Trailing Stop Loss Energies Trading Order Levels Energies Technical Analysis & Trailing Stop Loss Energies Trading Order Levels Trading Signals

Developed by Tushar Chande.

This is a volatility based technical indicator that is used to estimate levels to set stop-loss levels. The distance at which it estimates the trailing stop level is determined based on market volatility.

The Levels of the two lines, these two lines represent:

• Long Stop Level - Blue Line
• Short Stop Level - Red Line

Long stop level line has much wider range in terms of where it trails stop loss as compared to short stop level that implements a tight stop loss.

This energies indicator is volatility based when it comes to trailing and following the energies price action. Trailing Stop Levels will trail the above the energies price in a downward market energies trend and trails below the energies price in an upward market trend.

Energy Technical Analysis & How to Generate Trading Signals

These will be calculated using volatility to calculate where to draw the indicator - this is used to determine what levels to set stop losses.

Upward Energy Trading Trend

In an upwards energies trend these levels will follow below the energies price. The trader can use either the short stop level line to set up a tight stop or the long stop level to set a stop loss that is not very tight. As the energies price goes higher the trailing level also goes higher. An exit signal is generated when price crosses below these levels.

Energies Trading Uptrend

Downward Energies Trading Trend

In a downwards energies trend the stop loss levels will trail above the energies price this two levels can be used to set these levels. As the energies price drops further these levels will continue to drop lower and follow the energies price lower. An exit signal is generated when price crosses above these levels.

Energies Trading Downtrend

When energies price starts to retrace these levels will not retrace but will remain at their levels, this will mean at some point the trade will be closed by the trailing stop loss.