Here’s today on my overview chart… I’ve drawn a box around the day session:
… that’s right. We haven’t gone anywhere. It’s been a lame, lame day.
Here are the trades that happened during the hour I hosted the eotpro live room today. All three of them, I told people that I’d personally bail for +1 to +2 ticks. I told them this way in advance of those ticks materializing:
So how did I know? The point I try to drive home nearly every day lately is: learn what a good trade looks like. If your trade doesn’t look like one of the good ones, get out. But, you don’t have to panic and jump out… if the trade just looks so-so, put in a profit target to grab a tick or two. Often, unless you have a horrible fill on your entry, the market will give it to you.
For what it’s worth, here is an example of a good-looking trade:
In the good trade, price pays you right away, and volume pressure heads your way. In this trade, when price starts heading sideways for a bit, you’ve got room to let it breathe. In the trades above where I chose to bail, price was going sideways from the get-go, and volume pressure usually was not too strong.
See the difference? I think it’s pretty apparent. And, on a fast chart, my point is that you get so many chances to trade every day, there is no reason whatsoever to stay in the trades that don’t look perfect.
So, today, aside from some nicer trades near the open, I’m getting rich $12.50 at a time.
