My first short on the EU, must break below the black line to invalidate my No1 long scenario. In this case TP1 is my ideal target.
Attached Image (click to enlarge)
Mind the gap
- #22,044
- Jun 22, 2011 5:44am Jun 22, 2011 5:44am
Now that..you got my attention..I have close one of my long with profit ( still have 1 running)..
Waiting for Lower High and below dragon..
If I enter.. It will be CT short trade.so will be like vulture..
I'd rather l be out of the trade wishing I was in than... in the trade wishing I was out..
Sonic
- #22,045
- Jun 22, 2011 6:00am Jun 22, 2011 6:00am
- Joined Mar 2008 | Status: PVSRA with Traderathome | 23,552 Posts
- #22,046
- Jun 22, 2011 6:07am Jun 22, 2011 6:07am
- | Commercial User | Joined Mar 2008 | 9,071 Posts
GU:
88 pips profit on SS ES1 = 1.6213, closed at TP = 1.6121.
108 pips profit on SS ES2 = 1.6233, closed at TP = 1.6121.
Nice timed..
Sonic
- #22,050
- Jun 22, 2011 6:54am Jun 22, 2011 6:54am
For the breakout of the L-H-HL / H-L-LH scenario, yes. So the stop is placed above or below the breakout point but for me it's quite hard to do that because for that I'd usually have to place a very high SL (which I might be able to afford twice or three times but I don't want that as a principle)
So what I am trying to do is to always place a limit order during a retracement at the same breakout point that I suspect will be tested. The thing only is that that retracement might never happen. But using stop orders and jump in right away just because of the possibility that a retracement might not occur has hurled me very often into a drawdown dilemma because it appears to me that retracements do happen more often than not.
Then again, what do I know? I'm just focusing on low SLs right now and for that limit orders seem to be best. The only drawback is its speculative nature coz I always have to act against the current movement....
So what I am trying to do is to always place a limit order during a retracement at the same breakout point that I suspect will be tested. The thing only is that that retracement might never happen. But using stop orders and jump in right away just because of the possibility that a retracement might not occur has hurled me very often into a drawdown dilemma because it appears to me that retracements do happen more often than not.
Then again, what do I know
? I'm just focusing on low SLs right now and for that limit orders seem to be best. The only drawback is its speculative nature coz I always have to act against the current movement....
Do we have a deal?
- #22,051
- Jun 22, 2011 7:01am Jun 22, 2011 7:01am
Hi, great discussion.
you might consider 2 things:
- If the SL is to far away in your eyes a reduction af trade size might help.
You can adapt you lot size to the risk you want to take even with wide SLs.
- I see the point of getting in as "low/early" as possible. But out of my experience it is better to have a confirmed wave. you might have a wide SL but also higher probablilty to get the trade in the right direction.
Nevertheless I also saw quite a few times PA retracing back from initial classic Sonic entrypoint. This might be even a 4th Sonic R trading option
(similar to re-entry but below dragon)
you might consider 2 things:
- If the SL is to far away in your eyes a reduction af trade size might help.
You can adapt you lot size to the risk you want to take even with wide SLs.
- I see the point of getting in as "low/early" as possible. But out of my experience it is better to have a confirmed wave. you might have a wide SL but also higher probablilty to get the trade in the right direction.
Nevertheless I also saw quite a few times PA retracing back from initial classic Sonic entrypoint. This might be even a 4th Sonic R trading option
(similar to re-entry but below dragon) For the breakout of the L-H-HL / H-L-LH scenario, yes. So the stop is placed above or below the breakout point but for me it's quite hard to do that because for that I'd usually have to place a very high SL (which I might be able to afford twice or three times but I don't want that as a principle)
So what I am trying to do is to always place a limit order during a retracement at the same breakout point that I suspect will be tested. The thing only is that that retracement might never happen. But using stop orders and jump in right away just because...
- #22,052
- Edited 7:52am Jun 22, 2011 7:30am | Edited 7:52am
- Joined Mar 2008 | Status: PVSRA with Traderathome | 23,552 Posts
Hi, great discussion.
you might consider 2 things:
- If the SL is to far away in your eyes a reduction af trade size might help.
You can adapt you lot size to the risk you want to take even with wide SLs.
- I see the point of getting in as "low/early" as possible. But out of my experience it is better to have a confirmed wave. you might have a wide SL but also higher probablilty to get the trade in the right direction.
Nevertheless I also saw quite a few times PA retracing back from initial classic Sonic entrypoint. This might be even...
Absolutely!
No one here has abused, misused or not used a SL more than I (mostly not used
). Retracements/pullbacks are the nemesis of all traders, including Sonikers. Even if you KNEW where price is going, suppose you still don't know if there will be a retrace first, possibly a BIG retrace? What can you do?One style I have seen Sonic quietly demonstrate is the use of a large SL....out beyond any reasonable groupings of recent H/Ls, a "catastrophic SL setting" might be the term.
Another option is to wait until the US session is underway. Select trades that retain a reasonable setup until then. The entry then, has far less frequency of large pullbacks. Instead, price moves tend more to take off, and keep moving in the proper direction. This allows for a very tight SL, maybe at the start of WAVE leg 3, or even just outside the opposite side of the Dragon. This method will, however, further reduce the number of tradeable setups. The attached chart depicts such a sutup that is currently underway.
Another way of handling retracements is to set a close SL, and move to BE+ ASAP. If it gets hit, fine.....you are out. You can enter again if the price stops retracing and moves back out as initially. Or, if price is undergoing a reversal, you are out and can analyze for entry in the other direction. Quick reaction to reversal PA is something we could all get better at.
- #22,053
- Jun 22, 2011 7:42am Jun 22, 2011 7:42am
you might consider 2 things:
- If the SL is to far away in your eyes a reduction of trade size might help.
Problem only being that I've already hit the minimum lotsize after a series of high SLs that got hit by the so called Big Boys (I call em Bad Boys). Really... they just force price to my stop where they have their limit orders already in place xD But anyway, only solution right now is being ultra picky with the setups...
Do we have a deal?
- #22,055
- Jun 22, 2011 7:49am Jun 22, 2011 7:49am
- Joined Mar 2008 | Status: PVSRA with Traderathome | 23,552 Posts
Of course
That is another benefit I derive by trading quite small relative to account size.....my trade is so small that no self-respecting BB is going to spend his money to "work" the PA up/down just to capture my meager trade. It costs him more than it is worth!
"But anyway, only solution right now is being ultra picky with the setups..." - Yojimbo
"Being ultra picky" is a great practice, often ignored/seldom exercised.
- #22,056
- Edited 8:12am Jun 22, 2011 8:00am | Edited 8:12am
- Joined Mar 2008 | Status: PVSRA with Traderathome | 23,552 Posts
- #22,057
- Jun 22, 2011 8:18am Jun 22, 2011 8:18am
- Joined Mar 2008 | Status: PVSRA with Traderathome | 23,552 Posts
GU:
88 pips profit on SS ES1 = 1.6213, closed at TP = 1.6121.
108 pips profit on SS ES2 = 1.6233, closed at TP = 1.6121.
- #22,060
- Jun 22, 2011 8:37am Jun 22, 2011 8:37am
- Joined Mar 2008 | Status: PVSRA with Traderathome | 23,552 Posts
hi TAH, can you explain how did this setup become a sonic entry?..based on what i have observed, there is no H-L-LH scenario..
May I suggest something? Consider changing your footnote to something positive. Try always to foster positive thoughts.