Daniel M is right. Take a look at the GNP threads that are quite old on this site for the opposite examples. Robert
Here is the exact same example you've used but YOUR TIMEFRAME let's say for example is using a 5 minute bar meanwhile on a weekly chart this thing is in a roaring uptrend and will soon be getting near support. The shorter the timeframe the more important it is. Breakout I'm not disagreeing with you either. I'd be short looking at that chart the second it made a new low of the day. Robert
What influences me is an edge. I've seen something happen enough times that I make a rule out of it that if "this" ever happens....I'll do a trade in this direction. I than find out how often it works....how much risk /reward am I looking for/at, is this a positive expectancy indicator for me? Robert
Breakout I can give more examples to your chart of when to go long. Say the market closes with that last print. The stock has been down 4 days in a row. The market gaps up 30 points tomorrow in the morning and this stock opens up above where it closed. There have been some changes now to the picture... Robert
I agree. noone is right or wrong. trading is subjective to your own method and that includes time frame. there are always 2 sides on a trade. the only way to know if you are right : did you follow your method ? (considering it is positive for you in the long run). So both trader may make money on the trade, or none, or just one. it does not mean the trade is a no brainer or not. that's what trading is about. indeed when you zoom in on a chart, you may miss several time frames. then don't realize what the other side is trying to achieve. and then you filter this 'view' with your own belief and method (not the ones of others). in fact you'll never know what the other side think. trying to out think other traders, or smart money or the market itself usually push you into a loss. because you just can't know. that's why I focus on only what I am doing, not what I think the others are trying to do. tntneo
Hi rhtarp...(big fan of your dad) I see your point. To me, because I trade 100T charts like this day after day, for me this is a sell. To you or daniel_m, this might be a weekly chart giving you a Gann "buy" or something. I guess I should have said this is a no-brainer for me. Thanks
the point im trying to make is.... all things being equal and obviously there is no halt or serious news. A bad entry can cost you ur stop.. A bad exit can cost you a left nut.. so how can they be of equal importance...
ElCubano, When you put it that way, I have to agree. Blowing a stop or your exit logic and letting a bad trade kill you definitely would be a bad exit. I was thinking more in terms of how you exit a winning trade. Even then, I can see a good case that the exit is more important. Every trade starts off equally. But some have the potential to be big winners, others don't. The exit determines if you capitalize on the big ones or not. Still, I believe you will not be a winning trader without good entries.
I agree with you....everything is important in this game...entry, exit, frame of mind, capital, rates....Its a business....