Summary of EASY Scalping Strategy For Day Trading (High Win Rate Strategy)

The video presents an easy and effective Scalping Strategy designed for Day Trading, especially on the 1-minute timeframe, though it can be adapted to other timeframes as well. The core of the strategy combines the Williams Fractals indicator with three Moving Averages (20, 50, and 100 periods) to identify high-probability entry points for long and short trades.

Main Financial Strategies and Methodology

• Indicators Used:
  • Williams Fractals indicator (period set to 2, colors flipped for clarity)
  • Three Moving Averages (lengths set to 20, 50, and 100; colored green, yellow, and red respectively)
• Setup:
  1. Use a 1-minute chart (or any preferred timeframe).
  2. Add Williams Fractals indicator with default settings (period 2).
  3. Add the three Moving Averages with lengths 20, 50, and 100.
  4. Color-code Moving Averages for easier visualization (20 = green, 50 = yellow, 100 = red).
• Entry Rules:

  Long Trades:

  • The 20 MA must be above the 50 MA, and the 50 MA must be above the 100 MA (no crossing).
  • Wait for the price to pull back below the 20 or 50 MA.
  • Enter a long position when a green arrow (Williams Fractal) appears.
  • Place stop loss below the 50 MA (or below the 100 MA if price crosses below 50 MA before the signal).
  • Set take profit at a 1.5 risk-to-reward ratio.
  • Do NOT enter if price closes below the 100 MA even if a green arrow appears.

  Short Trades:

  • The 100 MA must be above the 50 MA, and the 50 MA must be above the 20 MA (no crossing).
  • Wait for price to cross above the 20 MA.
  • Enter a short position when a red arrow (Williams Fractal) appears.
  • Place stop loss above the 50 MA.
  • Set take profit at a 1.5 risk-to-reward ratio.
• Additional Notes:
  • Patience is key; trades may take time to hit targets.
  • Avoid panic selling as long as stop loss and take profit levels are set.
  • High-frequency signals, especially on 1-minute charts, mean trading fees can impact profitability—use brokers with low fees.
  • Do not enter trades if price moves below (for longs) or above (for shorts) the 100 MA and the fractal signal appears, as this often leads to losing trades.

Business/Market Trend Insights

• The strategy works across almost all markets and timeframes.
• Emphasizes the importance of trend confirmation via Moving Averages before entering trades.
• Highlights the need for risk management through stop losses and defined profit targets.
• Recognizes the impact of trading costs on high-frequency strategies.

Presenters/Sources

• The strategy and explanation are provided by the unnamed YouTube video presenter who demonstrates the setup and examples live on TradingView.

This summary captures the step-by-step Scalping Strategy using Williams Fractals and Moving Averages, including entry/exit rules, risk management, and practical trading considerations.

Notable Quotes

— 03:52 — « It’s important not to panic sell, as long as you have a stop loss and a take profit mark, you will be fine. »

— 03:54 — « As an important note you should also realize that you will get a ton of buy signals, especially if you are trading on the 1 minute time frame. »

— 03:59 — « If you are, it’s extremely important you make sure that your broker or exchange has low fees, otherwise the fees will ruin the gains because of the volume of trades you are taking. »

Category

Business and Finance

Video