easiest money in my life

buying a break out, which is nothing but a move out of range, means you are basically buying a range, or entering the BO with the expectation that it will go back into the range.

only when the breakout low/high/extreme is tested and holds, is it safe to enter in the direction of the original breakout.
 
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@padutrader instead of answering every post of your, let me make a comment here:

I sincerely thank you for taking the time to coach and explain, especially the Brooks' approach.

And that goes for @schizo too.

Whether you guys are trading wizards is not important, it is the thoughts that counts.

Similarly, the overall Brooks' system, I don't know if it is any good but some of the ideas are very helpful to my day trading, e.g., context.
 
ironchef said:
Appreciate the coaching. I am in info overload. Hard to remember everything, every post.

Thanks for the reminder. I will go back and reread.
More...
here is a simple strategy....for trading second entry one that is complete in itself and will catch most swings.

i remember you said that second entries reverse. yes that may happen because second legs are always tests, according to Brooks.

i have found that entering, when there is a successful test, gives a simple effective strategy to swing trade.

in other words, when there is a reversal of the second leg or a 'failure' of the second entry.

the test is usually in the form of a lower high, higher high, or DT [ in the case of bull swing high] or a higher low, lower low or DB

if the test is not successful, there is follow-through of the second entry, then you can expect at least 1-2 legs more
 
in other words if you have a breakout or a second entry and then two leg test of that, then entering the break of 'B' of the ABC, is a entry, a first entry. a first entry is a reversal bar/pattern.

if there is a two leg swing and then a reversal bar/pattern after the END OF STRUCTURE OF THE TWO LEGS , it is first entry.
 
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a pb is a test of the swing L/H.....if it two legs it is a two leg PB or a wedge[ 3 legs] PB.

so if the test is successful, there is a reversal of the PB, then it is confirmation that, that structure was indeed a PB.

if it is a failure then it is a reversal of the swing.
 
if the ABC is too steep, after a test of B there will be another leg , which will broaden the whole structure into a bigger ABC, the second C will test the first C.
 
there can be no doubt that any success i will have from this on will be attributable to the KING OF PRICE ACTION , 'DR' Albert Brooks.

it is easier to understand individual components of price action, such as H2,L2 reversals, PB tests, etc etc etc but it is very difficult to put it all together into a strategy that makes money consistently.

if you want to trade a strategy no problem .... no secret... you can do it.

but if you want to understand, what the market is doing, and then trade it, you will be more confident and you will never be surprised, by what the market does.

this is the way i wanted to trade. but to do it that way, you have to put a lot into it. actually, everything you can muster.

this is the way that Brooks trades and this is the way he teaches. And that is what i learned after 20 year.

Was it worth it?

It was what i wanted but i did not expect it to be so hard.

I did not lose the faith. ok i admit I lost it at least 5-6 times in the 20 years but i always went back to him.

but happy that it is done and now i can enjoy the fruits of my long and hard labor
 
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