A momentum-trading strategy that stays short in downtrends, selling into declines and buying back lower using order-block analysis. Enter at the block, stop-loss above it, target a 2-to-1 risk-reward ratio. You'll miss the exact bottom, but consistent execution compounds profits.
Chapters
And this is a method known as momentum trading. It's essentially the idea that as long as the market is still showing that price is still in a downtrend, you will literally just sell low and then buy back lower instead of trying to catch the absolute picture-perfect kind of top or whatever to short from. You just kind of hop on the train in the middle and get off at some point. And that some point is going to be 2R. This is the order block that you use. You place your entry at the start of the order block as you're supposed to when it comes to order blocks. You place your stop loss above the order block as you're supposed to with an order block, and you simply set your target at like 2R. If you risk $1,000, you make $2,000 back. That's a pretty good trade. And you necessarily catch the bottom. In fact, you're very likely not to catch the bottom, but that doesn't matter because you'll be making money.