Summary of "1m EMA Scalping Strategy - High Win Rate - Live Trading NQ (NASDAQ futures)"
1m EMA Scalping Strategy - High Win Rate - Live Trading NQ (NASDAQ futures)
Assets and Instruments Mentioned
- NQ (NASDAQ futures)
- Indicators: MACD, EMAs (Exponential Moving Averages)
Strategy Overview
Primary Indicators: - Three main EMAs: 25, 50, and 100 - Additional EMA for confirmation: 9 EMA - MACD settings: 3 (fast), 9 (slow), 5 (signal) on the 1-minute chart for entry/exit confirmation
Time Frames Used: - Main scalping on the 1-minute chart - Trend confirmation on higher timeframes: 5-minute and 50-minute charts
Step-by-Step Methodology
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Identify Clear Trend
- Zoom out to 5-minute or 50-minute charts to confirm trend direction.
- Trend is valid if EMAs (25, 50, 100) are aligned and trending in the same direction with clear gaps.
- Avoid trading if EMAs are crisscrossing, indicating no clear trend.
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Entry Setup
- Wait for a pullback within the trend.
- Pullback should ideally stop between the 25 and 50 EMA, or sometimes closer to the 100 EMA but not crossing it.
- Entry trigger: Price closes above the 9 EMA after a pullback near the 25 or 50 EMA.
- Confirm with MACD: Fast MACD line crossing above the signal line for longs, and vice versa for shorts.
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Stop Loss Placement
- Initial stop loss placed just below the 100 EMA.
- Move stop loss up as the trade moves favorably (trailing stop).
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Take Profit
- Target resistance zones identified on higher timeframes.
- Typical risk-reward ratio: 1:3 (loss to reward).
- Conservative traders can use a 1:1 ratio.
- Take partial profits or trail stops as price approaches target zones.
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Additional Notes
- Watch for MACD crossovers to confirm entries and exits.
- Use order blocks (areas of previous consolidation) as additional support/resistance zones.
- Monitor price action for retests of EMAs before entering trades.
- The strategy is primarily for scalping NASDAQ futures with quick entries and exits.
Key Numbers and Timelines
- EMAs used: 9, 25, 50, 100
- MACD settings: 3 (fast), 9 (slow), 5 (signal)
- Timeframes: 1-minute (main), 5-minute and 50-minute (trend confirmation)
- Risk-reward: 1:3 preferred, 1:1 acceptable
- Stop loss: initially placed below 100 EMA
Recommendations and Cautions
- Avoid trading when EMAs are crisscrossing (no clear trend).
- Price crossing below the 100 EMA may indicate trend reversal; exercise caution.
- The market may not always hit targets; manage risk accordingly.
- Use trailing stops and adjust stops as the trade progresses.
- MACD crossovers provide additional confirmation but are not sole entry signals.
- Strategy works best in trending markets; less effective in choppy conditions.
Disclaimers
Trading is not always correct; manage risk accordingly. This is a personal strategy shared for educational purposes only; no explicit financial advice is given.
Presenter
- Unnamed trader conducting live scalping on NASDAQ futures (NQ).
- Shares personal experience and lessons learned from prior losses.
- Mentions additional strategies like the 50-minute opening range breakout (ORB) strategy to be covered separately.
Summary
This video presents a high win-rate scalping strategy for NASDAQ futures using a combination of EMAs (9, 25, 50, 100) and MACD on the 1-minute chart. The core approach is to trade in the direction of a confirmed trend, enter on pullbacks near the EMAs with confirmation from MACD crossovers, and manage risk with stops below the 100 EMA and a favorable risk-reward ratio. The strategy emphasizes trend clarity, disciplined entries, and active stop management.
Category
Finance