Timeframe: Any
Recommend pair: Any major pair
Indicator: Donchian Channels
Platform: MT4, TradingView
Long trade setup
Entry
The price should be at the lower line. Wait for the price action to continue in the upward direction, and then enter the trade.
Take-profit
Set take-profit at the recent high from the entry point or when the price goes to the upper line.
Stop-loss
Place a stop-loss at the recent low from the entry point.
Example:
The chart below shows the price touching the lower line, signaling a potential long entry point.
Long trade setup
Short trade setup
Entry
The price should touch the upper line. Wait for the price action to continue in the downward direction, and then enter the trade.
Take-profit
Set take-profit at the recent low from the entry point or when the price goes to the lower line.
Stop-loss
Place a stop-loss at the recent low from the entry point.
Example:
In the chart below, the price touches the upper line, indicating a potential short entry point.
Short trade setup
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