Video•Feb 23, 2026
How Trade Trends With Mean Reversion Strategy!
The presenter explains how to distinguish trend days from range days by measuring intraday expected range (example: Dow Jones 78R of 650 points) rather than relying on visual impressions. On range days the recommended tactic is a mean-reversion approach: post liquidity at two standard deviations above and below the mean and use VWAP as an initial target. The speaker warns against trading on outside-up days (avoid trading) and notes outside-down days can present better longing opportunities due to positive market skew. He also acknowledges that pure trend-following (e.g., using an 8-period moving average) is a separate strategy for clearly trending markets.
