My guess would be that you had a limit order @3069.50/or .75 . If not then you stopped at 3067.00 or maybe reversed at 3069.00 at 10:03 est. Of course I don't know where you initial stop was. I hope lower than 3060
I have a question since we were in an obvious uptrend around 1216cst we made a higher low and it failed and then at 1232 we make a lower low but this trade was good for about 6-8 points in real time how can you tell the difference?
Why would you want to go long at the end of the run? This is when everybody else is looking to exit. And in real life, the trade would have been good for only 2 or 3 points, if that.
You can not tell the difference without some other help. The 20 ema is as good as any indicator to give you a heads up about support/resistance. Alone a Higher High, a Lower High, a Lower low, a higher low are really telling you to be cautious relative to your position. When Long a Lower High is not a reason by itself to exit a trade, same for a Higher Low if Short. One would go broke paying commissions if believing every hh-lh, hl and ll, many of those are sucker plays and if you played them all you would see yourself missing better opportunities flash by after you just exited on a "LOW ODDS" situation. Do not get suckered into every micro move or you will burn YOURSELF out even if your account is still there. Fighter pilots, soldiers, they always have limited tours of duty because it is a well known fact that anyone constantly in a stressful situation loses skills and gets battle fatigue real fast. Trade with less micro-managing it will do you a world of good. The 5 minute chart is plenty for any trader........gee, that might be why it is the preferred bar to use. YA THINK? PS: A great way to use newer Hl, ll., lh, etc, etc is to WAIT and see if they test something to validate. A great test of support/resistance for those would be either a trendline touch test or a test of the 20 ema.... but, by itself, those are not much use....... PSS: If price "TESTS" something and then the test fails, you now have something to hang your hat on. Always think continuation until price gives you clues that it is running out of gas (buyers or sellers), once a test pings your attention, you look for a continuation or a reversal.......... All subjective and always will be, BUT, you are not in the dark anymore. TESTS of something are your best clues of an impending move..... Naked price is like smoking an unlit cigar........
Thanks both of you for your help I think that I am trying to trade every little move and I need to just trade with trend until I get confirmation and maybe some more experience!
Actually, as I've said, you need to stop trading entirely while you're studying this. Otherwise, there's no point. If and when you understand what's going on in front of you, the trades will be obvious. If instead you continue to focus on looking for trades and entries to those trades, you will likely never get it, and whatever time you spent on this will have been wasted.
I guess I thought trading on a demo was a good way to learn this approach. I'm not sure how I can understand it if I am not doing it!