CCI Template MTF is multi time frame momentum indicator that aims to profit from the reversal of trends in markets. The idea behind this system is to trade the early reversal when an ongoing trend matures & starts to lose momentum.
This strategy we can often get a huge risk to reward ratios because we are getting into a reversal early which means we can typically keep our risk unit small and our profit potential quite large. Let’s try to understand the working of this trading system with few examples.