Hi all,
One word in terms of placing orders within this system.
It's very often (on low time frames like M5) that price touch a resistance, you set it and gamble on Sell. And that is wrong, because trend is your friend. So often is like price is go higher and higher, and your resistance becomes support.
"Sell trade:
Price reaches the strong resistance (must be tested at least once). At that moment, I am opening the sell trade. I set TP above the nearest support. The SL is the same amount of pips from the entry price as TP - again, I simply use the 1 : 1 RRR ratio."
That is example that the trend is UP and you should not go with short!
Remember - trend is your friend, better see M30, H1 before trade based on M5, use MA33 and MA14 (Moving Average) to confirm the trend.
The same situation is with Buy trade, and its support turn tu resistance.
I'm not saying that trend will not change, but tell me: how often you will shot the spot when it will return?
PS: Please share your experience, if needed you can throw all mud on me.
Cheers
Seb
One word in terms of placing orders within this system.
It's very often (on low time frames like M5) that price touch a resistance, you set it and gamble on Sell. And that is wrong, because trend is your friend. So often is like price is go higher and higher, and your resistance becomes support.
"Sell trade:
Price reaches the strong resistance (must be tested at least once). At that moment, I am opening the sell trade. I set TP above the nearest support. The SL is the same amount of pips from the entry price as TP - again, I simply use the 1 : 1 RRR ratio."
That is example that the trend is UP and you should not go with short!
Remember - trend is your friend, better see M30, H1 before trade based on M5, use MA33 and MA14 (Moving Average) to confirm the trend.
The same situation is with Buy trade, and its support turn tu resistance.
I'm not saying that trend will not change, but tell me: how often you will shot the spot when it will return?
PS: Please share your experience, if needed you can throw all mud on me.
Cheers
Seb
