While the book outlines around 20 high-probability setups, a few have become absolute staples in modern price action trading. 1. The "Holy Grail" Strategy (ADX & EMA)
Raschke and Connors argue that successful programs generate higher returns not because they predict the future perfectly, but because they have an iron-clad grip on loss control. The book’s core philosophies include: street smarts linda raschke pdf
When the market reverses back through the 20% boundary, it signals that the initial drive was a false move. Traders enter a position targeting a reversal back toward the middle of the range. While the book outlines around 20 high-probability setups,
You enter a position just as the price begins to bounce off the 20 EMA in the direction of the original trend, with a tight stop-loss placed right below the recent swing low. 2. Turtle Soup The book’s core philosophies include: When the market
The best setups happen when the market exhibits emotional extremes (late-public panic or greed), creating temporary price imbalances.
Named as a counter-strategy to the famous trend-following "Turtle Traders," the Turtle Soup strategy aims to profit from false breakouts. The market makes a new 20-day high or low.
Street Smarts: High Probability Short-Term Trading Strategies