If you are part of our whatapp trading community then chances are, we have already gone though this method of placing winning trades in Olymp Trade.
If you are not part of that group already, ask to join and I will send you an invite link.
Speaking of how to make money in Olymp Trade with the test candlesticks strategy, do you know what candlesticks are?
They are those tu-little green and red bars you see forming on your trading charts.
Ideally, charts like the Japanese candlesticks show the time that the candle takes to form. Often referred to as a time frame in trading.
Each candlestick tells you the open, high, low and close (OHLC) price of the time frame for that candle.
In Olymp Trade, a red candle means that the price has moved down and a green candle means that the price has moved up.
When using candlesticks to trade FTTs in Olymp Trade, we will rely on the widely known principle that – when the price breaks through the Support/Resistance levels to develop into a new trend, it usually bounces back to test the levels it just broke.
In which case you should open your trade here to hopefully enjoy the profits.
Rule #1 Of Making Money With Olymp Trade’s Japanese Candlesticks.
Open your next trade according to the color of your last stick.
What this means is, one of the red or green candlesticks will be our signal of entry. We just have to figure out , which one.
I’ll show you what I mean in the next few paragraphs.
Before we begin though, make sure your candlestick chart is set to 5 minutes with a 5 minutes trade expiration time and a 5 minute trading time.
If you don’t have a trading account in Olymp Trade, create one here.
Accounts created here will automatically be added to our whatsapp tutorial group.
How to Identify a Signal on Olymp Trade With The Candlestick Trading Test Strategy.
- Look for candlesticks breaking strong resistance levels. If you identify them, trade upwards with the green button on Olymp trade.
We’re going up because when a red candlestick breaks the resistance, the market reacts by creating a candlestick to retest that action. Often by releasing a green candlestick hence the need to trade up.
2. On the flip side, a downtrends may form when price breaks the support zone.
Look for candlesticks breaking strong support levels. And if you identify any, trade downwards with the RED button on Olymp trade.
We’re going downwards because when a green candlestick breaks the support, the market reacts by creating a candlestick to retest that action. Often by releasing a red candlestick hence the need to trade downwards.
Regardless of the color of test candlesticks, always keep one thing in mind. You are to place your trade immediately after the last candle expires.
Focus your trades on areas where price creates test candlestick at either the support or resistance level it just passed.