Momentum trading is a technique in which traders make decisions according to the strength of recent price
trends. Price momentum in trading is similar to momentum in physics, where mass multiplied by velocity
determines the likelihood that an object will continue on its path. The basic premise is that as an asset is
traded, the velocity of the price movement approaches a maximum as new investors enter that asset near peak
prices. As demand and money flow into the asset decreases, the tendency is for the price trend to reverse
direction. Similar principles apply for momentum continuations.
TradeTrend pinpoints long and short entry setups based on an algorithm that identifies momentum shifts or
continuations that are likely to persist. Since momentum is a significant component of the foundation of
TradeTrend, a key feature of the strategy is to enter trades on a confirmation of the anticipated momentum
direction. Therefore, ‘Buy Stop’ orders are used for long setups and ‘Sell Stop’ orders are used for short
setups. This allows for filtering of false signals while only entering trades with the highest probability of
success.
TradeTrend offers full integration into the award-winning MetaStock Platform.
With the TradeTrend Expert Adviser you’ll receive:
- Instant setup alerts with exact entry prices
- Buy and sell trigger alerts
- Updated stop loss values
- Crystal clear exit alerts
With the TradeTrend Explorations, you’ll be able to scan through thousands of instruments to find the best
opportunities available today.
The TradeTrend Systems Test provides detailed information on the which securities would have performed best
over time. It also includes detailed profit/loss analysis, net profits, and tons of information all designed
to empower you to make confident trading decisions.