The "Power Momentum" Strategy by John Kurisko

Finance-focused summary of the video (auto-subtitles)

Instruments / tickers mentioned

• None (no specific stocks, ETFs, crypto, bonds, commodities, or tickers referenced)
• The strategy is described as a chart-based trading system using the Stochastic Oscillator.

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Core trading methodology (step-by-step framework)

Strategy components

1) Quad Rotation (oversold/overbought alignment)

• Use 4 separate Stochastic Oscillators simultaneously.
• Buy condition (oversold): all four Stochastic readings are below 20
• Sell condition (overbought): all four Stochastic readings are above 80
• Emphasis: do not trade on one indicator—wait for all four to align.

2) Stochastic Divergence

• Bullish divergence (potential reversal up):
  • Price makes a lower low
  • Stochastic makes a higher low
  • Interpreted as fading selling pressure
• Bearish divergence (potential reversal down):
  • Price makes a higher high
  • Stochastic makes a lower high
  • Interpreted as fading upward momentum

3) “Super Signal Setup” (highest-conviction entry)

Combine Quad Rotation + Divergence, then add a timing trigger.

Buy (“super signal”)

1. Wait until all four stochastics < 20
2. Confirm bullish divergence
   • price lower low
   • at least one stochastic higher low
3. Wait for the stochastic(s) to turn upward
4. Enter on the next candle
5. Stop-loss: below the most recent swing low
6. Take-profit: aim for approximately 1 : 1.5 risk-to-reward
   • profit ≈ 1.5× risk

Sell (“super signal”)

1. Wait until all four stochastics > 80
2. Confirm bearish divergence
   • price higher high
   • at least one stochastic lower high
3. Wait for the stochastic(s) to turn downward
4. Enter on the next candle
5. Stop-loss: above the most recent swing high
6. Take-profit: again aim for approximately 1 : 1.5 risk-to-reward

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Stochastic oscillator configuration (explicit parameters)

Four separate Stochastic Oscillator instances are added with these settings:

• Fast: K = 9, D = 3
• Medium: K = 14, D = 3
• Slow: K = 40, D = 10
• Long-term: K = 60, D = 10

Key thresholds used:

• Oversold: < 20
• Overbought: > 80

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Examples / trade management details

• Buy example logic: oversold alignment (all < 20) → bullish divergence → wait for stochastic turn upward → enter next candle → SL below divergence swing low → exit near overbought area or per 1:1.5 plan.
• Sell example logic: overbought alignment (all > 80) → bearish divergence → wait for stochastic turn downward → enter next candle → SL above recent swing high → exit per 1:1.5 plan.
• One example states the resulting profit was about 2× initial risk (within the described framework).

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Additional confirmation: flag patterns (trend continuation)

The video suggests using the same stochastic oversold/overbought behavior to confirm bull/bear flags and reduce false breakouts:

• Bull flag (uptrend continuation):
  • During pullback, stochastic may dip to ~20 then turn up
  • Supports continuation upward
• Bear flag (downtrend continuation):
  • During pullback, stochastic may spike to ~80 then reverse down
  • Supports continuation downward

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Risk management / explicit cautions

• Stop-loss required on every trade.
• Risk per trade: typically 1% to 2% of account.
• Avoid impulsive/emotion-driven entries; trade only when all conditions align.
• The goal is improved entries/exits with a favorable risk-to-reward, targeting ~1 : 1.5.

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Disclosures / disclaimers

• No explicit “not financial advice” or regulatory disclaimer is present in the provided subtitles.

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Presenters / sources mentioned

• John Kurisko (referenced in the video title)