Tired of BUYING @ the top/SELLING the low?

February 2nd, 2012, 09:58 AM

ME TOO !

February 2nd, 2012, 03:52 PM

Billbb

ME TOO !

Try to recognize pattern of a top

A big bar that surge above the other
A tin green (up() bar that goes up the last bar and does no go far

As a mandatory rule, I never go long if I don't have a target to reach ( an upper spike high) on the left of my entry bar

Again, Always have an upper, achievable target on your left before going long

Good luck

Martin

February 2nd, 2012, 06:17 PM

Billbb

ME TOO !

Post some charts of your trades if you want advice.

Mike

February 2nd, 2012, 06:43 PM

I'm kind of on the same page as arjfca on this.

You need to have a target in mind to short at the low or long at the high....it does work.
Consider the last couple days on the indexes especially the TF for example ...I had some upside targets above the highs and because of that I could go long at/near the highs (had supporting PA).

Is it a preferred strategy ...probably not...it's better to long at the bottom but sometimes if your in and out of posistions or not holding over night you might have to enter at a high price.....

I think you know what I mean....if you have a reason (target price) to initiate a trade go ahead...if no reason and your guessing ....fagedaboudit

February 2nd, 2012, 06:50 PM

I do this quite a lot as well, but overall I've done pretty well. I try not to beat myself up too much over it. It happens (at least it does for me).

February 2nd, 2012, 07:23 PM

Billbb

ME TOO !

once again, there is not one simple answer or solution - it's about being cognizant of where the market is trading in relation to various levels

MOST IMPORTANT : buy weakness in strong markets, sell strength in weak markets ( not the converse)

don't chase the market when it spikes

if you are trading the ES, time your trades with the $TICK

know where the market is in relationship to the VWAP

know where the market is in relationship to the 50EMA

know where S&R, value, IB, hv nodes, and major pivots are located

be aware of bullish/bearish divergence on new highs/lows

beware of candles with long tails, especially if they were made on news - they are likely to act as strong support/resistance

be aware that a large amount of algos are written to sell-the-new- high and buy-the new- low, and that large day-traders like to fade stops and do the same as the algos

sounds like a lot of work? It is; and it's also one of the reasons most traders fail - they are not willing to do the work that is required to be profitable

be an aware, informed, and observant trader -do your homework and you will be prepared to make the correct decision when it the opportunity presents itself

February 3rd, 2012, 01:36 PM

Big Mike

Post some charts of your trades if you want advice.

Mike

okay, I will post some trades from this afternoon. Thanks.

February 3rd, 2012, 01:42 PM

Me too

February 3rd, 2012, 01:51 PM

tigertrader

once again, there is not one simple answer or solution - it's about being cognizant of where the market is trading in relation to various levels

MOST IMPORTANT : buy weakness in strong markets, sell strength in weak markets ( not the converse)

don't chase the market when it spikes

if you are trading the ES, time your trades with the $TICK

know where the market is in relationship to the VWAP

know where the market is in relationship to the 50EMA

know where S&R, value, IB, hv nodes, and major pivots are located

be aware of bullish/bearish divergence on new highs/lows

beware of candles with long tails, especially if they were made on news - they are likely to act as strong support/resistance

be aware that a large amount of algos are written to sell-the-new- high and buy-the new- low, and that large day-traders like to fade stops and do the same as the algos

sounds like a lot of work? It is; and it's also one of the reasons most traders fail - they are not willing to do the work that is required to be profitable

be an aware, informed, and observant trader -do your homework and you will be prepared to make the correct decision when it the opportunity presents itself

Ive been cognitive of divergence and practice in replay after market closes...I will have another shot at it soon in real...in meantime Im really honing in on it. support & resistance, im using range bars...I read thats better.

Thanks for ur advice

Tired of BUYING @ the top/SELLING the low?

Discussion in Emini and Emicro Index

Tired of BUYING @ the top/SELLING the low?