18_100 Percent Bars

The 100 Percent Bars

The concept is simple: if the current bar moves more than 100% of the previous bar's length, it's a 100% bar.

Strategic Entry Options:

Option 1 - Fading the 100% Bar: Enter a position opposite to the direction of the 100% bar, aiming for the 50% retracement level. This strategy capitalizes on market corrections after significant moves, targeting profit from the reversal.

Option 2 - Following the Bounce: Wait for the market to bounce off the 50% retracement level in the direction of the original 100% bar move. This aligns with the momentum continuation, entering the market in the direction of the prevailing trend after the retracement.

Enhanced Risk Management: Both options focus on precise entry points near the retracement's midpoint, reducing exposure to extreme market movements. This improves the risk-reward ratio by anchoring trades around a statistically significant level.