Renko Charts Resource Hub (Start Here)

Renko charts guide overview illustration showing Renko trading workflow including entries, exits, and backtesting concepts
Renko charts guide overview showing trading workflow including brick size, entries and exits, backtesting, and trading psychology

This Renko charts guide is the fastest way to learn how I use Renko charts and how I test strategies without getting lost bouncing between random posts.

If you’re brand new, start at the top and work your way down. If you already trade with Renko, jump straight to brick size, entries, exits, or backtesting.

Quick note: Everything here is educational and based on testing ideas, not financial advice.

Table of Contents

Start With the Basics

This Renko charts guide starts with the simplest mental model: Renko filters noise so you can focus on direction, structure, and repeatable rules.

If you use Thinkorswim:

Brick Size (The Big Lever)

Renko charts guide example showing how different Renko brick sizes change trend signals and chart sensitivity

Brick size controls how sensitive your chart is. Smaller bricks usually create more signals (and more whipsaws). Larger bricks usually create fewer signals (and longer trends). If you only optimize one thing, optimize brick size first.

Entries and Timing

Renko charts guide example showing support and resistance with W formation using Renko bricks

A good entry rule is not “early” or “late.” It’s consistent. In this Renko charts guide, I focus on entries you can actually test across markets and timeframes.

Stops, Exits, and Trade Management

Renko charts guide example showing stop loss and exit timing using Renko reversal bricks for trade management

Exits are where performance is created or destroyed. The goal is not perfect exits, it’s exits that match your strategy type and keep you in trends while controlling downside.

Patterns and Indicators

Patterns and indicators can help if you treat them as testable rules, not predictions. If you add an indicator, test it with one clear job: filter entries, confirm trends, or trigger exits.

Backtesting and Strategy Development

Renko charts guide example showing backtesting results and strategy performance evaluation using Renko chart signals

Backtesting turns opinions into evidence. Use these to build repeatable rules and compare results against buy-and-hold or a simple benchmark.

Trading Psychology

Renko helps reduce noise, but discipline still matters. The best strategy is the one you can follow during drawdowns, boredom, and fast moves.

Covered Calls and Investing With Renko

If you blend chart structure with income strategies, this section is a good starting point. I like approaches that are simple, testable, and easy to manage.

FAQs

What’s the fastest way to start with Renko charts?

Start with Renko Chart Basics, then choose a brick size method, then test one simple entry rule and one simple exit rule consistently before adding complexity. That simple workflow is the core of this Renko charts guide.

Is ATR-based Renko always better than fixed-size Renko?

No. ATR adapts to volatility while fixed-size stays constant. The better choice depends on market behavior, timeframe, and your test results.

What’s the most common Renko mistake?

Changing settings mid-test or mid-trade. Keep brick size, confirmation rules, and exits consistent so your results mean something.

Watch the Video Versions

If you want the video walkthroughs and TradingView demos, visit:

Renko Trading Channel on YouTube