This is a webinar Brooks did that I watched before I bought his course. This might shed some light on his use of risk, reward, and probabilities for anyone interested.
This statement is meaningful only if the context of present price action is included in the statement. Otherwise, we would all just use overnight highs and prior highs for targets. Just because a price point in time is made doesn’t mean it is going to be meaningful as a support or resistance, or a MM target.
it seems like you and padutrader have quite a similar thinking about the Brooks' things. but padutrader is probably more open-minded and broad minded. I believe he will succeed soon.
There is the EMA touch and I am done today. So far two candles have traded below the EMA. Next test of Brooks's statistic is does the emini have at least one more five minute candle trade below the EMA today? Watched RTY and ES and traded ES today. Not a good idea for ME to watch both. They were not in alignment and caused some hesitation on me. Here is the ES chart showing the executions. Total PnL $787.50 SIM dollars and that does NOT account for commissions. Monday I am going to watch ES only.
Al Brook's 99.9% and 99.95 statistics about the moving avergae on days where price gaps above it seem to be wrong based on the last two days. It looks like 100% and 100%. I guess two days is too small of a sample size?
I know someone will take offense at this so I'm saying here no offense intended. The last two days of the ES using basic Brooks Trading Course set ups has been very easy.