Thread: Discussion about trading with Renko

>> Introduction In this thread we talk about Renko trading strategies and share our systems, indicators and EAS.There are several trading eas with Renko in post 1. Some are based on ideas from members of the forum and others in mine.I used to earn money using the EA Renko Ma with a weekly reoptimization (to adjust the entrance parameters for next week

Does anyone here have experience using Renko for Scalping?I am looking for advice on how to adjust the size of the bricks to maximize the benefits in volatile markets.

Scalping with Renko can be very effective, but it depends on how you set the bricks.For volatile markets, test with smaller brick sizes, such as 10 or 20 points.This will allow you to capture smaller movements, but careful: you can also generate more false signals.Adjust according to the pair you operate and make sure you try first in a demo.

Renko and Scalping are not always the best combination.Small bricks seem attractive, but generate so much noise that ends up being useless.If you are going to try, I suggest you use additional filters, such as a volume indicator or an ADX, to avoid entering side markets.And please, don't blame Renko if you lose money;The problem is probably you.

What are the main disadvantages of using Renko graphics compared to traditional candle graphics?

The biggest disadvantage is that Renko does not show time.If you need to analyze the time that takes prices to move, Renko will not help you.It can also be complicated in markets without a trend, because bricks often only reflect lateral movements that do not carry anywhere.

Renko greatly simplifies the graphics, which is excellent for identifying trends, but leaves you blind to other important details, such as candle patterns or consolidation areas.If you are used to reading traditional graphics, you may feel lost at the beginning.Of course, once you understand how to use Renko, it becomes difficult to go back.

Is it possible to combine traditional Japanese candle strategies with Renko graphics?

Yes, but you have to be creative.For example, you could use candle patterns in traditional graphics to identify entry points and then confirm with the movement of Renko bricks.It is an interesting way to combine the best of both worlds.However, you will need some practice to do it well.

Of course you can combine both things, but don't get too emotions.Renko and Japanese candles have completely different approaches, and try to mix them can complicate you more than necessary.In my experience, it is better to choose one and master it before trying to create complicated hybrids.