Trend Following Strategy

Learn the basics of a simple Trend Following Strategy using Price Action concepts. This beginner's guide introduces key principles for identifying and trading m

Published · Updated · Methodology: Price Action

Part of: Trend Following

  • Methodology: Price Action
  • Content type: educational

Source video

Decoded from: Estrategia de Trend Following SIMPLE (+ 2 ejemplos) by Sebastián - Trading para principiantes — watch the original

Strategy overview

Trend following is the decision to trade in the direction a market is already moving rather than trying to anticipate its turn. What sets this entry apart is not the concept but the way the source chooses to teach it: the video's title promises a simple method plus two examples, which puts the weight of the lesson on demonstration rather than specification — you are shown the reasoning applied to two cases instead of handed a list of conditions to check.

That format fits the classification this entry carries. It is catalogued as price action methodology with no indicators captured, meaning the trend read rests on the chart itself rather than on a computed signal line — and a visual judgment of that kind is often easier to convey by working through an instance than by writing it down as a rule. The trade-off is the familiar one with example-led teaching: two cases can show what the reasoning looks like when it works, but they cannot show the range of situations where the same read would have been wrong, which is the part a beginner-oriented lesson tends to leave to the viewer. The channel, Sebastián - Trading para principiantes, is a Spanish-language beginner channel, and "SIMPLE" is the source's own framing of the method, not a claim about its results.

No rule set, timeframes, indicator settings or chapter timestamps were extracted from this video, so this page catalogues it by concept and source rather than by mechanics. Anyone working from a method presented through examples still has to do the generalizing step themselves — deciding what defines a trend, when it counts as established, and where the idea stops applying.

Topics

trend following strategy · price action strategy · trading strategy · pine script · tradingview strategy · beginner trading strategy · market trends · momentum trading

Frequently asked questions

What is a trend following strategy?

A trend following strategy takes positions in the direction of a market's prevailing move and holds while that move persists, rather than trying to predict where it will reverse.

What does it mean that this strategy is classified as price action?

It means the trend is read from the chart itself — structure, highs and lows, the shape of the move — rather than from an indicator. No indicators or settings were captured for this entry, which is consistent with that classification.

Does this page include the specific rules from the video?

No. No rule set, timeframes, indicator settings or chapter timestamps were extracted from this source, so the entry is catalogued by its concept and its origin rather than by a set of mechanics.

How do I evaluate a trend following method that is taught through examples?

Turn the demonstrated reasoning into explicit conditions you can state before the trade, then test those conditions across a large sample of historical data — not just the cases the teacher chose. Strategy Decoder catalogues strategies from video sources so you can see what structure a method actually specifies before committing time to it.

About this strategy page

This trading strategy was decoded by Strategy Decoder's AI from a public YouTube trading video and turned into a structured, reviewable specification. In the interactive app this page shows the full entry and exit logic, risk management settings, the indicators involved with their parameters, AlgoWizard-compatible logic and a Pine Script export ready for TradingView backtesting — plus an automated backtest verdict when one has been computed for this strategy.

Strategy Decoder catalogs 2,229 decoded strategies. Each one is extracted with confidence scoring, cross-linked to the indicators it uses, and kept up to date as new videos are processed daily. Load this page with JavaScript enabled to use the interactive tools, or start from the strategy explorer to filter by methodology, market and timeframe.

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