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SPECIFIC BUY AND SELL SIGNALS
When we trade a system we want something that is clear cut
And that something is no questions asked buy and sell signals
The 10-8 band system gives us just that
Simple - Powerful - No questions asked buy and sell signals
The 10-8 BAND BUY SIGNAL
If the market trades 2 full bars above the 10-8 bands
And then takes out the high of those 2 days we buy
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The 10-8 BAND SELL SIGNAL
If the market trades 2 full bars below the 10-8 bands
And then the market takes out the low of those 2 days we sell
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A BUY EXAMPLE
Here is an example of a buy signal
Lumber made a correction in the bull market
Just after June 28 Lumber traded 2 full bars above the 10-8 bands
The next day Lumber took out the 2 day highs - for a buy signal
You can see there is actually a space between the 2 bars and the bands
Sometimes the bands are so close to price, you have to look at the numbers
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A 10-8 BAND SELL SIGNAL EXAMPLE
Just after March 4, Oats put in a 2 bar sell signal
Just after May 3, Oats traded 2 full bars below the 10-8 bands
The 10-8 system would have gone short both times
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ALTERNATE - SECONDARY IDEAS - FOR ENTRY SIGNALS
A SIMPLER BUY ENTRY
Another way to enter the market after a 2 bar buy signal
Would be to buy at the market the next trading day
There is nothing wrong with just buying at the market
I have always just liked the idea of making the high get taken out
You will end up using the entry signal that works best for you
And that's the way it should be when using a good system
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A SIMPLER SELL SIGNAL
After 2 bars below the 10-8 bands
Sell the next trading day at the market
1 MORE THING
If you were following the makret during the day and it was near the close
And it was obvious that day was going to be a 2 bar signal
You could buy or sell at the close to get your trade in
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