I am a price action trader, but very struggle with the current method.Hope to get advice from other traders. I use 5 range tick bar for entry pick, and 13 tick for the big picture and pattern recognize.Every two paper profit, I remove my stop to BE+1 Before i traded, I made my plan: the 13 tick down trendline has been effectively broken, so my bias is long not short.Market made a congestion in area 2295--2299, which were important level from previous days. In 13 tick chart, there was a 3 pushes down to this area. I decided to trade current trend reverse strategy. The ultimate target was 2311. The whole idea was that, the rest of day ( 12:00 pm EST to close) would be a big range day, the boundary was 2299--2318, if 2311 and 2315 can be significant taken over. Made 3 longs in the congestion area, and expected the breakout happened in my way. I made this kind of mistake again and again. Like if I made 3 trades a day, at least 2 of them are trades like these.All my entries are in the high risk area, which was in the upper edge of the range. 3 trades turned out BE+1. Market broke the trend line and started to go up.However, i didn't find the momentum which should be involved in breakout, and there were tow touches around 2304 and failed to break out. That was no good for long, but i was not brave to short either.
i recommend get a less static approach. watch price, get a few thousand more hours of screen time under your belt, and then revamp your plan from there to be able to trade all conditions.
You are doing well mate. However, price action trading is a highly demanding enterprise, and u need a lot of support and practice to make it in this business. I just took a short on the 6e in the Euro session, and u can clearly see the entry I engineered. The swing indicator i use is proprietary and only available from a source. u can use basic swing indicator to line manually. let me know by pm if u need to learn more on this style of trading. three r free webinars to get basic info.
I like the fact you have a plan, but you cant just trade such a plan on a short time frame. Each day has different activity (trend, chop, breakout)... My advice is you have to do exactly what you are doing (charting) on a longer timeframe.. then a slightly shorter one.. then the one you are using.. Build a frame work of Longterm S/R... then a shorter one... etc.. (ie. buying a very short term breakout into huge resistance on a larger chart will kill you also. study volatility.. look how big moves happen, bounce around, test S/R, die down, test S/R, and continue or fail big.... revisit the concept of pivot points... chart after chart I see stocks retrace and bounce off of pivots. (plus its a low risk entry)