Nickels is all it takes. Just averaging 1 point per day equals about a 1000% return on margin per year. (daytrading margin is $500/contract at Amp) Of course, that is why we are all here.
Trading less.. good... Quite a "setup" today.. Hammer daily candle yesterday.. "usually" bad for bulls... Failed breakout of 2211.. After the long trendline break at 10:33 the short was as guaranteed to reach globex lows.. Glad I stuck to it. Need to eradicate those pesky rat brained trades.. +13 points for the day.
I see 2 lows on your chart, 2203.75 and 2205.5, question is how do you know to connect your TL to the second low and not the first low? Because if you connect the first low then you would had a candlestick close below that TL on the second low. And where would your entry be on your chart?
Aaaah.. the fine art of Trend Line drawing.. I had each of these drawn in order.. The break of first steep one is almost always retested.. There is always some ambiguity in trading... perfectionists not invited. NQ not feeling well so far this morning.. 2130 area key.
With the exception of one specific condition or setup, this the reason why I don't use TL very much. They are great when you draw them in hindsight but they don't give you much confidence when you draw them in real time as the market unfolds.
True.. However I have found when price leaves a TL and returns to succesfully test in over at least an hour the TL 's use grows dramatically... NOT to take the immediate break but as an indication of a change of trend... i.e. stop trading in the TL's direction and reverse bias. I think trendlines should be wider rather than fine lines.
OK I see. Thought you used it as an actual set up that triggers an entry. Using it as a change of trend or bias is a good way imo.