Learning to read Price Action with P&F Charting

Discussion in 'Strategy Building' started by HolyGrail, Mar 22, 2008.

  1. Target hit for 2 points with two contracts or +4.

    Cumulative for the day -2

    The trade worked out, but the r/r was terrible on that one and I shouldn't have taken the trade.
     
    #571     Apr 15, 2008
  2. I will take the trade on the break out of this pattern because either one will be a triple top or bottom.
     
    #572     Apr 15, 2008
  3. Breakout occurs. We are long 1 contract at 1330. Our target is 1332 because we should reach the next highest column of x's which is at 1332. Our stop is at 1327.50. We also place a two contract sell order at the same price in case we have a failed double top.
     
    #573     Apr 15, 2008
  4. If you notice the red line in the green chart that is a previous pivot point. In a trending day I would have made that my target, but today is obviously a chop day so I am shooting for smaller targets.

    Anyway target is hit for 2 points.

    cumulative for day is 0
     
    #574     Apr 15, 2008
  5. as it turns out we exceeded the red line and it would have been a much better trade.
     
    #575     Apr 15, 2008
  6. Next trade is a sync trade with everything in a buy signal. this is normally a good setup. We are in at 1335.25. Stop will be used on a double bottom sell signal on the .5 which will be 1331.50(we are using this because if we used the .75 we would have to go down to 1329.

    Target is the top of the last higher x column which would be on the .75 1338.75
     
    #576     Apr 15, 2008
  7. Stopped out for a loss of 3.75 points.

    Cumlative for the day -3.75.

    we now have a 2 contract order placed at 1334.50 in case we have a failed double bottom on the green chart.

    We also have a sell order for one contract at 1331.25
     
    #577     Apr 15, 2008
  8. Failed double bottom buy triggered. We are in 2 contracts at 1334.50 with a stop at 1331. Target is 1338.75
     
    #578     Apr 15, 2008
  9. End of day reached at 1337.50. We close our trade with a profit of 3 points times two contracts or +6 points.

    cumulative for the day 1.25 points.

    When you consider commissions I am sure we are at breakeven or less.

    Low range day.
    Low range profits.

    That's all folks!!!!
     
    #579     Apr 15, 2008
  10. My brain is now officially fried just like it is at the end of every trading day.

    I can tell you right now I will not do this again. If I traded NQ all day today, and then did this, I would be ready for the funny farm.
     
    #580     Apr 15, 2008