The best way to enter the market is by
using “Stop Orders” and “Limit Orders”.
When the orders are placed, they are located on the broker's server, so you can
safely leave your trading platform. This brings you freedom from trying to spot
the best entry point.
The entry rule is simple:
1. If you trade a pattern in an uptrend, place a Buy Stop just above the
upper trend line. Where exactly? You may want to place it 5 pips above
the trend line to spot the real breakout. The advanced approach is to
reflect the market volatility as we will discuss it later.
2. Place a Stop Loss just below the lower trend line.
3. If you trade a pattern in a downtrend, you do just the opposite – place a
Sell Stop order below the lower trend line and a Stop Loss above the
upper trend line. More in the Exercise.
The interesting part is when to Take A Profit. Many traders enter the trade
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