I Tested 10 Trading Strategies (Only THIS One Actually Works for Beginners)

I've tested 10 trading strategies, and I can tell you very few trading strategies work in the long run. Especially for beginners, it's essential and necessary to use a relatively simple strategy so as not to be overloaded with this multitude of a thousand pieces of information. You'll always think, oh, I have to look at this, I have to look at that, I have to look at which one, but that's nonsense. And if you have a strategy that makes sense to you, seems logical, and you personally feel comfortable with it, then you can perform incredibly well for yourself with this strategy right from the start. So, I've tested almost all of them myself in the well over 20 years that I've been in the markets, and I can tell you, with most of them, you only lose money in the long run. And yet, one strategy for beginners is, in my eyes, by far the most sensible. In this video, I'll show you first which strategies are completely unsuitable for beginners, The 3 mistakes that make most beginners fail every time, and the one strategy that really works, especially for newcomers, and that you can use for yourself without any prior experience. Let's be honest with each other. Depending on which concept, which templates or layouts I get as a trader, I can very quickly end up in a state of total overwhelm. I want to show you something about that. Take a look. If I present a concept like this one here, which we like to use for high-frequency dynamic traders, to a beginner, they'll quickly say, oh my God, how am I supposed to adapt all this knowledge for myself? Here are normal charts. But what's that underneath? Oh, right, that's Delta. Okay. And why is there another chart here? And why are there these strange shapes down here? My kids always call them mountains and valleys. And then over here on the right, I've got some footprint charts again. And how am I supposed to grasp all this conceptually so quickly? It's very, very difficult. And that's why I'd like to introduce a different concept to you. I want to show you a concept here that's actually quite simple. We only have charts and we only have order books. And now, of course, you have to put in a little work there too. But if you want to do active day trading, This is a way where you can mark out information and then, in the next step, implement your trading processes based solely on market dynamics. For example, you can go in and look for where the intelligent resistance levels are. Now, the thing is that many people look at a chart in a very, very narrow way. But try zooming out, and suddenly you get information where you can clearly say, oh, Look at this. For instance, the market hit a level several times, went above it, and then came back down. What is that? Nothing more than a support area that could have later turned into a resistance level. And even that can lead to overwhelm for many people because they don't even know how to draw something like that. In the next step, you go and say, look at the market speed. Take a look at how the orders are being routed. This is also information that leads to overwhelm for many people. So now let's look at a 3rd chart that I would recommend to every beginner first. Here I've picked out an Nvidia stock, for example, and I want to show you a few things there that will quickly help you locate where it makes sense to trade a market at all if you want fast trades. Where does it make sense to trade a market if you want to implement relaxed swing trading strategies for yourself? Because that's a huge difference, and you have to know this difference first. The most essential thing is to have a model from the start where you can select for yourself: Is there a higher probability that the market is accelerating or not? But how can you do that? Quite simply through the volume, and I'll show you that now step by step. The very first thing you need to know is that these volumes here on the left side are the accumulated. Summed up volumes that are currently being displayed within this time horizon, which I have set from here to here, so from the start to the end. This means that these volumes were traded at the corresponding price level. For example, if we look right here at the price level of 210, the market generated an incredible, truly massive amount of trading volume. What does that mean? It means that the market was repeatedly very eager to do business there and spend time accordingly. Now let's do something and take a look at it. Now let's go ahead and visualize this as if we were looking at a line chart to really see the trend. Okay, let's track where the market spent its time. It spent time right there, then moved over here, lingered here, shifted to this point, continued on to here, paused again right here, and finally it concluded its movement over Now, we can already clearly see that this specific price range is an area where trading activity occurred very frequently, and where a significant amount of time was often spent by market participants as they consolidated their positions. Yes, that means wherever markets spend a lot of time, supply and demand are present, and that's where large market participants can place their big orders in the market. So now let's look at another example, namely a price range where the market generated very little liquidity, namely down here. Look, here it hit a snag once. It hit a snag here too, here as well, here, here, here, here, and here it just zipped right through. I think for many The scales are already falling from their eyes, seeing how great it is to be able to use this information, distinguishing between high-volume areas where markets could gather liquidity and price ranges where markets could gather very little liquidity. So what do we learn here immediately? Where there is low volume, there's a higher probability that the market will hit a snag. So, it's suitable for counter-trades, for trading against the trend. And in those specific areas where the markets have historically spent a significant amount of time consolidating, like right here, for example, yes, there is a much higher statistical probability that the market can repeatedly return to and spend some additional time lingering in that exact same price range