1. Know what the trend is.
2. The best trades are made in the direction of the trend.
3. Use multiple time frames to get the overall picture of the market.
4. Assume that the main trendline or moving average will hold
5. The smaller the slope of the trendline is, the more reliable it is.
6. The longer the moving average is, the better it defines the trend.
7. Wait for the pullback
8. Don’t chase the market.
9. Don’t fight the market.
10. Even in the strongest trends there should be some retracement
11. The closer the market is to the trendline, the better the risk/reward ratio is
12. Keep it simple
13. Look for the end of a trend when the last wave doesn’t reach the channel line or the previous move.
14. Use ADX to determine the strength of the trend.
15. Hold trades longer in a strong trend.
16. When getting out in anticipation of a retracement, do not reverse a position.
17. Wait for confirmation of a trendline breaking before reversing position.
18. Watch for bubbles between moving averages.
19. Know where the Fibonacci retracements levels are.
20. Place stops outside retracement levels.
21. Estimate how much the market can move.