7 EMA | THE FINAL BOSS OF ALL THE EMA STRATEGIES

Very good evening, everyone. Berlin this Side. Welcome to the sixth video of the Berlin Mindset series. a very warm welcome to the sixth video of The Berlin Mindset series. The Topic of this video is Seven EMA? now you might ask a question why 7 EMA? Why not 5 EMA, why not 6 EMA, why not 8 EMA, why not 15 EMA and why not 20 EMA? Well, the answer is very simple that I have used only two EMAs in my trading method till date. One is 7 EMA and the other one is 30 EMA. I used to use the 30 EMA first. Then I included 7 EMA and after including 7 EMA everything changed totally. Why? Because I consider it now one of the most important moving averages. ok! That is why I am including 7 EMA to the Berlin Mindset series. ok! To the TBM series. ok! Now let us understand what we are going to clear in this video. Got it? So 7 Ema. First thing is what is 7 EMA . Ok. what is 7 EMA? You know it very well that if I have to explain only EMA then I will go to indicators in the chart and add EMA and show that yes this is EMA. You have to use like this in some way. You have to make entry here and exit here. I can just say that and I can just finish the video. But it is not like that. We will understand all the things. What is it? What is Basis? ok! What is 7 EMA? ok! First is what is 7 EMA then second is what is the use of 7 EMA. ok! why do we use 7 EMA? that's the second point which we will understand. third point is What is the best time to use 7 EMA. ok! When is the best time to use 7 EMA. Ok. now fourth point is How To Make Entry And Exit Using 7 EMA. Got it? Fifth and last will be When Not to Use 7 EMA. ok! If you understand this much then I can tell you that you will master it. ok! First, what is the 7 EMA? ok! Then what is the use of 7 EMA? Why do we use 7 EMA? ok! When is the best time to use the 7 EMA? When should we use 7 EMA? Then how to make entry and exit using 7 EMA? How to enter and exit a trade using the 7 EMA? When not to use the 7 EMA? Now the points that I have written here must be telling you that when I am writing these things so briefly. ok! What is the use of that? When is the best time? And when not to use it? These points must be telling you that I have been using this thing for a long time. Only then will I be able to explain these points to you. ok! When to use it, when not to use it , how to make the entry. ok! And then what kind of traps can be seen , what can happen. ok! We will understand all the things briefly one by one. Now let's begin with this video to all the viewers over there. Those Who Are New and Those Who Are Old, very Welcome to the sixth video of The Berlin mindset series. Let's begin with this. So, what is 7 EMA? what is 7 EMA? This is the first point. Let's remove the 7. What is an EMA? let us understand that. Then I will explain what 7 EMA does? ok! What is an EMA? Look, whether you are trading any stock, any index or you are trading crypto, Forex, commodities, anything. ok! if it is a stock then it would be HDFC Bank, ICIC Bank, Axis Bank, if it is an index then it would be NIFTY, Bank NIFTY, SENSEX, if it is crypto then it would be Bitcoin, Ethereum, Solana, if it is forex, then it would be pairs of currencies, if commodities then gold and silver, okay, everyone's charts are the same, they are moving in this manner, okay, the only difference is in the price, all the assets have their own different prices. ok! Now what does a moving average do? Like this is one candle formation. ok! After this candle is formed, this closing price. It records the closing price after recording the closing prices, it gives you an average price. Like it goes like this it is nothing, it just forms an average price after calculating the closing prices. Now it depends on which moving average you are using. Then the prices are reflected differently. ok! Suppose you are using 20 EMA or you are using 15 EMA. ok! So there will be a difference in prices. Like using 20 EMA. So what will the 20 EMA do? What the 20 EMA will do is calculate the closing of each candle. ok! Now let us assume that the closing found here is for Rs 200. we are trading a stock. It is available at 190. It is available at 180. It is available at 170. It is available at 160. Ok Then after that the chart gets reversed. ok! And after coming here, after 160, this 165 or 170 continues like this. ok! Now what will the 20 EMA do here, this 20 is just a number, okay, now its work is to record the closing prices of all and reflect an average price, now how many candle prices will it calculate 20 because we are using 20 as the moving average. So an average price of the last 20 candles will be calculated and that moving average will be reflected before the next candle is formed. Like the next candle is completed okay? If this candle is completed at this price, then the next candle that is about to form will start from here. But the moving average will remain