Hi, I posted this in another forum here but didn't get a reply, so here goes again Coming from the Forex arena and having much success trading longer term time frames but not so much day trading I decided to expand my horizons and based off of a conversation I had with a daytrader friend of mine a while back I decided to take a look at the above. I have been watching quietly on the sidelines for the past few weeks, just trying to get an idea as to how price reacts to levels and I am quite amazed to see that price really does respect support and resistance levels. At least to an extent. So from what I have seen, assuming you get the correct price action at these levels, so being patient and waiting for the ideal setups, it seems you can have quite a good level of success trading bounces. This is a little new to me as I am a trend trader at heart, but from what I have seen, you will get a much better strike rate and find more consistency trading bounces. Am I correct in my analysis or have I missed the point completely? Maybe the recent conditions are exceptional? I am not saying I am not going to back test heavily, but I would be interested to get some experienced views in any case just to make sure I am not barking up the wrong tree. My other question is... should I be using the price ladder and T&S to support my trade or is that overcomplicating it? Up until now I have literally been watching just the charts with absolutely nothing else. I look forward to your thoughts and comments. Kindest Vince
dear AFX, it seems to me, you are new to trading ??? Dosnt matter which style you trade, with the trend or against it or whatever...........its all the same in reality.......... EVERYTHING is just about SUPPORT and RESISTANCE. Open your eyes. Only in this areas are the high probabilities. The mission of every price situation is always to test the current high/lows of the current price level, after that the traders decide to continue in the direction or not. So, YES, its very important. You would do good in your future by focusing on that. greetings
Thank you very much for your input! I have heard that things like Market Profile and the Price ladder can help when making the decision to enter. Can you recommend any good resources that I could use to learn about this stuff? Yes I am new to futures and day trading but I have been trading other things for many years.