Slug’s Declassified Spot Swinging Survival Guide for Struggling Traders

For those of you who have been watching Slime Time, you have seen me try to explain my trading process as I goes over charts in the videos. This is not always the easiest to put into words, and I understand not everyone learns the same way.

For this reason, I have decided to try my best to break down a step by step swing trading guide in written format.

This will be spot trading, so I will not be getting into leverage. In my opinion, spot trading is easier to manage and way less anxiety inducing.

Let us begin.

I will be using the LINK chart to break down the process. Everyone makes fun of LINK but it actually provides price action that is a swing trader’s wet dream. It’s literally been ranging for a whole year lol.

STEP 1: What to look for to buy

When price is trending down what do you want to look for to buy to limit your risk of price going down even more?

You want to look for a sweep of candles.

Notice how within the green marker there are candle wicks. These wicks ducked down BELOW the first candle (marked by the black line) and continued to close ABOVE the candle. AKA deviation, run of stops, liquidity grab, SFP, yadda yadda etc etc)

This usually indicates that sells are being bought up and that price is ready to reverse up again.

Step 2: When do we sell?

Ok we are in a position. Are we holding to new aths, are we holding for 50%, 100%?

For this swing strategy, no.

We are looking to sell at a point where the market is looking to reverse. Basically the same thing we just went through looking to where we’d buy, but only in reverse.

On the 12hr, the first instance we see price wanting to reverse is where the red arrow points.

You can see that price kept wicking above the one candle (marked by black line), but kept candle closing below. **The more candles closing below is usually a bigger sign of reversal imo. But not always the case as the market always surprises.**

Since we’re spot, we’re not really looking to short, just to sell our bag we bought at the previous buy zone. Then we let the market decide how low we’re going to go.

Step 3: From Swing to Swing

Now we’re seeing some buy signals again after selling. What do you see?

• *take a few moments to try to see for yourself before you go on**

Ok here we go.

Is that what you saw? More candles breaking below, but closing above? Aka running stops?

This is starting to look like a good area to buy again.

Let’s see if we were correct.

Nice, we making money.

BTW you should always be taking profit along the way up. Sometimes you don’t get a perfect exit, sometimes you miss something you don’t see until later. That way you’re not kicking yourself in the butt and frustrated if things start returning to your entry.

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It is starting to look like it’s forming a reversal. But let’s run through our process.

Because it just ran up to an major level, I marked a line at the swing high indicated by the red arrow.

So we ran this level but closed below. We ALSO ran the current candle and closed below, marked by the green marker.

At this point, the market could do its own thing and go higher, but I just made a bunch of money and want to play my own strategy so I’m taking teh win and closing here.

Good thing we trusted ourselves and closed.

• *Sometimes if we didn’t close, we can still get a reversal back up to exit before it goes lower. But this is never guaranteed and is the risk that comes along with this. Nothing ever goes 100% in your favor. Another way taking profit eases the stress out of this.**

Step 4: How do I know when I’m wrong

Watching charts long enough, you will develop your own intuition for what price may look like when your idea will be invalidated.

But this is what I look for to tell when my entry might be wrong.

Here, if I seen a candle CLOSE below the black line, instead of a wick, that indicates to me that the buy pressure is losing steam and it might want to go lower.

A close where the green X is would be my invalidation.

In this case it didn’t invalidate. But if it did, I would have to wait until I seen the candles start closing back above the black line, or until price started to form some deviations at a lower level.

Final Thoughts

This is the way I trade for now, and has so far been working.

But I am a lifelong student who is always learning, re-learing, correcting, touching up, and sometimes even throwing out old trading processes.

To me, trading is an art, something that can always get better, but never perfect. And no one trader trades the same. A lot of trading is intuition based and needs to be developed on your own, putting time into the charts.

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But hopefully this swing trading guide can be something that helps you get started; and if it works, something that you can reference back to over time. Or even add your own notes and epiphanies to.

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To conclude:

Slug wishes nothing but prosperity and peace to you on your trading journey. Stay optimistic, and be kind to yourself. If you stay determined, you will make it.

slug xx