Like that. There are three more, but entering after the third retracement entails higher price risk. Note also if one enters properly, every one of those retracements is an opportunity to pyramid for a total of eight contracts. Incidentally, where you say "support broken", support is only tested.
Thank you. I have performed a deep evaluation of my thinking while risking real money, the fact is that if i do not have some sort of stats to back up my decision I usually end up screwing up big, not because the rationale behind decision making is wrong but because I am unable to trust my decision after I am in the trade and end up exiting in the worst possible place. I guess by now the Hydra is way to scary for me and my intellectual weapons is the confidence level I have in the setup (i.e. Some sort of probability). I hope I can overcome fear (have been doing what RN suggested some weeks ago about making a list, it ended up in stats by the way) and be able to think more clearly during price action reading with money on the line, or else I will end up writing algorithms again .
DB, On those 8 or so pullbacks, what would be your method of entry. Trailing the pullback bars, entering on a breakout of the previous high or a hit on a resistance level?
If it really matters to you, you can do a search of my posts in Game's journal. But what matters most is what's best for you, which you'll determine through your testing. Don't mean to be dismissive, but this isn't about me; it's about you.
I should point out here that the most likely "target" is 47, though price could also beat a retreat to 3100. However, a lot of trading has gone on at this level since lunch, and all of that provides support, so whether price falls from here depends on how many of those buyers will upchuck their contracts if it looks like a reversal.
Would like to hear your thoughts for the day. I didn't trade, but after going over the charts I think that I would have been looking short after price broke above 3100 but couldn't stay there. I would have re-entered long at one of the early retraces, but the first short trade would have been stopped out. Am I looking at the initial rejection of 3100 too aggressively or does it look like a legitimate short opportunity? Others beside 40 feel free to chime in too.