DislikedCondition 1: Price must make a considerable distance from 200 EMA. Can you please quantify what you mean with "considerable"? At the moment this can be interpreted differently by each individual. CheersIgnored
When all the conditions are met, we look at chart and observe the followings:
- is it a low volatility session? If yes, a small gap between price and 200ema is okay.
- is price bouncing between SR? If yes, 200ema can be overlooked.
- is there a news? If yes, will generate big distance.
Now with this said, why we want some distance? We need it so we don't jump in a position that is too close to 200 ema beacuse if so/ if mid bb is well below 200ema, price may retrace to 200 and rejects from there without retracing to mid BB.
Our goal is to take an entry that is most logical to retrace to our TP.
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