Vu Man Chu Strategy with Wavetrend (D1, H4)
1. Basic Rules
a. Only take Long when the price is above the 200 EMA in H4 & D1
b. Only take Short when the price is below the 200 EMA in H4 & D1
2. Check Market Structure using Daily TF (use Heiken Ashi candles)
a. Look for trends
i. Long – two higher highs / two higher lows
ii. Short – two lower highs / two lower lows
3. Wait for Vu Man Chu buy/sell signal on H4 timeframe
a. Enter Long – when price makes higher lows in Daily TF
b. Enter Short – when price makes lower highs in Daily TF
*** Look at Wavetrend indicator for added confirmation
• Gold cross below zero line – LONG
• Death cross above zero line - SHORT
4. Stop Loss – Place stop using the previous swing high or swing low
5. Take Profit
a. TP1 = 1:1 RR
b. TP2 = 1:2 or trail profit
Indicators: Vu Man Chu Swing Free by Jazal, 200 EMA on H4 and D1 are used for trend confirmation, Wavetrend by lonestar108
1. Basic Rules
a. Only take Long when the price is above the 200 EMA in H4 & D1
b. Only take Short when the price is below the 200 EMA in H4 & D1
2. Check Market Structure using Daily TF (use Heiken Ashi candles)
a. Look for trends
i. Long – two higher highs / two higher lows
ii. Short – two lower highs / two lower lows
3. Wait for Vu Man Chu buy/sell signal on H4 timeframe
a. Enter Long – when price makes higher lows in Daily TF
b. Enter Short – when price makes lower highs in Daily TF
*** Look at Wavetrend indicator for added confirmation
• Gold cross below zero line – LONG
• Death cross above zero line - SHORT
4. Stop Loss – Place stop using the previous swing high or swing low
5. Take Profit
a. TP1 = 1:1 RR
b. TP2 = 1:2 or trail profit
Indicators: Vu Man Chu Swing Free by Jazal, 200 EMA on H4 and D1 are used for trend confirmation, Wavetrend by lonestar108