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Pullback entries

  • Post #1
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  • First Post: Jul 30, 2009 5:25pm Jul 30, 2009 5:25pm
  •  AndsX
  • | Joined Oct 2007 | Status: Member | 195 Posts
The biggest factor with pullback entries is to know when it's over and if the really price really started turning back to go with the previous movement. I trade 15M timeframe.

Some of the factors i consider are

1. Pullback is turning from oversold/overbought area in Stoch

2. Candle patterns. I only look for a Hammer and Outside Bar.

3. Pullback to trendline.

This seems to work well but trying to optimize it better. How do you guys find out this if you are trading this way?
  • Post #2
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  • Jul 31, 2009 1:21am Jul 31, 2009 1:21am
  •  smikester
  • Joined Mar 2007 | Status: Member | 8,618 Posts
The danger with trading pullbacks is when a serious reversal takes place - a la GBP/JPY. I try to trade break outs and look for volatility so that a pullback is unlikely to be an issue. In any case, we should set our market order above/below the last high/low bar before the pullback. Otherwise we can be in protracted consolidation or reversal scenarios with leverage used and other trading opportunities missed. For me, too much control just leads to stress. The indicators you mention are just a distraction for me.
Gone to a better place
  • Post #3
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  • Jul 31, 2009 2:47am Jul 31, 2009 2:47am
  •  AndsX
  • | Joined Oct 2007 | Status: Member | 195 Posts
I was trying breakouts and pullbacks. To me pullback seems to work better then breakout. The only indicator i have is the stoch and it's just for confirmation.
  • Post #4
  • Quote
  • Aug 1, 2009 3:54pm Aug 1, 2009 3:54pm
  •  smikester
  • Joined Mar 2007 | Status: Member | 8,618 Posts
Quoting AndsX
Disliked
I was trying breakouts and pullbacks. To me pullback seems to work better then breakout. The only indicator i have is the stoch and it's just for confirmation.
Ignored
OK, sorry if I sounded dismissive. (You probably know) There are some interesting ideas for trading pullbacks on Youtube.
Gone to a better place
  • Post #5
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  • Last Post: Aug 3, 2009 3:38pm Aug 3, 2009 3:38pm
  •  AndsX
  • | Joined Oct 2007 | Status: Member | 195 Posts
I'll check out youtube. Thanks.
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