ME2

Thank you for your time. I am a trader who doesn't use stop losses, because I never know where to place them. I intraday trade, and sometimes I see where they would get stopped out if I'd placed them below this candle or above that one. Does anyone have any practical tips for placing stop losses?

Hey Sam, I hope that you are very well. Price action is just the way that price moves, either up or down. When you first start your trading day off, it helps to draw a trendline, so that you know the direction of the market. Please look up trendlines if you are unfamiliar with them. Now if you trade intraday, your trend will change, so be aware of that, but you want to trade with your dominate trend. You can find your dominate trend on your daily chart. If your bars/candles are slanting down you are in a downtrend, if you are in a downtrend you want to wait until price climbs to a really good high (this part comes with lots of patience and practice), then when volume supports it, sell too. I am sorry because I know this sounds very confusing. What I do is look to yesterday's high insuring that I have identified my downtrend, then wait until price get near that price, then I sell, but you only want to do that if volume is high enough on the sell(the volume is going up as price is falling down). Now you will have retacements all day long(price is going to bounce up and down, try not to let that unnerve you, you will get use to it)In other words you may be on the side of the trade where you are making profit, then you look and you are out of profit again). Price does that and confuses and scares poor traders to death, it still frustrates me at times, because I want to hit my TP(take profit) and be done . With all of the planning and patience in the world, there are no 100%, but as a trader, you want to put as many odds in your favor as possible. I mentioned a downtrend here, but the opposite is true in an uptrend. In an uptrend on your daily/weekly chart, you want to buy the lows. It makes no sense I know, but this is market logic at work. You also have range bound markets and the way to trade them is to get the high and lows of yesterday, or of that morning, then buy at support(the bottom) and sell near resistance(the top of your daily price range). With proper volume and your confirmation bar/candle. I hope i haven't confused you more, the more I type, the more I realize I might need to explain if you are totally new to this game. If I can make this any clearer, you are welcome to write to me, and I will try:) Oh, also they have some good beginning videos on youtube. Yourtradingcoach.com is good and he is also availiable on yourtube as well. Lance is a great guy and pretty straight forward, then of course there are the tradeguider videos which are DA BOMB. I think these visuals will help you out a lot more than this attempt at an explaination by me. Good trading to you

:)Hello Anthony, I hope that you are very well. I trade Price based on volume, so far this month I am up about 18% on my account as of yesterday Dec 5th 2008. The hardest thing about trading price based on volume is the waiting, that is if you choose to trade in harmony with the trend. I use price, volume, and trendlines. I am too dumb to figure the rest of that stuff out, it is too confusing and will wrap your head in knots. My whole view of this thing after going bust using all of the other stuff is KISS( keep it simple sexy). I hope that helps, if not write to me and I will tell you anything I can.