Iâve never met anyone (mentor or not / profitable or not) who could perform a mindset transfer Up to a point â skills / knowledge can be shared â past that point âits every man⦠womanâ¦and child â for them self Either trade to make money⦠or suffer the idiot controlling the mouse (I have... and sometimes still do) RN
It's not tighter stops It is better entries (and the patience to wait on em) Entries are what establish low risk trades from the get go Many confuse this (or flat ignore it) RN
Well I never saw any of that. And if you posted blotters showing amazing results.... well it probably wouldn't do any good for me. I studied what I could find of you methods to the best of my abilities and well, enough was enough for me. These triangles and such look so good in hindsight and I agree they can be profitable but it's not as easy as it looks at 4pm. The ones shown are always the perfect winners and i dont dispute those. However there are many imperfect losers on other days that take away most of the gains from those winners. I understand the traders mindset and agree it is very hard to achieve. But without going into endless examples of losing trades, what I will say is............... I can see how all these ideas can be profitable for day trading. But not to an extent where I could consider making a living from it. Not even close. There are too many losses that are never shown in the hindsight charts. IMO that is why there are so many on the internet who are eager to give (or sell) advice. It looks so good in hindsight and it's easy to think you're really onto something good. Until you actually try and test it, that is!
And people wonder why ET is addicting! "There are too many losses that are never shown in the hindsight charts." How do you hide losses on static charts at the end of the day? I posted triangle setups for Mon and Tues. Can someone please point out the hidden losers on my charts?
I think what he's saying is that often price appears to set up a triangle, but then turns into some other formation and a trade entered on the (perceived) breakout turns out to be a loser. Then you will answer that the win percentage of that pattern is not 100% in the first place, that context is needed and that money management and discipline are important. And while one trade may not be successful, over time, the edge will play out if each and every set-up is taken over time. Maybe a Mark Douglas quote to top it off. There. Just saved two forum posts.
No hidden losers on those charts you posted this week. In fact one chart had a profitable triangle that you didn't annotate. I mean overall, when I went through months of charts, I would run into tough periods. Some periods would be very favorable to certain signals/patterns/etc, but over long enough time horizon results always came back to earth. I am sure if I went thru months of 1 minute CL charts just looking for triangles that I would see this. It may be net profit result but probably not anything to live off.
If the apparent triangle turns into something else before a breakout signal occurs, then of course it's not a triangle and the pattern is then void. The term for putting on a trade without a valid signal first is called "jumping the gun". In a sporting competition, false starts result in penalties. If an actual symmetrical triangle sets up (two swing points descending and two swing points ascending) and price breaks out, that's simply a signal for a potential trade. If you've done your statistical analysis of at least 100 appearances of this pattern, you realize that the signal becomes valid under certain conditions. For example, a tiny "breakout" that immediately turns back inside the triangle isn't a valid signal; it's a "tease". Since there's almost no space between the (weak or failed) breakout and a pull back to the breakout level, there's nothing to do...yet. Finally, if a signal is valid, then you either place a limit to enter on the pullback to breakout level or you trail a buy/sell stop as the pullback bars close ONLY if the reward:risk criteria meet the requirements of your carefully researched and tested trading plan. Oh, pardon me? I didn't catch that. You don't have a detailed analysis of at least 100 appearances of this setup. I do. Maybe that's why I magically know when to trade it, how to trade it and how to manage the trade after I'm in. If spending hours and hours doing that sort of tedious analysis isn't your cup of tea, then you have the answer to the question posed by this thread.