Wednesday 11 December 2013

TF Trade

I was not going to take another trade today, but started looking at the TF, and saw a very good looking supply zone created by a large move away from a delta imbalance bar.  So I was waiting for price to get back. 

However, the retrace was taking too long, and I saw a counter trend opportunity, when price had broken above limit sell orders.  So I took a counter trend trade after price retraced, ending with a RPM.  There was no heat taken once in the trade, and my target just under the supply zone for 29 ticks was hit.

The problem though, was that after the counter trend trade, I was reluctant to now take the supply trade.  I cannot understand this reluctance.  Suffice to say, the short would have worked very well with price falling over 70 ticks from the supply zone.

I have also added another screenshot which I would have taken if I had seen it, but at the time, I was in the CL trade.  It is based on the same idea as the CL trade today and the TF trade yesterday with a breakout with a delta  of 60% or greater, showing aggressive sellers in this case.  This does seem a very good entry technique, with a small stop loss if it works and a good reward to risk.




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