Thank you Euler, that's a really good explanation, you make a good point about my 7 losses in a row!Euler wrote: ↑Fri Jul 31, 2020 6:48 pmYou felt the market was headed lower. So you jumped on it.goat68 wrote: ↑Fri Jul 31, 2020 4:56 pmno, I SAW that the market was going lower, so I traded that momentum, it wasn't "feel". However, it seems I am always late on the momentum, and it turns by the time I get in!
All 7 trades i've done this afternoon have been a loser!
When trading you have a setup and adhere to that. You look for the set-up and execute against that, rather than following the market.
The fact you lost all seven in a row is evidence that the market is telling you what to do and you are feeling guided by it.
If you trade at random with no emotion, your strike rate will hover around 50%. So seven losses in a row is a 0.50^7 or a 128 to one chance.
The market forced your hand and you were trading what you felt and that feeling was given to you by the market.
It also shows how missleading these videos are, or rather how you interpret them...
My "setup" I was using was as follows:
1. Check price/volume of top 4, look at supp/res, trends, and get a rough gauge, (like Pete does, I think) "this horse looks like it's drifting".
2. Then looking at ladder watch for order flow best I can, that supports my "gauge of momentum" in 1
3. When flow supports then enter trade, and place exit orders
I thought the whole theory here is that in that last 5mins or so before off, the on course or average Joe punters are driving the volume, so "more often than not" the order flow you perceive might continue more often than it doesn't...?
However, your great explanation is probably indicating I haven't got a clue!