Do you use stop orders to limit risk..................if so how do you handle placing those stops around the levels you watch. Price can get pretty choppy in those areas & just when you see "confirmation" that price is going up you jump in & that "confirmation" just turns out to be a trap. A reasonable stop gets taken out & then price reverses back up without you. Maybe it's just my own problem, but I've been staring at charts for way too long, and I have never found a surefire way of avoiding those trap moves. Sometimes it just looks so obvious that it's going up.............you enter, get the high tick, get stopped out instantly. Other times you see that obvious confirmation that it's going up, but you remember how you got trapped last time, so you wait. Guess what.........this time it takes off for a 200 tick move without you. Maybe you don't have that problem, but if so I'd be interested in how you mange risk & stops. I think the important price levels can be tricky areas in which to get the timing just right.
I've noticed on the 5 minute charts volume often gives good signals that a move is ending especially when a strong trend is in progress such as the 10:20 bar today.
============= Exactly,Mac Trend Found bull or bear trend id more helpful [200 dma for example]than levels; support doesnt mean much in a bear Nor does resistance mean much in an uptrend. Op may realize this, thanks.
Frank got tired of SHOWING us levels.. wouldn't you?? The thread's title is TRADING levels but somehow Frank decided to limit it to SHOWING levels.. Good it's dead..Let it rest in peace..
Hey Vinc, Sorry if I didn't the name the thread properly and that it didn't meet all of your expectations. Your history seems to be to float from thread to thread posting criticism but never posting anything of value. The floor is yours ... show us how you trade.
Though it is true that past performance is not necessarily indicative of future results, I nonetheless believe that by analyzing historical data and reoccurring price patterns, traders can pretty well establish the range within which foreign currency pairs typically relegate themselves, all things being equal. So when news that the U.S. and Japan had agreed to expand trade sent the yen pairs on an (artificially induced?) trip north, the indicators I designed that are generated based on historical data knew IN ADVANCE where the rates were likely to reverse direction. Consequently, as soon as I saw the rates begin to falter in those regions, I entered short positions in accordance with the general overall intraday trends.