AI & Institutional Activity Strategy

Overview

About

This strategy utilizes both the Lune Market Analysis and Lune Oscillator indicators to identify high-probability trading setups. It is designed to be simple and straightforward, relying on the confluence between multiple powerful algorithms to confirm trade entries with a high degree of confidence.

Trading Style

• Scalp Trading

• Day Trading

• Swing Trading

• Position Trading

Indicator(s) Required

• Lune Market Analysis

Indicator(s) Settings

Lune Market Analysis Settings

Lune Oscillator Settings

How It Works

Setup

This trading strategy is simple and can be used on any timeframe and for any market. The core principle is to add both indicators to your chart and wait for multiple points of confirmation before entering a trade.

Entering Trade

• Bullish Trades: Patiently watch the Lune Oscillator for a bullish Money Flow or Smart Flow signal. Once active, confirm that the Trend AI is also bullish and that the Oscillator's Trend line is rising (ideally from a level below or near zero). Finally, look at the Lune Market Analysis indicator on your chart and confirm the candle color for the Market Trend is bullish (green). For optional, higher-quality setups, confirm the Clarity AI Data overlay line is also bright green.

• Bearish Trades: Patiently watch the Lune Oscillator for a bearish Money Flow or Smart Flow signal. Once active, confirm that the Trend AI is also bearish and that the Oscillator's Trend line is falling (ideally from a level above or near zero). Finally, look at the Lune Market Analysis indicator on your chart and confirm the candle color for the Market Trend is bearish (red). For optional, higher-quality setups, confirm the Clarity AI Data overlay line is also bright red.

Stop Loss

• Bullish Trades: The stop loss can be set at the most recent market low. Alternatively, you can exit the trade if the Lune Oscillator's Trend AI or Volatility AI becomes bearish, a bearish reversal is detected, or if the Oscillator's Trend line goes below the zero level.

• Bearish Trades: The stop loss can be set at the most recent market high. Alternatively, you can exit the trade if the Lune Oscillator's Trend AI or Volatility AI becomes bullish, a bullish reversal is detected, or if the Oscillator's Trend line goes above the zero level.

Exiting Trade

• Bullish Trades: Exit the trade if there is a bearish Reversal detected, a bearish Money Flow signal appears, or if the Trend AI or Volatility AI on the Lune Oscillator turns bearish.

• Bearish Trades: Exit the trade if there is a bullish Reversal detected, a bullish Money Flow signal appears, or if the Trend AI or Volatility AI on the Lune Oscillator turns bullish.

Step-by-Step Walkthrough

Bullish Scenario - Example #1

Step 1

Step 2

Step 3

On the Lune Oscillator, we see that the Smart Flow is bullish. We then look at the Trend AI and see that it is also bullish, and the Oscillator's Trend line is moving up. On the Lune Market Analysis indicator, the candle colors are green, confirming the market trend is bullish. The optional Clarity AI overlay line is also very bullish. This is a perfect setup.

We enter a long trade. The stop loss is set at the recent market low.

We exit the trade and take profit right at the detected bearish reversal signal on the oscillator.

Bearish Scenario - Example #2

Step 1

Step 2

Step 3

On the Lune Oscillator, we see that the Smart Flow is bearish. We then look at the Trend AI & Volatility AI and see that they are also bearish, and the Oscillator's Trend line is down up. On the Lune Market Analysis indicator, the candle colors are red, confirming the market trend is bearish. The optional Clarity AI overlay line is also pretty bearish. This is a good setup.

We enter a short trade. The stop loss is set at the recent market low.

We exit the trade and take profit right at the detected bullish reversal signal on the oscillator or alternatively at the Smart or Money Flow.

Conclusion

This trading strategy is effective because it requires confirmation from two separate, powerful indicators. By ensuring that the chart-based signals from Lune Market Analysis align with the momentum and flow-based signals from the Lune Oscillator, traders can enter positions with a much higher degree of confidence. The exit rules are clear and help to protect profits while limiting potential losses.