lewtz1520887470

Increasing your time frame is a great idea. I agree with you 100% that the lower time frames seem to be extremely fickle when it comes to abiding S/R. Just like you, I don't understand how some people can seemingly dip in and out of the market at will. I can spot key levels and intraday levels, but understanding which levels will be the most effective has been difficult for me. I've been sticking mainly to viewing 4h and daily levels when looking for key areas and it's been working well, but leaves me with a lot of time spent being flat. It's definitely been a test of my patience, which has failed me at times, haha.

Nice stuff. Do you work with fixed targets? If so, damn that third trade looked real close haha. Gotta love getting stopped to the tick. One of the lovelier parts of the game.

I did take that trade and I exited at B/E because A: I was impatient and had a horrible entry at 32.50(can't miss the move!) and B: Where my entry was bad, I didn't feel confident in the placement of my stop(didn't want it too wide). I felt price was coming back to kiss support again, however it ended up missing my stop by 2 ticks then resuming. I'm disappointed in my lack of patience on this one -- had I just put a limit closer to 31.5-31 I still would have been filled and would've been much more confident in my entry and stop placement. This bad entry led to a whole different psych aspect of this trade and facilitated a feeling of fear which caused me jump out. That is my analysis of the trade at the end of the day, however I forgot about this thread, which is why I'm posting it now. I didn't follow the rules on that play and I ended up paying for it. I have to say I'm glad I paid for it because it reinforces the concept of, you know, not breaking the rules! DON'T BREAK THE RULES!

My take on it is you can use them as a warning sign. Typically the break of the first bar shouldn't indicate that there is a reversal, but that price is at least slowing its trajectory. However, once you break the second one, there is a heightened chance of reversal that is occurring or will occur. However, like I said, it's just an interpretation. Here's a chart for demonstration:

Today was pretty rough. I didn't manage to enter any trades because there weren't any areas I felt confident in. Bad day for any strategy that looks for high r:r for the most part. Most of the big moves happened so quick there wasn't much time to jump in, and in most cases if you missed the initial move, it seemed like it was too late to enter. There's only 2 good opportunities I can see now in hindsight, but they were both counter-trend trades by my definition of trend. Not so keen on the counter-trend plays, however I guess it's good to have some in your arsenal, or be aware of trend changes lightning fast. I don't posses that ability though haha.

I've recently turned to scaling out rather than using an all-in all-out strategy. The main reason I made the decision was for peace of mind. It would drive me bonkers to watch my trade exceed 10 points and then start fussing around in chop. I want the 10 points! Now, if I'm able to scale out at lets say 5 or 6 points, this allows the second one to run longer(ex 1:10 r:r) with the peace of mind knowing that if the second car does come back against me and stops out, I still nabbed a small profit. As already mentioned, there is no right or wrong, simply what works and what doesn't. As I get more confidence with my strategy, I may move to an all-in all-out style. But for now, I enjoy the peace of mind of seeing the first target hit, knowing I don't have to move my stop, and watching the second one run and fuss about if necessary. Keep up the good work!

I see where you're coming from and now that I think about it, it makes sense. I would have to say your entry is at the point that would definitively tell me if the trend has changed and have a chance at a decent r:r trade. I believe that's what you're trying to achieve here, but it didn't occur to me until you replied.

That was a great entry in my opinion. My only question to you is, what made you think the trend was still up? There were successive lower highs and lower lows heading into lunch. Volume looked pretty steady and it looked like selling pressure was in control - oh the glories of hindsight! Were you basing this off potential support from the swing high right at 10am or the opening range?