here. ok! How did this moving average get here? When the average of the closing prices is calculated, whatever EMA you are using, like we are using 7 EMA from here, then 1 2 3 4 5 6 7 8, okay, now the average price of 7 candles, after the closing, after the average is calculated, this moving average will come directly there. ok! And now understand this thing that wherever this form is formed, whatever average price it gives, let us assume that the closing is at 190. ok! And the average price came out to be 195. So why is this important? Why is this 195 important? This 195 is important because reversals happen quickly from the average area. The entries are made there. ok! Or this price is the SL of many people and suppose if it breaches then that indicates that whatever average price was forming till now, its breakout has been achieved and then there are chances of the movement shifting after that. Got it? I hope it is clear what an EMA is and what we are trying to do with the 7 EMA. We are using 7 EMA because it gives us an average price of the last seven candles and we can use it on any time frame. So, there will be different differences in prices. we will use the 7 EMA on majorly two time frames. One is for 1 hour and the other is for 15 minutes. I hope it is cleared what is an EMA is ok! I have explained it in very easy language and I will get it revised once again. Whatever the asset, everyone has their own price. Some candles keep forming in this manner. candles are formed in this manner and the closing price of each is recorded. Here it is not the case that every candle is is negative. The real charts are little different. This is how price is closed. After this the candle is closed like this. Then it closes like this. And then it closes something like this. So an average of the closing price of all these is obtained. Ok and this average price is important. Why is it important? because at this price we can go to follow the trend. A momentum shift can be seen after this price breakout. ok! So that is why this average price is important. Got it? So, I hope it is clear what a moving average is or why we are using 7 EMA. Let's let's move to second point. So, the second point is what is the use of 7 EMA? what is the use of 7 EMA? It has two simple uses. The first is momentum following and the second is trend following. The first one we use is for momentum following. As I told you, an average price comes out. Only two things can happen with that average price. If it breaks, then that indicates that the momentum is shifting and if there is a rejection from there, then that indicates that the current momentum is going to continue. ok! So that is momentum following and the other is for trend following. It rarely happens that if a sharp trend is going on, then in a sharp trend, if a sharp trend is going on in this manner, then it very rarely happens that the price breaches the 7 EMA. ok! Why I consider it one of the strongest EMA. The reason is that it is very accurate for trend following. meaning, whatever average prices are given by it whatever average price is calculated. ok! a sharp entry can be made from that point. From that point the trend can be followed. From that point, momentum can be followed. ok! Now whatever average price comes out of this; I found it that in trend following there is nothing better than this EMA so we are going to use EMA for two things first one is for momentum following and the second one is for trend following. ok! Now why does this happen? Why? Because it is calculating recent data. Calculating recent prices. ok! If prices are breaching, that shows that there is a good amount of momentum built up on the other side. Due to this, the current trend that was coming has breached and closed above the price. So that will be called as shift. Momentum shift. ok! So we will use the 7 EMA for two things. The first is for momentum following. The second is for trend following. ok! Now let us move on to the third point. ok! So let us clear the third and fifth points. And then after that we will understand the fourth point briefly. In the fourth point I have to explain entry and exit. That's why I am keeping it for last. Why? Because we will stretch it a little. Don't worry. I will not explain there that this EMAs are 7 EMAs. ok! And how to make a 7 EMA entry? When the price reaches here and is rejecting, then place the SL above and keep the target here. No, I will not explain this. ok! You also know that when we follow an EMA, we make entry only when the price is going on the EMA. Isn't it? So I am not going to tell anything like this there. There I am going to provide some rules which are very important. Those rules will keep you on the right side. ok! Those rules will help increase the accuracy of the trade. First and second, you should mostly be on the right side. ok! Stay on the right flow. Got it? Everyone knows this thing, friend, what's so big about