This is surely the underlying "key concept". It's also an issue on which I know many traders have found huge assistance from reading books. From my own limited knowledge of the subject, I'd suggest anything by Dr. Brett Steenbarger who's a very successful trader as well as a very successful psychologist (and perhaps especially The Daily Trading Coach: 101 Lessons for Becoming Your Own Trading Psychologist, and/or A Trader's Guide to Self-Discipline: Proven Techniques to Improve Trading Profits). And for what it's worth, I'd recommend avoiding anything by Mark Douglas - a self-admitted "failed trader" - (and perhaps especially Trading In The Zone, which I made the mistake of reading and firmly think is overinflated, ultra-repetitive, dreadful nonsense). Edited to add: Zen in the Markets - Confessions of a Samurai Trader, by Edward Allen Toppel, is also interesting, as well as "light and short". Hope it helps.
Thank you! This is exactly right but in order for my reaction time to be less than 1min, my plan needs to sink into my subconscious and become 2nd nature to me almost like a reflex action. This takes years of practice and repetition.
Haven't you read the saying "time and tide wait for no man." We are all going to get old and die whether we have accomplished our goals or not. Life doesn't wait for our majesty. The same with the market, the stock will take off whether I am in it or not. It is upto me to be observant, decisive and act quickly. Like @Chris Mac said in less than 1 min I should be able to say go or no go. For that my plan needs to become second nature to me which takes practice.
Partially agree. Let's say your "come to you" buy price is at support and you initiate a buy limit there. 1st, YOUR buy price is somewhat arbitrary (though support is a good place to try it) and the market may not get there at all before it turns. 2nd, what if it "turns up early"? How can you tell? What do you do with that info? Stated another way... it's good discipline to "wait for your (presumed) fat pitch", but it's also good discipline to "chase properly when warranted".... "properly" means quickly and when indicated. Personally I found "chase discipline" to be among the bigger challenges to trading.
I could be wrong, but from the above , and based on what you said earlier about having to make a split second decision, it sounds as though you are entering on breakouts. Is that correct?
Yes, practice, practice, practice. Imagine you are a surfer, markets seas and swings waves. When you watch the sea, can you expect the next wave? Of course not Do you know exactly which way you will ride the wave? Of course not. Can you expect a shark or a killing wave? Of course not You expect nothing, you just surf and adapt. This is how you need to accept trading : Some waves are too weak to trade, some are too dangerous, and this is you and only you who knows if the next one is a wave that fits you. Your experience and your edge tell you this is a go or a no go. This is why you need a set of simple rules that you can check in less than a minute. This set of rules must be tested during high tides, low tides and hurricanes. And with experience, this set of rules will become natural, as the surfer who catches the right wave at the right time, without asking himself why now? He expects nothing, he just surfs, and sometimes he catches an incredible ride inside tunnel wave as a trader catches an amazing long or short with a close 0.1% stop . https://www.surfertoday.com/surfing/10853-how-to-read-waves CM
No, not at all. The entry is based on probability. That does happen. You wait for the next opportunity. You can't catch all the fish in the sea. All you need to know is what happens in the vast majority of cases. True, but only as the exception(1 out of 100 cases), I do enter in that manner. However, the danger for someone who is a beginner as the OP claims to be is that entering that way can easily become a habit, because it works so well sometimes.
That is a great analogy... except for this part... Whatever experience you have does NOT tell you whether "this is a go or no go"... that cannot be known except in retrospect.... by then, it's too late to do it right.