Hi,
first of all sorry for my english.
I need your feedback about my consideration about a potential trading system.
I think that it's not a new concept of trading but we will see.
Ok so...Start with my concept.
When the price touch a crucial level, like High/Low, can react in 2 ways:
first of all sorry for my english.
I need your feedback about my consideration about a potential trading system.
I think that it's not a new concept of trading but we will see.
Ok so...Start with my concept.
When the price touch a crucial level, like High/Low, can react in 2 ways:
- Bouch;
- Break;
Now seeing that the market is not free from noise we haven't always clear signal on which ways the price walk.
What we can do is try to catch the fake break out level Like the attached screenshot.
Now in this case what we searching for is a break of a low level and a retracement on the lower close of the previous swing.
When a bar close above this close we have the entry signal.
What do you think?
Thank you
Attached Image (click to enlarge)
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