Hi Lawgirl, In general I am having trouble with entry, SL & TP for BO trades. For Entry, I am struggling to get in at the right time, mostly with going in on false breakouts. It looks like it might be a good idea to wait for 2 consecutive 1h candles to close outside the BO box for a setup and then watch PA on the 15m/1h/4h for the trigger. How does this sound? I was unsuccessfully watching for 2-3 5m/15m consecutive candles to close in the correct direction on yesterday’s BO trades and got burned on 2 trades. Ended up in the negative for the day. For SL, I am setting my SLs just above/below the other side of the box after a BO, while taking spread into account on shorts. However, price seems to always rubber band back to extend outside of the box taking me out. I would give the SL more room but that brings me to my next point… For TP, I am setting my TPs at 1:1 or better Risk:Reward ratio (looking to target S/R levels if possible), as I’ve learned about MM a good bit over the past year. However, if I widen my SL, my TP also has to follow, to the point where it seems TP is at an unrealistic level for a BO trade. Thanks in advance for any feedback! I have been doing pretty well on the 4h TTs so far.
In general I am having trouble with entry, SL & TP for BO trades.
[size=3][font=Calibri]For Entry, I am struggling to get in at the right time, mostly with going in on false breakouts. It looks like it might be a good idea to wait for 2 consecutive 1h candles to close outside the BO box for a setup and then watch PA on the 15m/1h/4h for the trigger. How does this sound? I was unsuccessfully watching for 2-3 5m/15m consecutive candles to close in the correct direction...
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Hey CC,
For the 4CBO which can be quite quick affairs, waiting for 2 H1 candles may be too late. Also, although applying 1:1 RR is a good discipline, it can be very subjective with BO trades. From what I gather, LG typically has a 40/50 point SL cushion, but more importantly, PA is monitored closely and trade closed even with 10-20pips if necessary. On a good BO continuation, I suppose the key is to get SL to BE and trail - again subjective, but discretion plays a big part.
It may be an idea to put up a chart(M15) for commentary on your specific trade.
For the 4CBO which can be quite quick affairs, waiting for 2 H1 candles may be too late. Also, although applying 1:1 RR is a good discipline, it can be very subjective with BO trades. From what I gather, LG typically has a 40/50 point SL cushion, but more importantly, PA is monitored closely and trade closed even with 10-20pips if necessary. On a good BO continuation, I suppose...
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Here's the chart i was looking at. looked like a decent break out at the time. Now that I'm looking at it though, PA seemed a little confused.
Excellent spotting, Strick. It is impossible to monitor all pairs for all set ups, so please continue to post what you find. I love this kind of trade. I have a bias to the short side however. We shouldn't care on which side it breaks, just go where ever it goes.
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I actually went short on this at 0.9333 and as soon as I was in, it turned straight back to take out my SL
So there are my 4 trades from yesterday, all losses.
Anyone who can help me and/or let me know why you would not have talken them would be BERY appreciated right now. Any feedback is needed.
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I think you should use the LG's indicator in order to filter out those bad trades. It's helpful in giving you the right bias for the breakouts.
Just my little advice.
A good trade is when I Break Even. A great trade is when I Take Profit.
4 trades yesterday and all of them lost. Smashed my account and now I am depressed as hell (again)
Every time I think I have a strategy worked out this happens...
Been happening for 3 years actually... i guess i should yake a hint and give up...
Oh well... back to the drawing board...
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I think i am having the same problem. always pick the wrong pair for BO trade. i dont know where didnt i go wrong ? did i pick all USD pair or any particular pair that go in the same direction. OR sometime USD seem to be strong in one direction then suddenly reverse the next direction... really really depress .
I think you should use the LG's indicator in order to filter out those bad trades. It's helpful in giving you the right bias for the breakouts.
Just my little advice.
I dont think there a simple answer other than it can be tough and in trading (especially if you are new to a system) you will have times when everything is going against you - take the good times with the bad times...
A few weeks back I was calling it right all the time but since then I have also had a string of loosers and really dented my account... its like the brokers know exactly where my stops are and I've been feeling like a puppet to the market.
Probably best to have some time away from trading and come back afresh.
Trade What You See - Almost Naked Trading
