Trying to get a grasp of this formation/set-up...
Does the second bar has to be longer (than the first bar) in the direction of where you want to trade (in the direction with the close of the second bar)?
Or can the bars be of the same high/low, and still be considered a good set-up? Perhaps with the close of the second bar in the extreme of the direction where you want to trade?
I know my questions are highly subjective, but please give your input
and opinion. I know you should always look for confluence. Im just trying to set some rules to remind me of in the heat of trading
Thanks for your time!
Does the second bar has to be longer (than the first bar) in the direction of where you want to trade (in the direction with the close of the second bar)?
Or can the bars be of the same high/low, and still be considered a good set-up? Perhaps with the close of the second bar in the extreme of the direction where you want to trade?
I know my questions are highly subjective, but please give your input
and opinion. I know you should always look for confluence. Im just trying to set some rules to remind me of in the heat of trading
Thanks for your time!