check this out i learned to swing thanks to that video that schizo gave us. win rate 59 % instead of 100% before. Love it... swing is fun because you are not tense and do not have to watch and analyse every tick
Padu is what classmate friends from school call me.... my real name is Pradeep. here (309) Chapter 10 - 2nd Entries (Al Brooks: Trading Price Action Trends) - YouTube
i lost money for 20 years with Brooks because i could not understand his stupid explanations and method of teaching.my mistake. NOT because he is a fraud. now with all the explanations on you tube i see that i was right thinking Brooks is a genius .
what am i working on......my notes....because after a week end i forget everything and i mean everything. second entries. second entries are second legs. and so if the leg is weak then the first signal in the opposite direction may well be reversal signal.if it is strong leg then the first signal in the opposite direction may be only a corrective move. if you enter on a second signal and BO is weak then there will be a BO test of the first signal so a first signal stop should be used to know how many legs trade signals can be counted. if you can draw a trend line without any breaks then that means that is a channel and you can probably draw channel line on the opposite side. this channel line need not be parallel to the trend line channels are flags or corrections. usually there are 3 pushes in a channel... which are two legs and so should lead to a breakout test, which may be successful or not. lows are support high are resistances. a spike is one leg and channel is the weaker second leg....and a failed breakout of the channel line is usually a reversal signal. remember to find inside bars IF THERE IS A STRONG TREND if there is corrective move or a minor reversal, will that make the market attractive for the other side to fade the corrective move or the reversal move? on ranging days keep an eye on the ma. the second leg after the first leg should be comparable in size ....if it is smaller then one more leg may be necessary or hinted at so it will give a look like a wedge but is actually two legs... after two signals if the second signal fails, then this is the breakout test, which will ,if successful will lead to another breakout for two legs, again making it look like a 3 pushes or wedge but is actually only two legs. if the two legs is very strong and spike like then the third push or wedge will be weak and reverse and become a breakout test of the two legs. so after two legs expect a breakout test and then two legs after the test is successfull a failed break out from a channel line sometimes becomes a breakout PB so it is very important to wait for the signal that follows the failed breakout of channel line. and go with that signal markets break out ,pb , which is a test of the BO, and if the BO holds, then again break outs. or the break out test may fail and the pb may continue and become a BO in the opposite side. sometimes it BO pb then tests the previous high .....and then BO. this test of previous high or low is definite and you can get scalp. the market is doing this all the time and this is the only relevant PA. start trading with one lot only......scale up after min 1000 usd profit. make trades in one direction only ie either bull or bear. change direction only after evidence of reversal. trade reversal to reversal WARNING BROADENING TRIANGLES.....most dangerous market trick/pattern. can drain your account faster than a woman if you do not recognise them markets hammer out a bottom doji bars make bad signal bars.... but when they are in trend set ups in a strong trend they are good. big bars are trading ranges and so should not be used as signal bars do not look for trades...wait for them to fall into the lap big bars denote a wide channel and small compact bars is a tight channel. one that has big bull bars and sloping upwards is bull channel and vice versa. broad channels become tight channels as the pattern develops and tight channels become broad channels what exactly is a second entry? if there is a break of a bull trendline and then a buy signal is triggered that is a second entry long/buy. if there is a break of a bear trend line and then a sell signal is triggered then that is the second signal sell. a variation of this may be when there is one or two bar correction and then a buy/sell signal is triggered then this may also be looked upon as a second signal -a minor one,maybe?. corrective moves : if there is trend line break and then a trade signal is triggered then the move which caused the trend line break was corrective move. if there is a trend line break and then a trend signal is triggered ,which is an attempt to resume the trend, but it fails and another trend line break is caused, then the corrective move continues. then if a trend signal is triggered, another attempt to resume the trend, this is the H2/L2 , which ends a two leg corrective move. if this trend signal fails to resume the trend, then, if there is third trend line break , and then a trade signal is triggered, this is the H3/L3. what is called a wedge by most. first understand the context. then decide the direction. then wait for entry.DO NOT, because you know you are right about the context, which suggests a direction, TAKE THE TRADE until market gives an entry. it does not matter that the entry and setup may fail but nothing really fails. it only morphs or develops into a larger setup ,of the same logic or into another pattern totally. for instance a failed low 2 is a break out pull back trade . momentum can reduce but that alone does not point to a correction or reversal. corrections are minor reversals but there are corrections, which do not reverse at all and just channel. now channel are flags but flags do break out in the wrong direction sometimes
Brooks says trading is math.... so i am not going to figure out the market only figure out probability, and stop consistent with that probability. target RR1:1 or 1:2 according to market action. i think min i have to go is 1:1 .
math worked on one practice trade stop 4.5 points took profit at 4.25 points.... because it was end of structure
@padutrader, Your note is so long, how do you sort out all of the options and possibilities in real time?
yes something is wrong there. good point Brooks and everyone keeps focusing on structure and set ups and risk management. but the elephant in the room is context. that trumps everything. i am now concentrating on context and that is the reason for me doing better. that is the most important thing to see and it is definite: it is easy to determine and it does not fail..... it is clear cut of course i know all the other stuff. and that is what is filled in books and lessons. Brooks trades by context but he does not mention/explain this so traders think he trades by set ups because he is always talking about it
it is just a reminder. and they all dont come on the chart at the same time. usually one or two are constant for a long time : sometimes for the whole day. one or two count at a time . and that is why i keep those notes to remind me of all the possibilities because sometimes, for example, spike and channels do not occur for days and then you forget to recognize them or how to trade them. markets keep changing.