Day Trading

RSI Rollercoaster

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RSI Rollercoaster Recipe

1 hour chart RSI standard setting of 14

Let RSI drop 30 or rise above 70

RR Long Trade

RSI closes <30 Then

Closes > 30 Go Long at market stop @ 50 target 33

RR Short Trade

RSI closes > 70 Then

Closes < 70 Go Short at market stop @ 50 target 33

RSI Rollercostaaaahhhhhh …..

That’s The Standard RSI Set Up

But You Can Be a Bit More Nuanced

You Don’t Need to Wait Until <70 You Can Trade The Change in Delta

i.e.

RSI =71 Then RSI =75

Then RSI =73 (GO Short Here!)

Questions

Questions

One Key Thing to Remember Examples are for GBP/USD

But Different Pairs Have Different Vol. My Suggestion for Stops/Limits

GBP/USD = 50/33 EUR/USD = 40/25 AUD/USD = 40/25 USD/JPY = 30/20

Questions

Last Thing to Remember RSI Rollercoaster Will Fail Miserably in Strong Trending

Market

So Its Best To Trade Portfolio Approach To Dampen Drawdown

GBP/USD EUR/USD AUD/USD USD/JPY

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