Extra Long Term System


Extra long term trading systems are among the most profitable systems to come across in professional trading in terms of profitability relative to the trading position.

Moreover, the advantage of today's Extra Long Term System is that it is one of the more conservative in terms of risk, because only the price range of one week always decides whether a trader enters, exits or stays in a trading position.

Strategy entry rules

Entering long positions

-trading on a weekly time frame 

-the price will go through the moving average from the bottom up and then the candle will close there 

Entry into short positions

-trading on a weekly time frame 

-price goes through the moving average from top to bottom and then the candle closes there

In the image above you can see the moving average setup and the chart below shows one potential trade where the long entry rules were met (green line) and subsequently that trade lasted over 3 years before the sell rules were met (red line) which in turn resulted in the position being exited.  

With this strategy, based on extra-long developments, it is possible to achieve a success rate in the range of 30-50%. Although this is not a very high success rate, the biggest advantage here is that a successful entry usually covers 4-10 unsuccessful entries with profit, which is plenty enough to sustain the whole strategy in the long run.