What’s the Best Indicator for Breakouts in 2022?

Sept. 28, 2022

As of this writing, the stock market is getting killed.

That’s pretty bad.

But we don’t have to buy-and-hold anything. We can actually make money.

On one hand, we could try to learn vague, enthusiastic strategies via year-old YouTube videos. (How come there aren’t any recent videos?)

Or we could use helpful indicators and trade breakouts.

Yes, most smart traders know that indicators are lagging and real pros don’t use them.

But I wonder if “real pros” are up 28% on the year like the following strategy hypothetically is?

Let’s take a closer look at our initial indicator strategy. The exact details are in this video.

But the gist is:

• Get Long on a break above the Bollinger Band™ (opposite for Short trades).
• Go for a profit target over 3x bigger than the stop.
• Use a 4-hour chart.
• Only use something that trends, in this case the GBPJPY.
• Move to break-even quickly.
• Add time exits to get out if it goes sideways.
• Don’t trade after 12 pm Eastern.

That strategy has produced a hypothetical $7k in 2022 trading 1 lot each time with no compounding:

Here are some winning and losing trades:

You can see how this strategy caught the huge move down at the end of last week.

Can an index fund do that?

But is this the only way to trade? Is this the only indicator that can trade breakouts?

In our next Newsletter, we’ll take a look at RSI. We’ll use the same system and see if maybe RSI is even better.

Join the free Newsletter list here .

Get Robot information HERE.
Visit my Performance Page HERE.
Buy my new book HERE.
The Inevitability of Becoming Rich is HERE.
My latest YouTube video is HERE.

Disclaimer:
It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable or that they will not result in losses. Past results are not necessarily indicative of future results. Examples presented on these sites are for educational purposes only. These set-ups are not solicitations of any order to buy or sell. The authors, the publisher, and all affiliates assume no responsibility for your trading results. There is a high degree of risk in trading.

HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER- OR OVER-COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.