The goal of this thread is to get PA traders here to hopefully open up about how they trade, by posting charts, and a little summary to help others open their eyes to a new world. how many ways are there to trade price action?...a few...a lot?...if its just price action, is there a "most successful" way of trading it? some like fibs, others love TL's..and yet some dont use either. I hope this thread attracts talented PA traders who wouldnt mind posting charts of entry/exit/ targets on some of their trades. Thanks. I'll post some too.
EU is too choppy, gbp/usd is a cleaner chart ---- OK, for you future traders here, how would you deal with this chart, or for those of you trading es or ym, how did you deal with this rally? On the circles, I waited for price to retrace, and attempted to short twice...now this is on a higher time frame, however when I took the trade if was off the 500 tick My system is to short when previous candle lows are broken...well my pl was cut in half today
I don't see any point around there where the previous candle's low was broken in your first short, even on 512 tick and 400 tick charts (as close as I can get to 500 on TOS). A HH was made after the LOD at the green candle before the red candle of your first short. This should indicate the trend is probably changing and at the very least, sit on the sidelines and see what happens. When you see the second pullback and a continuation of the upword trend in the first green candle after your second short, that's a good indication to take the trade and go long to catch the trend. That's my interpretation, at least.
Cash - based on the entry method, you could have easily avoided those losses by using a sell stop below the low of the candles circled. The idea being that you'd be selling into weakness that confirmed your bias to the short side. Of course the risk is you get ticked in and then stopped, which creates a larger stop than just putting a market order on; but in your examples here, it would avoid those trades completely.