Price came back to hit our trailing stop for a few pips. Much less than if I had just closed the trade out this morning before I had left. But, we had an interesting example of how to use the reversal trade, on the same daily chart. You will see that the current bar had a wick that was almost as long as the wick of the earlier bar. More importantly, price was rejected by resistance of the Super Trend indicator. This is another good use of this indicator. The time to enter would have been when price would have come down somewhere between the center of the wick of the previous bar and the top of the wick. I usually like to reverse back the same distance as the previous wick. This type of trade does take some improvisation, on the spot, in the moment. It would not have gotten you the full reversal from the very top, but it would still be giving you pips in a much safer manor. I find it hard to catch these reversals even when I am around the computer to trade, but I believe that my skills are improving.
Enjoy the chart, and of course I will ask any questions. Gosh this is fun Is everyone else out there having fun as well? I sure hope so!
Bundles of thanks, and make it a great day!
Enjoy the chart, and of course I will ask any questions. Gosh this is fun Is everyone else out there having fun as well? I sure hope so!
Bundles of thanks, and make it a great day!
"Keep your eyes on the helpers" - Mr. Rogers