Allison’s chart setup includes all the studies and indicators she needs to effectively trade option swing trades, as well as the Recycling Risk strategy she trades on the intraday movements of the market. Check out the studies and indicators she uses to trade the markets.
Her core setup includes:
- ThinkorSwim Charts
- 10, 30 and 100 Period Simple Moving Averages
- Bollinger Bands (20, -2.0, 2.0, Simple)
- Bollinger Bands (20, -3.0, 3.0, Simple)
- ATR Trailing Stop (modified, 5, 3.5, long, WILDERS)
- Multi-squeeze Indicator (5 min, 10 min, 30 min, 60 min, Daily, Weekly, Monthly)
- Top Hat (2.5, Week, Month, Day)
- Awesome Oscillator
- AO Combined (this is an indicator that is still currently being tested out)
- TTM Squeeze
Platform: Allison primarily uses ThinkorSwim for her Charts.
How She Plans:
Allison likes her morning rituals of coffee and charts. Before open, she checks out how the markets implied open/futures are looking and goes through her personal watchlist. After market open, in the first 30 minutes of trading, she will go back through her watchlist to see if any longer term swing trades have created a set up. This thoroughness of double checking not only before open, but after, helps pinpoint great entries and toss any that did not follow through after open. After she does this analysis, she will set up her charts for her Intraday Style Trading and look at opportunities with this strategy. Any trade that is opened always stays in line with her 25% rule for Risk Tolerance.
TOS Daily Chart:
Her Daily Chart Setup, is her first go to setup for the majority of trades she enters. She uses the Moving Averages, ATR Trailing Stop, Awesome Oscillator, AO Combined, and Bollinger Bands to help determine direction, strength and entries/exits for trades. Volume helps her to clarify if there is strength behind a price movement, and the Multi-Squeeze and TTM Squeeze help identify if a move might be of a greater than average range.
TOS Intraday Strategy Charts:
Allison still keeps the same study set that she uses for her TOS Daily Charts. The main difference between the two charts setups, is that she will have 4 charts pulled up for her Intraday Strategy. The four time frames are the 1 min chart, 5 min chart, 10 min chart, and a longer time frame chart for the fourth chart that toggles between a 30 min, 60 min, or a Daily Chart. She keeps all four time frames up to help her determine direction, entry, and the strength of the entry signal. The majority of the entries for these trades will be based on the 5 min chart pulled up. When the 1 min, 5 min, and 10 min charts start to mirror each other and the intraday movement is also in line with longer term trend found on the 4th Chart, it can identify a greater entry signal.