Monday, August 24, 2009
What's the risk?
It's often less than you think. Today, so far, is a scalpers market. Small movement means small risk. The market is always moving if your timeframe is small enough to see it. Tick charts have always made more sense to me than "minute" charts or other timed charts. I always aim to trade with the bigger trend in effect at that time. Today it is "up" and the intraday advance-decline (A-D) is greater than +1,000. So I am looking for an opportunity on the long side here. The main premise of this trade is the play off the S/R level shown. I spend a lot of time determining and drawing out these levels. My whole plan is based on trades at these levels. They are the "wall" I use as a backstop to protect my backside. Again. about everything I post here is an extension of the homework I do everyday. I collect and study screenshots in order to implant in my brain what setups look like. The only person I am teaching here is me. Others are welcome to read along if they want.