Rules for Trading
All based on J16's method of trading.
I am going to print this out for beside my computer and check off each point as I look at my potential trades each evening.
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Rules for Trading
All trading is done on the Daily Charts only (weekly if I remember to look at them!)
I am going to trade Pinbars, BUOBs and BEOBs, DBLHC and DBHLC. I do not know enough about Inside bars yet to play them, tho I will learn them too. I will not be trading the continuation pattern of two matching highs/lows after a trend for now.
This is to make myself follow (simple!) rules, and to make me become more picky on my entries.
Entry
Pinbar-
Open and close in top/bottom 1/4 of bar
Must noticeably stick out from surrounding bars (at least half the bar)
Open and close must be within range of previous bar
BUOB/BEOB-
Bar completely engulfs previous bar
Close must be within top/bottom 1/4 of bar
DBLHC/DBHLC-
Matching low/high must be within 2-3 pips to be valid
Close must be very close to the end of the second bar
All-
-Trade with the trend (Higher highs, higher lows/lower highs, lower lows)
-Bar must be at swing high for bullish signal, swing low for bearish signal
-Enter at 10 pips break of signal bar to confirm a break of signal bar
-Stop will be set at 10 pips below the opposite end of the signal bar
-1% MAXIMUM risk on any one trade
-Look for nearby traffic/first trouble area to make sure it is far enough away to allow the trade to run a bit
-Trade only with a minimum of 2 levels of confluence (PPZ, 150 or 365 EMA, -Big Round numbers. Fibs, confluence once learned)
-Lots of space behind the bar
Trade Management
Half of position will be closed at 20-30 pips profit
Stops will be moved to breakeven (entry price) at 20-30 pips profit
Both of these will be assisted by my (in development) EA that will do it automatically if I am not at the computer.
Exit
Part or full profit may be taken anytime if conditions permit.
Part or full positions will be taken off at solid PPZ/confluence areas.
Otherwise, manually trailed stops will be used to get out if trade turns on me.
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Any comments or criticisms are welcome.
All based on J16's method of trading.
I am going to print this out for beside my computer and check off each point as I look at my potential trades each evening.
----------------------------------------------------
Rules for Trading
All trading is done on the Daily Charts only (weekly if I remember to look at them!)
I am going to trade Pinbars, BUOBs and BEOBs, DBLHC and DBHLC. I do not know enough about Inside bars yet to play them, tho I will learn them too. I will not be trading the continuation pattern of two matching highs/lows after a trend for now.
This is to make myself follow (simple!) rules, and to make me become more picky on my entries.
Entry
Pinbar-
Open and close in top/bottom 1/4 of bar
Must noticeably stick out from surrounding bars (at least half the bar)
Open and close must be within range of previous bar
BUOB/BEOB-
Bar completely engulfs previous bar
Close must be within top/bottom 1/4 of bar
DBLHC/DBHLC-
Matching low/high must be within 2-3 pips to be valid
Close must be very close to the end of the second bar
All-
-Trade with the trend (Higher highs, higher lows/lower highs, lower lows)
-Bar must be at swing high for bullish signal, swing low for bearish signal
-Enter at 10 pips break of signal bar to confirm a break of signal bar
-Stop will be set at 10 pips below the opposite end of the signal bar
-1% MAXIMUM risk on any one trade
-Look for nearby traffic/first trouble area to make sure it is far enough away to allow the trade to run a bit
-Trade only with a minimum of 2 levels of confluence (PPZ, 150 or 365 EMA, -Big Round numbers. Fibs, confluence once learned)
-Lots of space behind the bar
Trade Management
Half of position will be closed at 20-30 pips profit
Stops will be moved to breakeven (entry price) at 20-30 pips profit
Both of these will be assisted by my (in development) EA that will do it automatically if I am not at the computer.
Exit
Part or full profit may be taken anytime if conditions permit.
Part or full positions will be taken off at solid PPZ/confluence areas.
Otherwise, manually trailed stops will be used to get out if trade turns on me.
----------------------------------------------------
Any comments or criticisms are welcome.