Making of a method

About 20% of the loss came from pressing. Another 30% came from holding onto longs a little too long in the face of rapid V Reversals early in the session. The rest was because of size - but that is acceptable risk given the potential for movement today.

I don't have a max loss. Only a maxim to play small when P/L very negative and play big when P/L very positive, holding all other things constant.
 
Week of Oct 6.png
Week of Oct 6.png
 
Trend:

The recoil off the sharp fall from Oct 9th has traveled 285 points.

The uptrend from the lows is now showing signs of balance after Friday's Reversal and ON LH. Price has drifted down past the lower boundary of the 60 min TC. This trend has had 5 legs and has since balanced into an irregular range of 40/50 pts.

The ON Down trend has shown a decent reversal and price is now falling to test the lows.

Value: Since the 60 min TC has been broken, there is no clear diagonal mean yet. There isn't much clarity on the lateral mean either, unless the action from Friday onwards is considered as a Range. The recoil off the lows has not been as sharp as the original fall, so despite the broken TC, there is a sense of rising value.

Nothing compelling is standing out. Trade small.

Potential Plays:

1. Long on test of 91/81 zone
3. Short on strong trend through 81
 
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