How to Spot Reliable Trading Signals!

Trade Alerts! The Good, The Bad, and the Hopelessly Ugly!
 
 

The DTS Raptor Trading System has many mechanical components to help automate your daily trading activities. Most are related to Trade Manager’s trade management functionality. 

With Trade Manager you get money management and trade management all rolled into one tool. Trade Manager is included in the DTS Raptor package at a significant cost savings. Also, Trade Manager can be used with any system or collection of indicators on NinjaTrader.

Ok, back to the trade alerts for DTS Raptor: the trade alerts, are automatic. DTS Raptor will warn you with an audible alert or even an email alert whenever it detects a possible trade setting up. This alert is an “early warning” signal, not available in most other systems which don’t give you any warning, forcing you to make a decision on the spot.

1. Is it trending or choppy for the day?

To answer this, you look at your DTS Raptor chart to tell you if the market is trending or choppy. If it’s choppy, you will see a lot of color changes in the bars, trend lines, and filter, indicating an erratic or choppy market.

2. What is the true price activity?

With DTS Raptor, you also receive the Mean Renko bars which show the real price sensitivity. In other words, they show you the current limits of the buyers and sellers (i.e., support and resistance) much clearer than a time or tick based candlestick chart. Look at the two charts below. The first one is a regular candlestick chart and the second one uses the Mean Renko Bars.

As you can see, with the Mean Renkos, it’s much easier to see the trends, as well as the limits of buyer and sellers (support and resistance) and that, makes much easier to see good trading opportunities. Once you know the market “extremes,” you can trade accordingly, either by trapping traders when the market violates the extreme or going with trend when the market confirms that the break of the extreme will hold.

Trading Signals

3. Buying or selling bias determined by the trend.

It’s very simple to determine if the market is in a general up or down trend by only looking at your DTS Raptor filter. If it’s in an uptrend for the day, then you would, of course, adopt a buying bias for that day. Downtrend, take a selling bias.

Raptor Signal #1 – “Cloud Crossover.” 

This alert is a trend change signal. The Raptor “Clouds” provide market directional or bias. When the Clouds begin to twist and turn, it is a sign the current trend is in trouble. Once the Clouds complete their crossover, there is a high probability that the market will move in the new direction the Raptor has indicated.

Raptor Signal #2 – “Soft Edge Buy/Sell.” 

This alert is a countertrend signal. When the market becomes overextended, the Raptor Clouds will become quite large. It is not unusual to see the trend begin to falter with a reversal move likely to follow. Once the Raptor confirms the trend is about to reverse, a countertrend signal prints on the chart. Retracement is usually to the “hard edge” of the Raptor Cloud but sometimes will go much further.

Raptor Signal #3 – “Hard Edge Bounce.”

This alert is a continuation signal. The Raptor warns you when it’s the right time to get back into a trending market. Prices attempt to change direction. But, the Raptor will pick up when the trend regains momentum and will signal that the trend is likely to resume.

Training Information

Video Time: 47:05
In this video, you’ll learn how to recognize high probability trading signals with the DTS Raptor Trading System.