Entered 2 trades today. Both were longs.
This was my thought process. If prices were to come off significantly, there should be a period of distribution by SM at the top. So far, I can't see any significant distribution. So to me the longer term trend is still up. So I was looking for longs after the sell down. There was a strong sell down to 3058, but I did not enter there. It seemed climatic based on the wide spread bar but it wasn't near a supply area. There was a RUT (?) on high volume. That might be SM trying to accumulate.
I wanted to see a blip down below 3055, which was a significant previous swing low and a close off the low on high volume. This happened at bar 1. Took a long at 3057 (too slow to enter wanted to enter at the close at around 3054). Price did go up. Buyers did enter the market. Didn't like price action at the 63,64 area, so closed my trade at 63. Thought there will probably be another down move. Next key level for me is 3045. The area where price started rallying.
Again, I wanted to see 3045 get broken and close above the low on high volume. This happened at bar 2 and the bar before. But volume wasn't significantly higher. So I stayed out. A ND formed shortly after and price came back down.
Price broke 3045 again at bar 3 but close off the lows on higher volume than the bar before. A RUT(?). Buyers are definitely interested in this area. So I took a long at the close of that bar at 3045. This was followed by a shakeout(?). I was really happy when I saw that! Another shakeout happened 2 bars later. On higher volume. That kinda confirmed that I was on the right side. BUT. . . . I took myself out at 3053. There was a ND area coming up. I'm not sure how to manage the trade in that area. If there wasn't a ND, I would probably have held on for 15-20 pips.
Should I have waited and see how price reacted in the ND area? or would you guys have down what I did and close the trade?
This was my thought process. If prices were to come off significantly, there should be a period of distribution by SM at the top. So far, I can't see any significant distribution. So to me the longer term trend is still up. So I was looking for longs after the sell down. There was a strong sell down to 3058, but I did not enter there. It seemed climatic based on the wide spread bar but it wasn't near a supply area. There was a RUT (?) on high volume. That might be SM trying to accumulate.
I wanted to see a blip down below 3055, which was a significant previous swing low and a close off the low on high volume. This happened at bar 1. Took a long at 3057 (too slow to enter wanted to enter at the close at around 3054). Price did go up. Buyers did enter the market. Didn't like price action at the 63,64 area, so closed my trade at 63. Thought there will probably be another down move. Next key level for me is 3045. The area where price started rallying.
Again, I wanted to see 3045 get broken and close above the low on high volume. This happened at bar 2 and the bar before. But volume wasn't significantly higher. So I stayed out. A ND formed shortly after and price came back down.
Price broke 3045 again at bar 3 but close off the lows on higher volume than the bar before. A RUT(?). Buyers are definitely interested in this area. So I took a long at the close of that bar at 3045. This was followed by a shakeout(?). I was really happy when I saw that! Another shakeout happened 2 bars later. On higher volume. That kinda confirmed that I was on the right side. BUT. . . . I took myself out at 3053. There was a ND area coming up. I'm not sure how to manage the trade in that area. If there wasn't a ND, I would probably have held on for 15-20 pips.
Should I have waited and see how price reacted in the ND area? or would you guys have down what I did and close the trade?