Spudfyre's Stochastic 5 Minute Trade

If you read my previous post on the MTF Stochastic indicator, you may have noticed the 80/20 line on the Stochastic chart. These lines are more than simple low and high indicators. What's really interesting about stochastics is when they reach their extremes, namely the 10% to 0% and 90%-100% areas.
My current job is to modify stochastic indicators and formulas to develop comprehensive time chart formulas based on fundamental stochastic factors. In this development we have found some simple gems that will hopefully increase your points.

I originally used the stochastic formula for trading in the program, but a simple setup using stochastic 14,1,1 on the STochastic indicator will also work.

As always, I trade using the closing price of the candle. I do this to simplify the trade process. As you may have experienced, many systems have very "vague" entry and exit points, which makes it difficult to execute trades consistently. I hope to provide a switch for trading in this and upcoming articles. This may result in less gains, but certainly less losses.