No, don't do that! I am totally in JSOP's corner on this. Never ever chase! It gets you into trouble!
huh ?? I am doing that for decades. nothing wrong with chasing after the market. There are lots of experts who say don't chase after the market. We are not experts but traders. There are some market condition , behaviour , temperament ... which warrant us to chase after the market at whatever price whatever cost. It is a relatively low risk strategy. This chasing thing strategy is written very clearly in my trade plan. Only problem is that I did not do often enough. That's why it become part of my golden rule.
Never enter a trade without a predefined Entry Exit Stop Set it all in a bracket order format Walk away and let it ride
The BIG profits is in longer term trading, hedged, near zero risk, ok to chase and have a life outside of trading. Scalping profitable, takes many years of frustration to weekly average one tick or less net per lot, do not ever chase, study/back test more complicated patterns, huge risk and life goes to hell. Trend is an illusion, after the fact, trade by the stats. Tada
Red Duke was one heck of a good Texas Medical professor and surgeon, he was also first one to see President Kennedy when he was shot, did dozen years on TV airing Health Reports, plus much more.
1. Always follow your rules (tested with profitable results). If you don't, your profits would become unpredictable. You could make more or less than expected, but it is not predictable. 2. Diversification is the only free lunch. By diversifying you will minimize your risk, hence increases your return. Provided you already have a profitable strategy.