Here's your chart where I made some comments.
The red circles show the points where at some point there were #2 or #3 values, before they were broken out. The question is weather you are alert to try to trade on the break out of the body of each one?
The second note is where your entry is... questioning weather you trade at the break out of the line in the very first candle, or wait till the next one to wick the line after price crossed it, and enter in that small retrace (in this case in the long bullish candle).
Thanks in advance.
dragon33 wrote:JESGPY wrote:dragon33 wrote:This should be an answer to a lot of people who are struggling with the entry and the SL.
Lets start with a picture!
Lets say you are entering with a limit order at the 50% section of the H4 candle from where the lines are starting. That way you are entering without any view what price will do next!!! This is told several times but for those who don't have the discipline to wait put your SL at the bottom or the 0% section!!!
On the next picture i will give you other possibilities.
The white lines on this picture are the same as on previous picture drawn on the H4 chart. The red lines are the new analysis!
Now you can see what would have happened if you got in with a limit. It depends on what for trader you are if you like this or not!! I don't!!
The first blue candle gives you a hint of a possible change but you need to see first some things befor that candle will hold! Let that candle close and see what happen next. Put a line at the 50% area and if price hit that line and run away in the direction you want be ready to enter at body close or high!!! You will make pips immediately. Put your SL at the bottom of the candle with the drawings on!!! If the SL is bigger then 20 take it at your own risk. This was 18 pips. Lets tune the SL.
Now you can see how it is possible to tune the SL. You could have entered with a SL of just 8 pips and when you look up that was a nice RR
For targeting another difficult part. Every previous H1 open, close or 50% area is a possible stoppoint so be ready to close and try to reenter.
is this trade correct acording to your explanation I quoted above
1h Mo Zone
5m entry of 1h MO zone
Thanks for your feedback
Yes but try to make your entry after price came back. So you have your entry candle. wait for price to come back and then you enter. It is less drawdown