Lower Probability Trades

Discussion in 'Trading' started by antincedo, Oct 18, 2008.

  1. Ok, someone please elaborate on the details as to why these scenarios may produce less than favorable results

    Breakout is against the direction of the previous days close

    Trading a breakout against the current trend

    Breakout withing area of many other S/R levels (this one seems obvious)


  2. I'm a little confused there. In fact, i'm somewhat confused w/ your entire post. Care to clarify ?
  3. well what im trying to do is define lower from high probability trades so that i can manage my position size better.

    breakout against current trend meaning, the trend of the day is up but theres a break of consolidation to the downside... would this be a lower probability break as where i should decrease my entry size?

    how do i really go about figuring out the probability of any given scenario (be it low or high)
  4. Post charts. maybe some will understand u.
  5. yayt


    Easy. Back test and forward test.
  6. i have a problem back testing because i can't find daily 1 minute charts that go back far enough...