Short DAX at 7740

At the point of fibo 23.6 + macd divergence + next 1 or 2 upside candles - could it be a trigger for quick scalp or longer trade, or you looking for more confirmation ( let's ignore for a moment from risk/reward management ) ?
 
Quote from shaked:

At the point of fibo 23.6 + macd divergence + next 1 or 2 upside candles - could it be a trigger for quick scalp or longer trade, or you looking for more confirmation ( let's ignore for a moment from risk/reward management ) ?
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Because I am not an educator, it would be very difficult for me to explain to you what goes in my mind when I am looking for a trigger. I do not advocate scalping, even though it may seem at times that I am scalping, you should never ignore risk/reward btw, as that is one of key variables to be considered before you enter position. My trigger is always 1 minute chart's histogram together with price action, if price starts oscillating frantically I will stay away, I like to see a build up to a move, as that:

1) Reduces chances of range expansion against your position;

2) You are allowing sufficient time for accumulation for interested parties;

3) Divergences are also periods of accumulation and require a lot of screen time to anticipate the move even though you can be shaken/squeezed out of your entry a few times;

There is more to it, but as I said because I am not an educator I can only try and answer direct questions at best of my ability :)

BTW gold touched 879+ a few moments ago and now starting to weaken on 2 minute chart, perhaps that might lead to Nymex RTH retrace to allow for accumulation to take it higher during RTH, who knows?

Last night around 7pm Eastern ($862) it completed a very bullish pattern (very bullish), so I looked at 10 minute chart which has also showed a bullish pattern, so to be able to participate in range expansion off the hourly chart AND keep drawdowns at bay it would have been prudent to switch over to 1-2-3 minute charts to look for a favourable entry, favourable I view as histogram showing strengthening of upside potential, don't forget that moving averages are the most basic form of viewing market sentiment no matter what time frame you trade.
 
Quote from JSSPMK:

Because I am not an educator, it would be very difficult for me to explain to you what goes in my mind when I am looking for a trigger. I do not advocate scalping, even though it may seem at times that I am scalping, you should never ignore risk/reward btw, as that is one of key variables to be considered before you enter position. My trigger is always 1 minute chart's histogram together with price action, if price starts oscillating frantically I will stay away, I like to see a build up to a move, as that:




I learned a lot of what you wrote.


thanks alot.
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