ATR Trailing StopLoss – Use as Support and Resistance

ATR Trailing StopLoss in multi-timeframe are natural Support and Resistance zones. In the chart below, one can see that the overall market is Bearish and when the Bulls tried to take the /RTY through the ATR Trailing StopLoss in the 3 min and 10 min charts, it was rejected. The Bears took it down and down.

TiTTs trading system with market internals 14 Jun 2022

In a volatile market that is not trending, such observation will allow the trader to switch to a range trading strategy instead of a trend-momentum strategy.

Instead of a money losing strategy, we can turn it into a money making strategy when we pick the right strategy for the market condition.