DislikedI want to share my trade management technique which is absolutely vital to success on the M1, and probably for other timeframes.
1. Place order with a 6 pip stop loss.
2. I take profits at 6 pips and move my stop to entry + spread (no questions).
Now once you've done this you are effectively in a free trade so you can be as creative as you want to be. You can either trail the stop or set a final TP.
The important thing here is steps 1 and 2.
Ignored
Ah yes C-12... A thing of beauty! .. Sweet
If I may take some liberty here...
1) By waiting for a good base to form and then taking a set up, you put the odds in your favor
2) See the higher of the 2 demand level picked... A quality area > 4 candle sideways
3) Look at the move preceding the level picked... There was a good rise, then a drop...A small base form (4 candles) then another strong rise from that level. When picking levels this another way to spot them.
4) See how price reject this level with a solid pin bar. You clue to get in.. And C-12 did !!
5) We are trading out of a basing pattern back into our Supply area above. This may end up being the classic text book... Drop-Base-Rise pattern.
I also trade in this manner .. and in different time frames as well. When you see the pattern this well formed, the Supply Area ( in this case ) act like magnets... So I’ve started labeling these types of trades, in my trade log as “Magnet Trades “. Remember the magnets, that had a “ U ” shape to them. If price reaches back to the Supply level above, this will have that classic “ U “ shape a magnet.
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Again… I do not suggest that those still learning this method attempt these types of trades. But once you have a good handle trading in the higher time frames ( 30M ) Per KL…Then maybe give this a go.. Learn the method first... There will be plenty of time for the exotic stuff down the road.
Good trading to all
TSD