in mind when you're in trades I like to not even okay with these ones you have to manage it a little bit more but try to remember

[15:04] again comes up all right now we got our highlight so we can reduce risk on our 5 minute now I'm going to check a 15minute frequency so we do have a candle close

[15:16] able to capitalize on a move similar to this before we get a sell off which is going to put us at a 3.39 risk reward okay versus being down here which is going to put us at 2 .93 this is the strength of using the nevit trade Pro

[15:31] ahead and you can add it right to your chart all right let's get into strategy number three which we're calling the Unicorn continuation strategy now up we like to call these unicorn setups they don't happen often but when they do

[15:48] we have a ton of Confluence and a ton of belief that these should go in our favor let's take a look at how to trade these unicorn setups so do we have stacked on top of each other we also have high low high higher low so now

[16:04] what we want to do once again draw our Fib from the high here down to the most recent low before this first move of all of our moving averages being crossed all recent Wick now price is coming down closer to our entry so we do have a fair

[16:19] value Gap little one in here the biggest break of structure fair value Gap I'm talking about this level here that was broken so we have resistance resistance super super important level right once again a lot of orders probably got

[16:34] candle wick high right in here to the low candle wick of this move and you can see our Fibonacci is lined up perfectly in the median of this fair value Gap so of important levels being hit on this trade so continuation on the trend price

[16:52] is starting to pull down to our level the third layer of Confluence which is going to be the Unicorn element you can see is our two 200 day moving average if other moving averages with the price going through these ones in sinking into

[17:07] the price lining up so that the price is coming down to our 200 day or longer term moving average Whatever frequency you're trading additionally to the FIB

[17:19] level for the continuation additionally in a fair value Gap where a bunch of orders are probably still sitting and it's an area of heavy buy side liquidity this can be a potential significant bounce point so once again halfway

[17:31] through our fair value Gap candle comes through it closes above it stop loss comfortably outside of that region okay so we got our response off of here all area to potentially start reducing risk all right now we're going to flip to our

[17:45] 15minute frequency and watch for our highlight to close out the strength of don't want to reduce it to our entry we want to reduce it below the area where we saw the price go through our entry and stop out because this is going to be

[18:00] of if it double bottoms or has a safe response off of that level we want our stop loss to be safely below so even if we started here and reduce our Risk by which seems intuitively like the smart thing to do we would have been out of

[18:18] boom we got a crazy takeprofit all right to where we get our first candle close here which is at this level probably right around here for our take profit so you can see of all these trades we have 1: 5 1: 7 1: 3 these are all what we

[18:34] call risk factors adding up so say we have 10 total risk factors after say right so we have 10 total trades minus the seven risk factors okay so -7 risk

[18:46] factors but we have positive 10 risk factors that means that this 10 minus 7 is going to be three positive risk factors times say 100 is going to be $300 okay so if we have $300 in profit and we're literally literally losing 70%

[18:59] of the time this is how we're able to be profitable so now we can work on other confluences to be able to increase this to say 50% win rate 60% win rate

[19:11] and allow you to start making ,000 $2,000 every 10 trades risking $1 $200 markets are moving strong in One Direction there's so much more to unpack with trading you have to journal your trades track your progress learn about

[19:26] exactly what we're doing in the private side of our trading community so we have ideas we're going to be using some of these trade alerts and showcasing them

[19:39] going to be dropping more trades but additionally we have a whole private of real-time trade ideas we have all of our premium students sharing ideas with

[19:52] helpful let me know in the comments which system was your favorite favorite systems you can check out some of those other videos that I'll put in the end

[20:04] subscribe to the channel if you like trading and investing all right it's a there for you where people are mastering these types of Concepts and if you want learning all of these systems in way more detail we also have the private

[20:21] until next time I will see you all in the next video [Music]

[20:33] hey