Wednesday 11 December 2013

Good Read, Lesson Learnt

Series of HLs = looking for Longs

1. Although price didn't close below the UWTL,  it opened below it which was not the strength I wanted to see to encourage a long. I'm not sure if an open below a TL is near enough to a TLB to take the otherside or whether a definitive close is required, I guess time will tell (YES IT WAS). Also the prior candles had tall upper shadows and one was near a RB shape which show weakness.
2. MTOP Saw this Failed H1 (or L2) but Due to confusion from 1 I did not take it (shame). good trade
3. Real body breaks TL =  bias turns to long, waiting for a PB entry.
4. Real body breaks TL =  bias turns to short., waiting for a RL entry.


SUMMARY
Another good read.  I felt I kept up to speed with price action well and recognized most opportunities and threats. It was just the uncertainty of 1 that made me sit out 2.  It's not that I didn't recognize the trade, it's that I was not sure whether it was yet an opportunity due to the indecisive TLB.  I now know I can use any part of the real-body on the other side of the TL as a break signal. 

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