again. This means, to make the whole thing simple and well-rounded, let's look at the following picture. Price ranges where markets repeatedly go and run are usually price ranges where a lot of volume has been accumulated. Price ranges where a market moves through quickly are usually price ranges, like here, where a market has spent very little time and therefore there is less volume. Yes, these are the so-called low-volume nodes. That's how it's said in the volume profile. So that doesn't help us strategically to have it all clear yet, but now let's go one step further and think about the concept I've developed. If we have a fast move, for example, where there was little liquidity and then the market established a price range, then that means That there is acceptance here. So, and if we know that acceptance is present, then we also know that the large market participants can conduct their business here in peace. Now, let's say the price is currently here, and we can describe this picture from the past for ourselves. So now we narrow down this so-called price range and consider if the market runs up there now, What information does that give us? First of all, we have the information here that the market has run up quickly. This means that the probability, if it runs up here again, is initially high that it will continue long. Why? Because these market participants here defend their subsequently created acceptance. Often the market went down here briefly and then up again. And now it comes down to this: if the market is rejected here again, then the big question is, what has changed? Because now what must happen happens. These market participants here will be underwater at this point at the latest. The market will seek a new equilibrium phase. Option 2 is the following and also frequently found: the market runs up here, and when it arrives at the top, It says, I accept the equilibrium again, because I know that there was great liquidity here, and large market participants like liquidity. And now comes the most crucial part. Please take a look at how the path up there looked. And if you now have such an impulse again, with a subsequent sideways phase, meaning acceptance of this price range, then you will also realize that there is a high probability that the market will trade through Here again. Why? Because it simply feels comfortable in the acceptance. That is the basis of the PBD concept. That is the basis of the Volume Profile. And now let's take a closer look with a magnifying glass. How does this help us in trading? Please note the following. This here is a 30-minute timeframe chart. It has established itself like this with a trend and an acceptance. And now comes what I promised you. Now you also take a 5-minute chart here and see what structures the market will provide you when it is here, and what structures the market will provide you when it is down here in this fast area. And if you see, for example, that in this price range there are structures like balance and acceptance of weakness, then there is a high probability that it will no longer accept this, and then you can trade short following the trend. But if the market runs exactly as it does here and runs back into the 5-minute chart here and gives you a signal, what is the logical consequence? You can do some relaxed balance trading. The market will most likely trade the balance, the equilibrium from the larger time frame, in this small time frame. And now for something very important. If you take this P and simply flip it into a B, you will find that you have exactly the same logic, just applied in the completely reverse direction. This essentially means that if you decide to move from a larger time frame down to a smaller one, you should transfer those blue price ranges from the larger time frame over to the smaller timeframe. It is a key step for your analysis. And now, pay close attention, because this is the true essence: you should use the setups offered to you here in the small timeframe. But it is vital that you only execute your trades accordingly at locations identified from your larger timeframes. This ensures you are always aligned with the bigger picture. Then you have an absolute added value that is a) logical, b) very functional, and c) also generally very effective in terms of mathematical probability. And it doesn't really matter whether you've already understood this matrix with all its different concepts, or if you've just reached a point of acceptance for yourself. It is important to note that this specific market profiling model here will also be directly reflected in the underlying supply and demand dynamics of the corresponding structures. Now, to be fair, it is obviously not quite as precise as this particular concept here, and frankly, it is not quite as high-performance or granular as the specialized footprint charts that many traders rely on for their analysis. But it's super effective, and you can use it to look at stocks, crypto markets, and of course futures markets, evaluating the model itself very cleverly. And then, you need to carefully transfer those key support and resistance levels from the larger timeframes down to your smaller timeframes. You should be doing exactly what I explained here, using the exact same setups, just like what we understood and analyzed in the large timeframe. By maintaining this consistency, you will develop a really great, robust approach to how you can effectively grasp the market for yourself. Giving you much more confidence in your trading decisions. Yeah, I hope you enjoyed that. I hope it helped you. Keeping it simple is sometimes incredibly valuable, especially when you're just starting out. Particularly when you're asking yourself whether the markets are currently more in balance or more in imbalance. And if you then look for corresponding setups in a small timeframe that are suitable for balance and sideways trading, or for trend continuation in an imbalance, that's a huge advantage. You'll see, you don't need 1,000 indicators, and you don't need any wild indicators either. That's all nonsense that you just don't need. You just need one smart concept that you understand in depth, and then you can specialize more and more. I hope this helped you and that you enjoyed it. Have fun with it!