How to Swing Trade US Indices (US30, US100, US500). Simple Strategy Explained
Today I will teach you a very effective strategy for trend trading US indices. You will learn how to accurately predict long-term price movements and how to swing trade them.
Take notes and study a profitable strategy that works on Dow Jones US30, NASDAQ US100, and S&P500 US500.
Step-by-Step Strategy
Follow this step-by-step plan.
1. Identify key resistance level based on the current ATH on a daily time frame.
2. Wait for its breakout and a daily candle close above it.
3. Set a buy limit order on the highest candle close level based on ATH-based key level.
4. Set stop loss below the low of a pullback movement from the ATH.
5. Take profit should be 1.5 / 1 Reward-to-Risk ratio based
That is how this plan works in practice on US100 as the market is very close to the levels based on the current ATH.
When the trade becomes active, use the following trade management tips:
1. Move stop loss to entry when the price reaches 1 Reward level.
I mapped the exact level of 1 reward in our example.
Past Trade Example
This strategy has already provided multiple profitable entry signals this year.
Following the plan that I shared, I predicted a strong bullish wave on US100 index.
This strategy will help you chase the trend in US Indexes trading.
Make sure that you follow the plan step by step and wait for a daily candle close above the all-time high as confirmation.