it? Now let's begin with the third and fifth points. what are the third and fifth points? The third point is what is the best time to use seven EMAs? The third point is what is the best time to use seven EMAs? the fifth point is just its opposite, when not to use 7 EMA, okay, one point will tell you which is the best time and the other will tell you when not to use it. ok! Now you should Understand by looking at these points how important theory is. If I do not tell these parts and if people who are skipping this part, if they are skipping the first 10-15 minutes of the theory part, then they will miss these things. All they want to know is what the strategy is. ok! If I apply 7 EMA in the chart, then it will simply go to the chart and apply it. And that's it. The Rest they knows themselves. No, one thing matters. That is experience. All these things come from experience as to when is the right time and when not to trade. ok! And what rules to follow for entry and exit. ok! So that is why the theory is important. and I believe that the members who have been following TradeLikeBerlin for a long time will not skip the theory at all. ok! Now let us understand what is the best time? Look, you will understand these two. So the accuracy of the trade will increase. Failures will reduce. You will know in advance when I should trade and when I should not. ok! When is the best time? When the market is trending. When the market is trending. Like this. A sharp trend is needed. Trend Got It? A sharp trend is needed. Whether it is down or up. We need sharp trends. Got it? Now on which time frame will we see this trend? Just use the 15 minute time frame. ok! The 15 minute time frame is to be used to spot a trend. if the market is trending on the 15-minute time frame, that's a time to use the 7 MA. That's the best time to use the 7 EMA. ok! Now,I will tell you how to do entry and exit in the next point or you will understand it in practical also. But when is the best time? When the market is trending. What time frame should be trending on? It should be on a 15-minute time frame. Got it? Now This Is The Best Time To Use The 7EMA. We have to use it in trending markets. When to avoid it? When Not to Use 7 EMA. When the market has no direction. When the market is moving like this. ok! When you are continuously looking at this moving average, when the price is continuously going above it, coming below it, going above it, coming below it , going above it, coming below it. At this time we have to avoid using 7 EMA. We will understand this thing more clearly in practical. Keep one thing in mind, keep repeating, keep repeating, keep repeating that when do I have to apply 7 EMA, I have to wait for the condition, what kind of condition, where the market is following a good trend, okay, if this is a 15 minute time frame, okay, then we have to see that the market is in a sharp trend, we have to wait for this opportunity, okay, if a sharp trend is found, then we will create the entry by looking at the sharp trend on the 15 minute time frame. Got it? Now the question of many people will be that in which instrument can one trade? I'm telling you to use any instrument you want. Especially if you apply it in gold, it will work very beautifully. Now how to avoid the market? When you can't see any direction. Like, the markets are falling in this way but they are also rising in this way. What is there here is that the direction of the market is not there. Avoiding this market. So I hope you will remember these two things. use 7 EMA when the market is trending. Avoid 7 EMA when the market is not having any direction. Got it? Note both of these down. use the 7 EMA when the market is trending? avoid 7 EMA when there is no direction? When should I use the 7MA? When the market is trending. When to avoid it? When there is no direction in the market. 7 EMA has to be used in this market and 7 EMA has to be avoided in this market. Tick ​​Tick Got It. Now let us move on to the entry and exit points and let me explain some rules. Ok. So now let's begin with the fourth and the most important point. How to Make Entries and Exits Using the 7 EMA. how to take entry and exit using 7 EMA. There is a common method and a very basic method that everyone will know if it is a moving average. And the prices are going something like this below it. Now suppose that after the price of this asset comes in this candle, if the low point of this candle is around 200 and if the moving average has given an average price of 210, then in the next candle if the price retraces this moving average which is 200 and attempts to reach 210, then this will be a very good area to enter, okay? We will understand this thing practically and this thing will tell us where to place the entry and where to place the exit. I am going to tell you here that I will give you a rule. this rule will keep you on the right side. the first thing it will do. The second