TS3 buy on the 3min NQ on Friday

Unlike most Gurus, I also talk about the harder trades as well as the loses. This is important so you all have a balanced view of how trading unfolds in the real world. This TS3 buy on the 3min NQ on Friday was a good example.

Although the long trade exceeded the 100% initial risk level, the larger degree trend (on the 15min Chart) did look to be up at the time. So you could very well have decided to leave the stop at the original position. As such this would have been a -1R loss. But (and this is the important point), the loss would have been small and controlled. A -1R loss when compared to even the +2.5R Profit on the ES is small. And just remember the Profits of +6R and +8R from mid last week. That is what successful trading is all about, keeping the inevitable loses small and under control.

Thanks

Steve

DP sell on the 3min ES on Friday

Hi Everybody............

Another quiet day on Friday with few signals. But as I said last week, this is just part of the Cyclical Nature of Trading, and comes on the back of some massive profits mid last week.

I did receive a question on the DP sell late in the day on Friday. Normally I say that DP’s should only be taken if they fall at larger degree support or resistance of if they are after 5 swings. But this was neither on the 3min Chart.

However, the Advanced Traders among you should have spotted that this was also on a high Volume (VSA) spike, as such it was a trade that the Advanced Traders among you could have taken.

Thanks

Steve