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I would either already be long a break of the interim resistance (the little move up that left a lower high, but found buyers at previous support). And I would've had a sell stop to go short if that previous support broke. If I wasn't long the break of that interim R, I'd have a buy stop...

mizhael, I'm a strong believer in the concept that everything you need to know is reflected in price. As for day trading, fundamentals are meaningless, just follow the trend in your time frame and let price dictate the trades. But even with swing trading or longer term position trading, the...

Everyone already answered for me :) Only trade in the direction of the trend in your chosen time frame. Use smaller time frames for precision entries when your chosen time frame is setting up, and use larger time frames for key levels that may help you hang onto winning trades longer...

I used to think that often, "too low to short" or "too high to buy", but found that there's no harm in taking the risk if the setup is valid. The scratch trades or small losses are far outweighed by the times when you're on the right side of a measured move following a huge trending move where...

He didn't buy calls, he bought DITM puts (making him short). He said he had a plan at first to wait for price to rally to a certain level before beginning his position. The problem is that he jumped the gun because the price run up didn't occur in his time frame. By waiting until price...

You missed the break out of consolidation, which led to the weak break of the previous high. When price was pulling back to the lower channel line just before 10:00am, you could trail a buy stop a tick above the high of each pullback bar as long as the lower line/previous support level holds. If...

This is the problem. Trend following requires you to prepare in advance. You need to anticipate and be ready to be positioned as price pivots from a pullback or breaks out of consolidation. A renewed demonstration of strength or weakness in the direction of the trend after a pullback or...

What trading strategy do you use that works a lot of times and does not work only sometimes? Yes, those are the only possible outcomes of every trade, regardless of the setup. Unless you're Goldman Sachs.

I may have a case of selective memory here, but it seems that a majority of your disaster trades have been front month options within the last 3 days of expiration. If you pick the direction right, you might make some profit, but if you have to average down, the theta's gonna kill you every time.

The only "mistakes" I see would be going long without confirmation (price breaking a previous bar's high to take you into the trade), and placing a stop in no-man's land (it should've been below the previous support level since you didn't wait for confirmation to go long where you did). That's...

I love that setup and I also trade it with confirmation. Confirmation = slightly wider stop loss, but a much higher probability of success on the trade.

I note S/R levels off the 60-min and daily charts. I also note where previous S may become R and R may become S in a pullback. I find that focusing on the 5-min and 1-min chart together and talking to myself about what's happening keeps me alert and on the correct side of the price action. I...

It was daily bar-by-bar backtesting. End of each day I would scroll my chart to the right edge so it looked exactly like it did at the time and trade each appearance of my chosen setups. I'd track on a spreadsheet the number of ticks the initial move from entry went for or against me; the max...

The year of statistical analysis I did for my chosen trend-following setups with my defined trade management rules demonstrated a 70% success rate. This is strictly using a 5-min chart. The year I analyzed included a bull market correction, a renewed bull run to 2-year highs, strong trend days...

I’ve been trading the confirmation approach for about a year now and it’s been the best thing that ever happened to my trading. My example posted was to show nakachalet a clear setup and trading plan using a 5-min time frame that allows plenty of time to plan and react. With this method...

Hi Josh, there's no way to know what will happen next on a trade, ever. I just play the price action and use tight stops. A bear flag after a strong down move often results in a measured move. That was my target. The next flag a while ago resulted in another MM. Just found out a very close...

Hey, I liked that long, too (failed flag b/o), I was also long @ 98.40, but it was a stop-and-reverse @ 98.37 (early) or 98.09 (confirmed). Measured move out of the bear flag was either 96.97 or 96.89 depending on where you calculated the flag's low. Didn't get full target, but close enough...

Here's the result of the trade: Like anything, it takes practice and focus, but a 5-min chart isn't bad at all. Trading off a 1-min chart is a whole different story :eek:

My chart allows me to draw lines in about a second or two. I just click and draw. I place orders on a price ladder (DOM) with a single click. It's all very fast. A 5-min chart allows plenty of time to prepare for a trade:

Probably not in 4 days. On second thought, this IS oil futures we're talking about. My chart shows a 10-pt one-day drop back in May... Technically speaking that daily chart has measured move continuation written all over it. I personally have trouble believing it could drop that far, because...