TheRumpledOne wrote: BlindMan wrote:
Putting it this way reminds me of the buy zone
but I think it finally clicked. Daytrading with a daily chart is probably as simple as it can get, because I'd be looking at a single candle.
Using something like this would give me something that I can do every day on the same pair with a simple approach. Of course, easier said than done, but I want to give it a shot.
If I had to put it in steps, I guess it'd be something like this
1) Candle color gives direction.
2) Horizontal line gives entry.
3) Statistics give exit.
4) Common sense cuts losers early.
Yes, the buy zone. With directional bias toward the pivot point when pivot point above the buy trigger or below the sell short trigger. Simple enough a caveman could do it...LOL!
I might as well change my name from BlindMan to CaveMan now lol.
I'm using the H1 now because it's useful for scratching trades, if a candle closes inside the buy zone I just scratch the trade for a smaller loss. No need to let it run to the full stop.
In the past a situation like this would've wiped out my profits because I'd be trading up and down getting stopped out in each direcion. The so called "whispaw". Today I was able to trade this and end the day with a profit. The fear of "whipsaw" is gone.
Enter, scratch, see that the average daily range hasn't been hit, re-enter at the next opportunity, profit. "And what if it reverses?" Then I'll scratch again. It's not like I'm going to scratch 60 trades in a day anyway. I don't overtrade. As long as the average daily range hasn't been hit I have a good chance that price will make a move away from the buyzone that I'll be able to take advantage of.
Simple is better. Thanks TRO.