EASY SSL Channel Indicator Trading Strategy (Tested 100 Trades) + How to Optimize

hello everyone and welcome back to tradesmart in today's video i will show you an easy but profitable objective trading strategy this strategy is said to have 74 win rate with a 65 gain on the account over a series of 100 trades these results seem extraordinary so even if it's half that good than it said we still have an amazing system first i will show you the indicators and the rules of the strategy then the 100 trades after that i will show you the results and i will give you two optimization tips which i have tested and made the strategy even better so without further to say let's get right into it first open up the us dollar japanese yen 30 minute chart on trading view then click on the indicator step the first indicator is going to be the ssl channel which is our entry signal indicator basically when the ssl line switches we consider it as a buy or sell signal this indicator can get you into pretty good trends like these but it can also give fake signals so the next step is to filter out the bad entry signals for this purpose first we will add 200 length ema the ema will show us the main trend and only allow us to trade in the trends direction so we can only enter into a long position if the price is above the 200 dma and we can only enter into a short position if the price is below the 200 dma to further filter the bat signals we are going to use the wada attar explosion or wae this indicator indicates extraordinary price moves and momentum picking up it can be used in multiple ways like as an entry signal indicator or filter indicator in this case we are going to use it as a filter indicator so we can only enter into a long position if on the entry signal candle we get a green bar on the wada attar this green bar has to be above both the explosion line colored white and the dead zone line colored orange finally we need a stopless and take profit placement indicator and that's going to be the well-known nfx atr indicator now let's go through the settings and i will show you a few trade examples first set the ssl length to 21 then set the ema length to 200. after that go into the nnfx atr settings and set the stop loss or sl to 2. now click on the style settings untick the by tp the cell tp and the main atr options and set the line style to step line finally go into the water attar settings here we are going to use the default settings i only change the style i color the explosion line to white and the dead zone line to orange and set the style to line if you've done everything correctly your chart should be looking something like this now let's see the rules with long and short examples for long position first we need the price to close above the 200 length dma then wait for the ssl to switch to green line on top this is the long entry signal finally the water attar needs to approve the entry by showing a green bar which is higher than both the dead zone line and the explosion line if all the three criteria is met we can enter into a long position on the candle close we are going to use a two-step take profit so watch closely stop plus goes to the lower nnfx atr line and the first take profit to the upper nfx80 line this gives us a one to one risk to reward ratio we exit 50 of the position once the first take profit is hit then we let the rest right until the ssl channel switches and the red line becomes on top this way we can write strong trending moves and achieve a one to five risk to reward ratio or even better i have to say that in the original back testing video the stop loss was moved to break even after the first take profit got hit but this way there were multiple trades with high risk reward ratios that have been stubbed out after the first take profit so i tried both moving the stop loss to break even and leaving it at its original level and found that leaving it at the original level gives us slightly better results now let's see a short example for a short position first we need the price to close under the 200 length dma then we wait for the ssr to switch to redline on top this is the short entry signal finally the wadawatar needs to approve the entry by showing a red bar which is higher than both the deadzone line and the explosion line if all the three criteria is met we can enter into a short position stopless and take profit placements are going to be the same so set the stop loss to the upper and fx atr line and the take profit to the lower nfx atr line once the first take profit is hit we exit half of the position and we let the rest right until the ssl channel switches to green line on top there's one case that can happen and might be confusing so what happens if we are in a position and the first take profit did not get hit but the ssl made a switch if this happens we will close out the full position as the ssl switch is our second and final take profit signal i hope everything's clear as this is a more advanced trading strategy feel free to ask me any questions you might have down in the comment section and with that said let's see the 100 back test [Music] and the results are in if you like my content don't forget to like this video subscribe if you haven't already and turn on the notification bell so you won't miss any of my videos after 100 trades on the usd jpy 30 minute time frame this strategy managed to give us a 13.63 gain on the account risking 1 per trade the win rate was 46 which is far from 74 but still in the profitable range now let's see the equity curve here you can see the strategies equity curve over the series of 100 trades well this is not the best equity curve i have seen as it has multiple big drawdowns like here or here but the overall trend is moving to the upside so it's still a decent one with the two optimizations i found and tested i was able to make this equity curve more steadily uptrending and avoid the big drawdowns before showing you the optimizations congrats to all of our smart trader discord members who have followed the trade signals given by or highly optimized triple ami algo usdt strategy since we shared those script settings with our discord members the premium version of the triple ama strategy was able to take 6 trades from which 5 was winner and only 1 was loser this gave us a 10 gain on the account or 100 profit using a thousand dollar account balance more highly optimized premium script settings will be shared in the following weeks in discord so stay tuned for that and now let me show you the two optimizations i found for this strategy the first optimization is really simple the rule is that you can only enter into a long position if we had at least two can do a close above the 200 dma before the entry candle this way we can filter out some of the fake trend signals when price only broke above the 200 ema for one candle but then continue the downtrending price movement opposite rule applies for shorts so you can only enter into a short position if we had at least two candle closes under the 200 ema before the entry signal after filtering all the 100 trades with this optimization we are left with 74 trades but still got a bigger net profit 16.87 percent if we project the 74 trades to 100 trades we would have got 22.8 gain on the account if you take a look at the equity curve before and after the optimization you can see that this filter eliminated most of the drastic drawdowns and made the strategy more steadily uprising now let's see the second optimization this optimization might sound familiar for those who have been following us for a while as this is one of my go-to optimizations to test for every strategy for this one you will need another indicator which is called gender momentum oscillator this indicator is a momentum indicator that can indicate us when the price section and momentum starts to slow down or starts to pick up after you edit the chando momentum oscillator to your chart add an extra ema to once you have the ema on your chart press on it start pulling it down to the chandemo indicator and release it this way the ema will be displayed on the gender momentum oscillator now go into the ema settings and change the length to 20 and its source to change the momentum oscillator now one final step set the gender momentum oscillator length to 50. the rule is the following you can only enter into a long position if the gender momentum oscillator's line is above the 20 length dma in case of short position you can only enter if the shander momentum oscillator's line is under the 20 length dma using this optimization to filter the 100 trades we are left with only 68 rates but the net profit is 18.3 percent which is 5 more profit than what we've seen in the original strategy backtest if we project the 68 rates to 100 trades we would have got a 26.9 gain on the account if you take a look at the equity curves before and after this optimization we can say that this filter eliminated almost all the bigger losing streaks while keeping the winners with high risk reward ratios i hope you enjoyed this video if so leave a like subscribe and let me know which other pair or a set should i test with this strategy i will share the extra back testing results in the comment section for discord membership premium trading scripts and optimize script settings visit our patreon and join our community becoming a smart trader tier member links down in the description and with that said thank you all for watching have an amazing week and see you in the next video [Music] you