It's important to understand that the Structural Trailing Stop Loss is not a super trend feature and should not be used as a buy or sell indicator. Rather, this feature assists in managing your stop loss trailing, confirming new trend developments, and identifying potential retest areas in your trading strategy (optimal trade entry).
In this article we will show you how to enable the Structural Trailing Stop Loss and show you a practical example on how to implement it.
To enable the Structural Trailing Stop Loss feature simply head over to the indicator settings.
When you are inside the MTT settings - locate the Structural Trailing Stop Loss box and enable it (first box).
The Structural Trailing Stop Loss feature is multi-timeframe, enabling you to select up to three different timeframes simultaneously. This multi-timeframe capability allows you to conduct a more comprehensive analysis, helping you identify larger trends.
The lower the specified distance value, the closer the trailing stop loss will be set to the current price. This means your trade will close out earlier if the price starts moving in the opposite direction or the trend will change faster.
The Retracement Bands feature displays the levels to which the price is likely to revert before continuing along its original trend. This can offer valuable insights into potential entry and exit points within the market.
We always keep our chart clean, so we can locate our higher timeframe zones. We are looking to trade the pullback in this example. In this case we are on the 1H and inside a daily support zone, which gives us the chance to look for lower timeframe confirmations.
We shift to the lower timeframe (15M) and enable the SMC Indicator. On the 15M we see a I-CHoCH that confirms we are going up. What we can also see is that we are inside an Order Block, this will give the support zone more strength. Notice how the purple line transitions to blue and then the price retraces back to the purple line (indicating a retest), before resuming its upward trajectory. This pattern provides an extra level of assurance for your trading decisions