Timing the Trade

Usdchf:

Targets 1 & 2 hit.

ES:

EJ:

Out of time to monitor this trade....closed for +$200

Well done

What are you commissions ?? About 5.00 per RT ? Thereabouts ??

TraderinSD,

Yeah that's pretty close. I don't really worry about that to be honest. Obviously its important to be with a competitive broker, but if the winners are there, the
commission's are not a factor that I worry about.

Crude:

Crude:

Closed trade for + $180

Crude:

6A:

ES:

Target 1 hit...SL raised.

Target 2 hit.

Audusd:

This pair has a lot of confluence around the .7612 area. Two fib studies sit right on top of a fresh demand zone. When PA reaches this area, if I'm in front of the screen, I will drop down to the 5 min. chart to observe volume before making a decision to go long. I used to place limit orders right at the start of these supply/demand zones with my SL right outside the other side of the zone. But my SL was getting hit more than I liked. Now I feel the better...safer approach is to wait for price action to arrive at a zone that I'm interested in and study the volume behavior before entering a trade. After all, remember who drives the market...professional money. If they have no intention of turning price at any particular zone, then my little rectangles certainly won't stop price! Markets move strictly based on order flow. Professional traders move price from one large block of unfilled orders to the next. These zones represent unfilled orders waiting to be filled. Now occasionally, economic data will miss or exceed expectations...or the Fed will release comments that cause high volatility. But for the most part, price is heading to where the orders sit unfilled. And the best way to track that is in learning to read the volume of the traders that control price. Because probably 80% of the volume seen on the charts is not created by the retail traders. It is created by professional traders (major banks), fund managers and hedge funds. Especially when you seen the big spikes....this is created by one or more professional groups stepping in.

Thanks for this thread Bantro1. Read it all and reading it again. Also Rocky's thread. Using VSA to confirm s/d levels is very helpful.

Winston Reed,

Appreciate the comments Winston. Rocky's blog really helped to open my eyes and played a big part in turning my trading around in a positive way so my suggestion is to definitely work your way through his!

For those interested in what Winston Reed was referring to, go back and look at post # 43. I make a couple suggestions for resources that will definitely be worth anyone's time that is really interested in learning to view the markets as a professional and to trade the way institutional traders trade (especially Rocky's blog).

Good Luck!