Statistical Relevance of this phenomenon question for Avery
Posted: Tue Feb 10, 2009 4:49 pm
Michal and Avery, your opinion on this is needed.
Open the attached image. The white line is the hourly open at 10 o clock EST. I bought at open + 5ticks and made a decent scalp in a few minutes. Notice that around 10:23 the price reverts back to the hourly open. Should I have placed a buy order at open + 5ticks even at 10:23. Is going after even the 2nd time in an hour statistically valid? Or is the buyzone type of trade only for the first breakout. Thanks.
Open the attached image. The white line is the hourly open at 10 o clock EST. I bought at open + 5ticks and made a decent scalp in a few minutes. Notice that around 10:23 the price reverts back to the hourly open. Should I have placed a buy order at open + 5ticks even at 10:23. Is going after even the 2nd time in an hour statistically valid? Or is the buyzone type of trade only for the first breakout. Thanks.