one will get you bigger targets. ok! Tell me one thing if the river is flowing in this manner. ok! Can you swim against it on this side? is it possible for you? You can swim a little distance. If you are here then you will come here from here. So, you can't go very far, can you? Is it possible? Not there. But on this river, if you swim towards this side, it means you are going towards this side. If you swim towards this side, you can go very far. ok! This will work. This is the right side , if you stay on the right side you will get big targets. If you stay on the wrong side, you will not get big targets. ok! Now how to stay on the right side? By following this rule. What is the rule? The rule is to use hourly Time frame for The rule is to use hourly Time frame for deciding the side of entry. ok! hourly time frame has to be used to decide the entry side. To decide on which side to make an entry, the hourly time frame has to be used. If it is an hourly time frame, suppose this is a one-hour time frame. ok! And these candles are moving. ok! On the hourly time frame, if these candles are below the 7 EMA then only look for bearish entries in the 15 minute time frame. ok! All right, I am repeating it again. Listen carefully. If the price is trading below the 7 EMA on the hourly time frame, then we have to plan entry only on the bearish side on the 15-minute time frame. ok! Suppose it could be like this EMA on the hourly time frame, okay? The price is trading below this. But on a 15 minute time frame, it is possible that the price may be trading above that. ok! This has to be avoided. These setups are to be avoided. Which side should we enter when the price gives us an opportunity on the bearish side. ok! Why? Why are we going for the bearish side? because the price is below the hourly time frame of 7 EMA. hence we will make an entry for the bearish side. Just do the opposite of that for the bullish side. Let me also tell you about the bullish side once. When to enter on the bullish side? When on the hourly time frame? When the price on the hourly time frame is trading above the 7 EMA of the moving average, in this way on the 15 minute time frame we will look only for bullish entry, if you suppose that in the hourly time frame you saw that the price is trading above the 7 EMA. ok! And as soon as you open 15 minutes, you see that the price is trading below the 7 EMA. There may have been some retracement or the momentum may have stopped. Due to this the price has come below the 7 EMA. This entry has to be avoided. ok! When to take entry? when the price moves above the 7 EMA in 15 minutes. ok! And then go there and wait for a retest and make an entry. now let us understand entry and exit a little more briefly and in brief let us understand where it goes by going to the practical charts. Got it? Let's start the practical. And then we end this video. That's all. ok! So, now let's begin with the practical part. In this practical part, we will take three-four examples so that it becomes clear how to take entry and how to take exit. First thing. Secondly, whatever we have learnt in theory, how to apply the rules, we will understand that in this practical part. ok! And then after that we will end the sixth video of this TBM series. Got it? Now what is the first thing that comes to mind that I mentioned? The first thing we need to know is which market to trade? Do we want to trade in this market we need a trending market. Whether it is upside trending or downside trending. What we need is trending market. ok! We have to plan for entry into the trending mark market. ok! Now suppose I saw a trending market in front of me , it is a bullish market and it is trending. But the time frame is open for 15 minutes. So will I make an entry? No. We have to open the hourly time frame to make an entry on the right side. Now what is the rule of hourly time frame if it is a moving average on an hourly time frame. If the price is below the moving average on the hourly time frame, I will plan an entry on the bearish side. If the price on the hourly time frame is above the moving average then I will plan a bullish entry. In which? On a 15-minute time frame. I hope this simple thing will be clear. Now let's start this session. To the practical session. Moving average is not added here. So let me add the moving average here. Here I have added the moving average. This is Nine EMA here. So let me change this. First of all, you can also change it by going to settings. If by mistake any other EMA appears like 30, 21, anything, then go to settings and go to input and change it to 7 and you can keep the color whichever you like. Ok so here you can see my 15-minute time frame is open. So I will not take entry after seeing this. So I will be opening the hourly time frame and after opening the hourly time frame let us see whether we get any entry or not. Now one thing I want to mention from the beginning is that