How do you avoid getting shaken out ?

Discussion in 'Trading' started by Sekiyo, Oct 27, 2024.

  1. SunTrader

    SunTrader

    Was going to mention that previously but the thought passed.

    Breakouts sometimes fail in one direction then the other (or multiples) before a clean breaks takes place.

    If there is any benefit to Range Bars it is to jump on a trend after it has reversed and/or corrected. Breakouts are more suited to ranges using OHLC/Candles. Not Range Bars.
     
    #51     Oct 28, 2024
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  2. jinxu

    jinxu

    Yeah, if you can figure that out then that would be the secret to getting your edge if not the Holy Grail. Good luck! :)
     
    #52     Oct 28, 2024
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  3. Ricky Roma

    Ricky Roma

    BO fail - more likely when it is against trend (eg. price has established itself above 200ma, the first BO to the downside is quite often a stop grab to buy).
    BO success - more likely when it is and upward/downward BO with the trend (eg. price is above 200ma and price BO's upward). Also, if if happens soon after the "fake" BO to the downside then it can be more reliable.
     
    #53     Oct 30, 2024
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