...maybe I am oversimplifying... -Seedling
Trading can be rough, but if you take the time to jot down ideas that you trade by then it will
make your trades a lot smoother.
Here are my main ideas:
Click down the periods from MN to your lowest chart; the worst thing that you can do is fail
to see something obvious on a larger chart.
Be passionate about trading from large chart extremes.
Your stop should make sense from a short term perspective and you should also be able to click
to a higher chart and think 'yes, I would realistically place/move my stop here IF i were trading this chart alone'
Recognize when you are gambling against the direction of profit & look for the large chart to conform.
At a minimum, you need a large chart breakout lower, close above something on a small chart, & the large chart
to appear as if it is going to close above the BO point.
It is far stronger for there to first be a higher low, on a large chart, & then a BO of the higher low, close above something
on a small chart, & for the large chart to appear as if it is going to close above the BO point of the higher low.
Notice the idea here:
We are trading small charts with a minimum requirement of a 2+ day extreme.
Our first priority is to gain space using our small chart but we are also watching the large chart develop to see
if it 'settles' into a picture that is advantageous for us & if so we continue our trades with the large chart idea fixed
in our mind.
Trading space is not the same as SL + TP trading, you can risk as little as 0.0168%/pip and still make 1000% per year by
accumulating size and resetting your size/space after reaching a %goal such as 58.5%.
Always think of your losses in term of 'big pips' (lets define a 'big pip' as a pip value that is 2/3 maximum size):
If your max size is 50u and you initiate a trade at 1u & lose 30 pips then we see that your loss in big pips is...
0.6667 * 50 = 33.3
(1/33.3)*30 = 0.9
...only 9/10 of a pip!
Once the ball of accumulation gets rolling then there is no way that you can lose; you are losing 1 big pip when you
fail & are gaining hundreds of big pips, on a large chart, when you succeed!
Your risk/reward ratio is so high that it boggles the mind.
Ask first, demand second:
It is good form to place a limit order before placing a market order.
Placing a market order is like breaking glass and pulling a fire alarm, don't overreact every time you place a trade.
What is 'something'?:
While 'something' is 'anything' it is generally a BO where a body closed lower than the extreme.
It can also be a series of candles, originating from an area of congestion, that form a steep trend; within the series
is a price wave (think 1-2-3) with the last bit breaking out and closing over a pivot & that is why we usually draw our
'somethings' around the midpoint of a momentum candle.
S/D, triangles, channels, forks, etc:
I can sum up how I use them in one word, "confluence".
You don't really need confluence, it is more of an "&" reason to do something that you already want to do.
"I want to buy these shoes..."&" they are half off"