Hi Guys,
Just wanted to share whats going on in my mind.
I found it always interesting and difficult to find the real support and resistance close to the pip.
How come, that at one point price rushes through support and resistance and the other time it holds.
So what is all this bullshit all the time in the market? I am really not a big fan of using indicators because they lag.
When I take an entry, I want to have a good reason to do so, not to find out that because of some indicator I got false signals all the time.
Ok I do like the 60EMA on the 15 minute but that's it really just for the direction.
I understand that there is no 100% trades all the time because we would then never make money. So after years and years day in day out looking at candles I found out something interesting and wanted to know your opinion on it.
It is actually very basic, you can use this on the 1 hour timeframe, 4 hour, 8 or even higher. But there is ALMOST ALWAYS one constant in this.
So what is this actually?
So here it is what I find very interesting.
I must say, that chasing price is really a bad idea as well as breakout trades. Let the market run and come back to you, don't chase it cause you will lose big time.
So let's pull up a one hour chart of GBP/USD as an example.
I am almost certain that it will pull back to 1.2236/29 just simply by looking at the candles.
When price moves in a direction it corrects it self to test the breakout right? But What IS a breakout and what is NOT? Will it hold or not and how many pips stop would I use?
I will write down all this in my next post with examples of what I mean.
Just wanted to share whats going on in my mind.
I found it always interesting and difficult to find the real support and resistance close to the pip.
How come, that at one point price rushes through support and resistance and the other time it holds.
So what is all this bullshit all the time in the market? I am really not a big fan of using indicators because they lag.
When I take an entry, I want to have a good reason to do so, not to find out that because of some indicator I got false signals all the time.
Ok I do like the 60EMA on the 15 minute but that's it really just for the direction.
I understand that there is no 100% trades all the time because we would then never make money. So after years and years day in day out looking at candles I found out something interesting and wanted to know your opinion on it.
It is actually very basic, you can use this on the 1 hour timeframe, 4 hour, 8 or even higher. But there is ALMOST ALWAYS one constant in this.
So what is this actually?
So here it is what I find very interesting.
I must say, that chasing price is really a bad idea as well as breakout trades. Let the market run and come back to you, don't chase it cause you will lose big time.
So let's pull up a one hour chart of GBP/USD as an example.
I am almost certain that it will pull back to 1.2236/29 just simply by looking at the candles.
When price moves in a direction it corrects it self to test the breakout right? But What IS a breakout and what is NOT? Will it hold or not and how many pips stop would I use?
I will write down all this in my next post with examples of what I mean.
