51# Renko Channel Strategy
Renko Channel filtered by momentum indicators:
THV Trix, Stochastic Trend, MBFX indicator.
Submit by Leon
Renko Channel Strategy is a trend reversal system based on the super channel price action indicator filtered by momentum indicators as: THV Trix, Stochastic trend and MBFX. This system is designed for renko chart but you can use also without renko chart at higher time frame.
Every Window and the Chart works in the colors:
DarkGreen for „UP“
Red for „DOWN“
Orange for „CHANGE“
You see a green and a red line. The brickets always cross this lines. From over green to under red and back – ALWAYS!
If the brickets are over green = wait for a sell. If the brickets are under red = wait for a buy.
NEVER make a buy order over the green line and never make a sell under the red line! Time and Speed!
THV Trix = Slow
MBFX Timing = Normal
s-StochTrend = Fast
All three indicators works in the same way but in different speed.
THV Trix IMPORTANT: NEVER TRADE THE ARROWS!
You see three line for the direction and a horizontal green line in the middle. When all three lines over the middle green line and change the color from green to red or orange = time to make a sell.
Are all three lines under the middle green line and change the color from red to green or orange = time to make a buy.
For example. The line is green and is going to top, wait till it is on top. If the line is on top (near the 90) and change from green to orange it is a good time for a sell.
Other way. The line is red and goes down. Wait if it is on the bottom (near 10) and change the color from red to orange. That is a good time to make a buy.
There is a red and a green line for the momentum and big vertical red and green lines. The vertical lines are your signal. You can see that the momentum always go to the highest top and lowest bottom. A very simple and very fast system – this is scalping or (how I say) the best way to find a entry or exit in the market.
In the top right corner you find the News Manager Indicator. It shows you all the important News
for the day. Be careful when a important news is coming in!
Trading rules Renko Channel Strategy
In the middle of this picture you see all lines on the top and change the color from green to red or orange. Make a sell order when MBFX and s-StochTrend are starting to go down. Close the trade when MBFX and s-StochTrend are on the bottom. Tip: stochastic oscillator below 80 level.
On the left side of the picture you see that everything is on bottom and down. The colors from THV, MBFX and s-Stoch are changing from red to green (or orange). Perfect time to make a buy order
(long). The trade goes up, but you see there are two ways to get out. The first Exit is on s-StochTrend. But this is only the half way. The full way is to take the exit on MBFX. Exit on MBFX is when it is on top and changing from green to orange.
Tip: stochastic oscillator above 20 level.
In the picture Renko Channel Strategy in action.