Quickly identify and label Rick Saddler’s 5 Patterns for Profit in your analysis
Long-time trading coach and founder of Hit &Â Run Candlesticks, Rick Saddler has developed a system of 5 patterns based on his experience that can help you better identify winning trades. Now YOU can quickly identify and label these patterns in Rick Saddler’s Patterns for Profit Add-on for MetaStock.
The 5 patterns are these:
- Round Bottom Breakout (RBB) – The (RBB) Rounded Bottom Breakout was designed to find charts with a high profit potential in the (RBB) Rounded Bottom trade area. When this traded is planned out and traded properly the rewards can be life changing.
- T-Line Squeeze – Rick Saddler has found that the probability of price moving up and down and returning to the T-Line (Trigger Line) is extremely high. What the scan looks for is price closing below the T-Line or the price low below the T-Line. Also included in the scan is the 20. When price engulfs both the T-Line and the 20 SMA we have found there is a high probability of a T-Line Run as the T-Line and the 20 SMA are squeezed together.
- T-Line Bounce – The T-Line (Trigger Line) Bounce was designed to find charts that have rallied, then pulled back on profit-taking to near the T-Line. (Price can be below or above the T-Line by a small percentage). From here the trader should wait for a buy signal and the right conditions to make a trade, Rick Saddler calls that a T-Line PBO (pull back opportunity).
- Pinball Setup – The Pinball Setup is a relief rally trade in a downtrend designed for 10% plus profits. The scan looks for charts that have crossed where the price has been in a downtrend and under the T-Line () then reversed and has closed over the T-Line with the 34 Exponential Moving Average (EMA) as the swing target. Special note:Â There must be at least 10% between the T-Line and the 34 EMA and the entry should also be 10% from the 34 EMA.
- NEW The 3×8 Trap – The 3X8 Trap setup is Rickâ€™s primary and favorite among favorites. It is very important that you follow your trade plan including at minimum a stop, a buy box, and swing target areas. The 3×8 Trap looks for a bullish Trend combined with a Pull-Back Opportunity (PBO.) Finally, the 3×8 Trap looks for confirmation that the bulls are stepping back into the market.
Rick Saddler’s Patterns for Profit includes:
- 1 template
- 1 Expert Advisor
- 1 Exploration