Power Ranger

Strategy

• Strategy Concept

– Using the common oscillator, the Stochastic to

identify entry for early range trading.

• Time-frame

– H1 and above.

• Currency Pairs

– All currency pairs.

Power Ranger Strategy

Power Ranger Strategy

• Indicators

– Stochastic with the following settings :

– %K period = 10

– %D period = 3

– Slowing = 3

– Price field = High/Low

– MA Method = Simple

– Levels 20 and 80

Chart with the

Indicators

Stochastic Level 80

Overbought

Level 20

Oversold

%K

%D

Long Trade

Set-up

Power Ranger Strategy

• Long Trade Set-up

1. Draw an uptrend line based on a series of

Higher Highs and Higher Lows.

2. On the Stochastic, look for %K and %D to

go below level 20 (Oversold).

3. Determine the Support and Resistance of

the range.

Power Ranger Strategy

• Long Trade Set-up

4. Enter when both the %K and %D is above

20 (%K is above %D).

5. Take Profit is between 50% to 75% of the

range.

6. Stop Loss is at 1:1 risk-to-reward ratio and

lower than the Support. If Take Profit is 50

pips, Stop Loss will be 50 pips.

Long Trade

Example

Uptrend Line

High

Higher High

LowHigher Low

Below level 20

Above level 20

Above level 20

Support @ 1.4377

Resistance @ 1.4487

Support @ 1.4377

Resistance @ 1.4487

EP = 1.4401

Support @ 1.4377

Resistance @ 1.4487

The range is 110 pips. The 75% mark is 82

pips from 1.4377 at 1.4459.

TP = 1.4459

EP = 1.4401

Take Profit is 58 pips from 1.4401, Stop

Loss is also 58 pips from 1.4401 at 1.4343.

TP = 1.4459

EP = 1.4401

SL = 1.4343

Trade hit Take Profit at 1.4459.

TP = 1.4459

EP = 1.4401

SL = 1.4343

Short Trade

Set-up

Power Ranger Strategy

• Short Trade Set-up

1. Draw a downtrend line based on a series of

Lower Highs and Lower Lows.

2. On the Stochastic, look for %K and %D to

go above level 80 (Overbought).

3. Determine the Support and Resistance of

the range.

Power Ranger Strategy

• Short Trade Set-up

4. Enter when both the %K and %D is below

80 (%K is below %D).

5. Take Profit is between 50% to 75% of the

range.

6. Stop Loss is at 1:1 risk-to-reward ratio and

higher than the Resistance. If Take Profit is

50 pips, Stop Loss will be 50 pips.

Short Trade

Example

Downtrend Line

High

Lower High

Low

Lower Low

Above level 80

Below level 80

Below level 80

Support @ 0.9299

Resistance @ 0.9783

Support @ 0.9299

Resistance @ 0.9783

EP = 0.9621

Support @ 0.9299

Resistance @ 0.9783

EP = 0.9621

The range is 484 pips. The 75% mark is 363

pips from 0.9783 at 0.9420.

TP = 0.9420

EP = 0.9621

Take Profit is 201 pips from 0.9621. Stop

Loss is also 201 pips from 0.9621 at 0.9822.

TP = 0.9420

SL = 0.9822

EP = 0.9621

Trade hit Take Profit at 0.9420.

TP = 0.9420

SL = 0.9822

The

Challenger

Long Trade

Set-up

The Challenger

• Long Trade Set-up

1. After the “Power Ranger” Long trade hits

Take Profit and the price goes back to the

Support again.

2. Enter after price bounces above 10% of the

range.

3. Take Profit is 50% of the range.

The Challenger

• Long Trade Set-up

4. Stop Loss is at 1:1 risk-to-reward ratio and

lower than the Support. If Take Profit is 70

pips, Stop Loss will be 70 pips.

Long Trade

Example

Support @ 1.4377

Resistance @ 1.4487

This was the previous “Power Ranger” Long

trade that has hit Take Profit.

Support @ 1.4377

Resistance @ 1.4487

Price goes back to the Support again.

Support @ 1.4377

Resistance @ 1.4487

The range is 110 pips, 10% of the range is

11 pips.

Support @ 1.4377

Resistance @ 1.4487

Enter when price bounced 11 pips above

the Support, at 1.4388.

EP = 1.4388

Support @ 1.4377

Resistance @ 1.4487

Take Profit is 50% of the range, which is 55

pips above 1.4377 at 1.4432.

EP = 1.4388

TP = 1.4432

Take Profit is 44 pips from Entry Price.

EP = 1.4388

TP = 1.4432

Stop Loss is also 44 pips below 1.4388 at

1.4344.

EP = 1.4388

TP = 1.4432

SL = 1.4344

The Challenger has triumphed !

EP = 1.4388

TP = 1.4432

SL = 1.4344

Short Trade

Set-up

The Challenger

• Short Trade Set-up

1. After the “Power Ranger” Short trade hits

Take Profit and the price goes back to the

Resistance again.

2. Enter after price bounces below 10% of the

range.

3. Take Profit is 50% of the range.

The Challenger

• Short Trade Set-up

4. Stop Loss is at 1:1 risk-to-reward ratio and

higher than the Resistance. If Take Profit is

70 pips, Stop Loss will be 70 pips.

Short Trade

Example

Support @ 0.9299

Resistance @ 0.9783

This was the previous “Power Ranger” Short

trade that has hit Take Profit.

Support @ 0.9299

Resistance @ 0.9783

Price goes back to the Resistance again.

Support @ 0.9299

Resistance @ 0.9783

The range is 484 pips, 10% of the range is

48 pips.

Support @ 0.9299

Resistance @ 0.9783

Enter when price bounced 48 pips below the

Resistance, at 0.9735.

EP = 0.9735

Support @ 0.9299

Resistance @ 0.9783

Take Profit is 50% of the range, which is 242

pips below 0.9783 at 0.9541.

EP = 0.9735

TP = 0.9541

Take Profit is 194 pips from Entry Price.

EP = 0.9735

TP = 0.9541

Stop Loss is also 194 pips above 0.9735 at

0.9929.

SL = 0.9929

EP = 0.9735

TP = 0.9541

The Challenger has triumphed again !

SL = 0.9929

EP = 0.9735

TP = 0.9541

Let’s Be

Power Rangers!