Had a couple of fairly good trades this morning and one this afternoon where I escaped with a small loss.
The events leading up to the first trade are worth mentioning:
1) We had a pin-bar candle that told us that it had opened bullish and headed towards the xx75 psych-line, but it failed to reach it because the sellers took over and it closed bearish.
2) The next candle was almost a mirror of the above. After this candle opened, sellers took it to below the 34ema, before some buying activity pushed it back up again, but it still finished bearish.
3) Another tug-of-war between the bears and the bulls leaving a slightly bullish doji.
4) After opening, this candle indicated that there was some initial buying activity, but then the sellers came in and this time, any buying resistance collapsed.
The yellow price boxes indicate the trade I took after the above activity.
The green price boxes indicate my trade after the slight retrace to the xx50 psych-line. The only reason I got out of this one is because of the supposedly strong support supplied by the Pivot Point/xx25 psych-line confluence.
My failed trade on the right was just one of those things. The signs are right, but in the end, the market will do its thing! I would have got in earlier, after the retrace to the 34ema, but that confluence was still bugging me.
The events leading up to the first trade are worth mentioning:
1) We had a pin-bar candle that told us that it had opened bullish and headed towards the xx75 psych-line, but it failed to reach it because the sellers took over and it closed bearish.
2) The next candle was almost a mirror of the above. After this candle opened, sellers took it to below the 34ema, before some buying activity pushed it back up again, but it still finished bearish.
3) Another tug-of-war between the bears and the bulls leaving a slightly bullish doji.
4) After opening, this candle indicated that there was some initial buying activity, but then the sellers came in and this time, any buying resistance collapsed.
The yellow price boxes indicate the trade I took after the above activity.
The green price boxes indicate my trade after the slight retrace to the xx50 psych-line. The only reason I got out of this one is because of the supposedly strong support supplied by the Pivot Point/xx25 psych-line confluence.
My failed trade on the right was just one of those things. The signs are right, but in the end, the market will do its thing! I would have got in earlier, after the retrace to the 34ema, but that confluence was still bugging me.