we are doing back-testing here. ok! So whatever SLs are hit, note them down to see how much we are losing in SL and how much we are earning in profit. ok! If there is loss in SL then pay attention to how much loss is there and how much profit is in profits then pay attention to how much profit is being made. Ok let's start now. so here it can be seen that the current price is below the moving average. I wait for the price here to take a direction. If I wanted to be on the bearish side, I could have made an entry here. But let's let the price settle for a while and see what happens next. Now here you can see that the price has given an upside breakout. It can be seen here that an upside breakout has been observed and the price is now trading above the 7 EMA on the hourly time frame. So we have to look for entry on the bull side. I will switch to the 15-minute time frame to look for entries on the bull side. And after going to the 15 minute time frame I will plan an entry. Let's see whether I get any entry or not. This is a good entry. Okay, and if I look here to long. If I go long here and place SL below this low, I am getting an SL of 35 points. Will I get a target of 70 points or a target of 105 points? It will be 1:3 here. ok! So let's see what we're going to get 1:3 or not. Ok. So, after the market got stuck at a very choppy zone, I got the target at the end. It's good that my SL did not go into this choppy zone. and in such choppiness though I cut the trade. I avoid it. But still I had to run. I had to show what happens here. So I held it as it is. ok! Now let's plan the second entry using the same setup. Let's see if we get any attempt at moving average again. I'll cut it once and see if I get another attempt at the moving average. It looks like I've got one attempt and I'm going to go long here. The SL is of 15 points. I will keep the target at 45 points or I can keep it at 60 points for 1:4. This is 1:4. ok! Now let's see whether we get 1:4 or not. Ok. So here I have got another target of 1:4. ok! Keep taking notes with me about the targets I am setting here. Just a second let me connect my pen. ok! So keep noting here that the targets I am setting are based on RR. ok! I am looking at the SL first to see how much the SL is. Like I entered here. So here I saw how much SL is. if I see ah SL small, I'll increase the target. ok! For example, suppose here I was getting SL of 15 points. I did it 1:4. 1:3 did not. ok! I could have done 1:5 also. Look at this thing here that what I am looking at first I am looking at what is SL. ok! And then after that I am setting risk to reward. i would generally target 1:3 and I would target 1:4. ok! And if I get good cases then I can also go for 1:5. I Hope it is cleared. now let's continue running and see what happens. Now see how you can easily get targets in the market when the market is trending. ok! You will easily get the target in the trending market and there will be a lot of frustration in the choppy market. ok! But still SL is SL you will have to respect the SL. now let's cut it. And now let's reverse this thing. Now let us wait for a bearish kind of scenario to emerge. if we find a bearish market, we will look for entry on the bearish side. ok! For the bearish side, a closing below the moving average should be achieved. If we get it then it will be good for us. Ok. So it can be clearly seen here that closing has been achieved on the bearish side. Look at this candle we got closing below the moving average on the hourly time frame. We will go in 15 minutes and on which side will we plan to enter? We will plan entry on the bearish side. ok! As it can be seen, this candle has closed below the moving average. So right here, I see an entry. I will not do anything here. After taking entry here, I will see how many points the SL is worth. SL of 35 points is visible. i would target at least 1:2 in this. Let's see if we get 70 points or not. ok! So here I have got 1:2 quickly. ok! Now we will wait for more entries. Look, understand this thing. This is a back test. ok! Things will definitely look easy here. I accept in front of you that when the market is live, things change. Understand my point carefully that you have to wait for the closing. ok! When we get the closing then we will get confirmation that yes we can go to that side. If you are watching any of my entries, you will see that I am waiting for the previous candle to close. I got closing here and then I made 1:2 plan. SL was big so planned 1:2. ok! Now let's see if I get more entries or not. Here you can see that it is clear that the breakout has been achieved and why can't I make an entry for the upside? Because in the hourly time frame, the market is moving below the moving average. Therefore, I cannot make an entry on the bullish side. I will continue. Now I've got another entry here. ok! I will enter at this closing. This is where my SL will be. How many points of SL