Monday, August 13, 2012

Channel Breakout Strategies

Channel breakout system is the heart of the most successful public and commercial trading systems. What is a channel breakout system? It is a simple strategy where we create a channel around the price.  Trading signals are generated whenever the price breaks out of the channel. There are number of ways we can create a channel.  It can be a simple High / Low channel.  It can be a percentage band channel like the Nick MA system or even an ATR channels.  Most of the popular commercial systems like the ASCtend or the Brain Trend are all channel breakout systems. Even the very popular Super trend is channel breakout system

In the Metatrader we find many channel breakout systems. In fact the channel systems are commonly used to define the Trend itself.  Indicators like Altrtrend, Bykov trend and Silver Trend  are a few examples. Even the StepMA which I described earlier in this blog uses a channel to decide when the MA has to remain constant or move up. I plan to present some of these metatrader channel based Trend Indicators here.


  1. Thanks for the update ji.. eagerly waiting for the same.

    Karthik ji.. could u leave a word or two about uploading the attachments in your i am unable to do the same..and further i am unable to update the profile.. in tatechnics.. pls respond if possible..

    With warm regards,

  2. Dear Sai
    I will check once again why you are unable to upload any file. Please note the limit is 1000KB and I have already enabled ex4 type of files. About the profile I will check and revert back.

    Warm Regards


  3. Hellosir,
    Thank God you are back .. and many thanks for crating new blog ,
    now we all , will have new things to learn :)

  4. congrats karthik sir,,,, we all are with u,, what so ever u take up !!!god keep u going,,,, and kitna hi koio hack karle,,, u are the master of vpa/ vsa the whole world of stock trading knows

  5. Renu. Thanks for the kind words.