No FOMO?
My experience has been that if you miss a set-up you might miss the move.
Why wait for a pullback?
- Thread starter Blitzjoker
- Start date
My experience has been that if you miss a set-up you might miss the move.
It can be important for readers of this website to be familiar with the timeframes and time horizons of the contributors when assessing how apt the tips may be to their individual methodology. Deaddog is a position trader using daily and weekly charts to make his decisions, no? He's got some great posts on here for those interested in trading similarly.
Should you or should you not chase?
https://www.elitetrader.com/et/threads/should-you-or-should-you-not-chase.371976/
How To Not Chase?
https://www.elitetrader.com/et/threads/how-to-not-chase.358633/
Should you or should you not chase?
https://www.elitetrader.com/et/threads/should-you-or-should-you-not-chase.371976/
How To Not Chase?
https://www.elitetrader.com/et/threads/how-to-not-chase.358633/
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From my perspective, the market is going down if the three blue moving averages are going down—especially if the green moving averages are positioned below them.
The market is going up if the three blue moving averages are going up—especially if the green moving averages are positioned above them.
There are three scenarios where I might want to try to take profit. (Actually, there are two where I might, and one where I would have no choice.)
- A - I definitely want to take profit if I see the bold green moving average reverse direction against the trajectory of the blue moving averages
- B - I might when the black moving averages reverse direction and/or cross to the "wrong" side of the green moving averages
- C - I might when candlesticks make contact with the pink or purple Take Profit Zone
If I did not enter following one of these pullbacks, I might immediately find myself in a losing position due to having entered just as a surge was coming to an end.
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As someone has mentioned the market can move a thousand ways depending on instrument, sentiment, market conditions etc.
So waiting for a pullback may not always be the right choice from a non-risk management point of view at least.
It's just the general consensus is it's always better to wait for pullbacks after a big move or breakout.
So waiting for a pullback may not always be the right choice from a non-risk management point of view at least.
It's just the general consensus is it's always better to wait for pullbacks after a big move or breakout.
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Thanks for this. Personally i have found moving averages too laggy to use as the basis of a trend following system, though the charts often look very promising. But all power to you if you can make it work.
"Chasing properly" is fundamental to Price TA. That is, "chase technical breaks QUICKLY*". All big moves contain multiple "breakouts".
Fundamental chases are viable IF your fundamental assessment is correct... like if the Fed had been tightening for months and now/recently started to loosen. But FOMO "late" chasing is much higher risk.
*Presumes, of course, that you understand Price TA
Well, I believe in specialization. What works in one market may not work in another.
So, are you trading a specific market or do you dabble in multiple markets?
My niche is e-mini S&P 500 which as far as I can tell moves differently than for example NQ. The difference may be subtle, but still enough to make a difference. So, basically, I know the various day types, what's normal on any given day and what's not normal (but still possible). Or put another way - I know what to expect for any given day.
I wouldn't say I cracked it, yet, but I definitely know a thing or two about this market and seemingly enough that I make money on most days as a day trader.
IMHO it really comes down to if you have proper trade tail end management.
The essential questions are, how do you manage the:
1) reversal stop.
2) the pyramiding up.
3) the target at the climax.
4) the pyramiding down.
If you can manage these profitably over many trades, there is nothing to "fear".
If you cannot, then you should be scared, very scared.
The essential questions are, how do you manage the:
1) reversal stop.
2) the pyramiding up.
3) the target at the climax.
4) the pyramiding down.
If you can manage these profitably over many trades, there is nothing to "fear".
If you cannot, then you should be scared, very scared.
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Possible\ but not likely much. WHY??
May not be+ has not been sometimes anywhere enough for a bull bear cycle.5 years does sound enough ending in 2022/23
But you hit the bulls eye + bears eye on the ''know'' part
Maybe why some some scale in+ do diversification in markets, time + location ;we dont ''know''.
Maybe why some call it weather forecast + not weather know or weather prediction