are you getting? Again getting SL of 35 points. Keeping the SL at 35 points, let us target 105 points here. Let's see whether we achieve this target or not. You see how beautifully it is respecting . this is almost our target achieved. ok! I almost got it and got it in full the next day. what I want to show here is that you can bring any EMA. ok! All I am saying is that you can't get better than the 7 EMAs to capture the trend. ok! I like I once revealed 7 EMA. for this reason, I have made a complete video dedicated to it. Otherwise I don't think I would have revealed 7 EMAs. ok! But I had put in Trade Like Berlin that start using 7 EMA. There are some reasons for that. ok! That's why I even made a dedicated video on this. now here's a look at how beautifully the EMA is being respected. Look at this thing here, how well the market is respecting it. ok! Now let us see if we get any more entries or not. As it can be seen here that this candle has got rejection and a bullish candle is being formed. ok! So let's see if we get another entry. For example, if I have made an entry here and if my SL is again the same 40 points, then I will see whether I will get a target of 80 points or my SL will go there. Lets see. Ok. So look at this. SLs will also be taken. Now we cut on SL. Once again, if I get a closing on the downside, which I see here, I have, then I will enter again like this. Entering here again an SL is quite large. But still I will be entering for 1:2 at least. Let's see what happens. Why did I enter? Because I got closing under it. ok! Got closing. For this reason I have re-entered. Otherwise, I don't enter. And again the market caught the trend. after catching the end trend, let us see whether this target is achieved or not. So finally we got the target. Ok. Now when is this thing running properly? When the market on the hourly time frame is continuously moving down. below the moving average. that is why I said that only when you understand and listen to everything, things will work out better. Let's try a few more entries. Like if we get any entry again, if we get an attempt then we will take it and see how it goes. Ok. So here I see that I see another entry here. Ok. Let's See what happens here. Again there is a small SL of 25 points. Now here I will target around 75 points. ok! Let's see what happens. If we get the closing, then we will go above it. closing is not available yet. I would still hold this trade because I had not got the closing yet. ok! If you look here, the target has been achieved. ok! So, always remember that if spikes occur, then spike pay wait for closing. We need closing. Whatever SL you have planned above SL, you will get closing above that then exit, then go for exit. you are looking here again. Then another entry has been found. Like this is a pretty big SL so I won't enter right now. Will wait, we now have another one here, let me see what happens here. How big is the SL and then after that I will plan like if I take it here again I am going to have an SL of 40 points. Let's see whether we get 1:3 or not. so look at how beautifully it is working. all you have to do is place a SL and look for the trending market. Whatever I have told you, whatever rules I have told you, you have to follow them. ok! All you need is strict discipline and rule following. and if you have this, then I can tell you that you will make a decent amount of money using the strategy. That's all. So that's all for the sixth video of the Berlin Mindset series. All I will say is that if the Berlin Mindset series has helped you in any way let me know in the comments. If this video also helps then in future come and tell me in the comments that the videos are helping and the Berlin Mindset Series is helping. All I can say is that I am trying my best to provide all the things which have work for me. Whatever is working for me, I am providing it to them as it is. ok! Along with this, I would like to say one more thing that focus on gaining knowledge. Gaining knowledge and gaining knowledge. Keep focusing on knowledge, keep moving forward. ok! There is a lot of noise. Avoid noises. Focus on yourself and just keep going. ok! And last but not the least I always alert you that Trade Like Berlin does not provide any schemes. If you want to join TradeLikeBerlin's Telegram channel, then join only from the link in the description. If you join from somewhere else, you will get scammed. I am alerting you again. Trade Like Berlin does not do any investment schemes that say give 25,000 and you will get 50,000. Everything is free. Everything is free at TradeLikeBerlin. Education, knowledge, everything is free. ok! Everything is free. Together we have to go a long way. Will see you in the next video of the TBM series. if you want let me know if you want a live session then I will plan for it. But Only If I See Enough Response That's All and Don't Forget To Like This Video Bye. Peace guys.