trading two legs

Discussion in 'Journals' started by padutrader, Jun 29, 2018.

  1. EsKiller

    EsKiller

    its possible a reversal is coming, but in my trading, I wouldn't really care. Counting from the far right, bars 11-13 back are your support structure. Bar 5 is a lower volume down bar into the support structure. I'm looking at entering somewhere around this area without giving too much away. The entire pullback structure is one where price is finding an equilibrium. The 5 or 6 bars that chop and stay rangebound is an example of this. Anything above or below usually mean reversion traders come in. So profit target wise, you're looking at exiting at the highs instead of looking to ride it out.
     
    #11     Jun 29, 2018
  2. maxinger

    maxinger

    2 legs?

    it means trading spreads which involve buying one instrument and selling another instrument simultaneously (or almost simultaneously).

    two leg strategy could be straddle strategy

    three leg strategy could be collar strategy

    four leg strategy could be iron condor.
     
    #12     Jun 30, 2018
  3. padutrader

    padutrader

    yes i like that point a nice way of thinking
     
    #13     Jun 30, 2018
  4. padutrader

    padutrader

    just appreciating someone's idea.....yes i will read that thread.useful way to spend a weekend
     
    #14     Jun 30, 2018
  5. _eug_

    _eug_

    If you are looking for 1,2,3 try zooming out as much as the plaform allows so that the individual candles mean nothing. Then look for the pattern as it developes over hours or days...not from one 5 minute bar to the next...
     
    #15     Jun 30, 2018
  6. padutrader

    padutrader

    that will be for a much longer time frame....need more capital for that
     
    #16     Jun 30, 2018
  7. padutrader

    padutrader

    oops posted in wrong thread
     
    #17     Jun 30, 2018
  8. cafeole

    cafeole

    Al would say you have too tight a stop. Stop should have been at the top of the high or the top of the first major pullback.
     
    #18     Jun 30, 2018
  9. padutrader

    padutrader

    stop i wonder what is the meaning of that word...sounds familiar:D
     
    #19     Jun 30, 2018
  10. volpri

    volpri

    NO, odds favor a continued move up. Maybe another pb coming but not a reversal.
     
    #20     Jul 1, 2018