Our last article discussed one of the times when I show no patience at the open. One of the times when I'm keen to get a trade on as soon as I can.
No patience. No delays. It's game on!
You can see it here if you missed it – http://yourtradingcoach.com/trading-process-and-strategy/traps-just-before-rth-open/
That article dealt with a trap in the market structure JUST BEFORE the RTH open. (RTH = Regular Trading Hours)
Today let's look at a situation very closely related to that. It's a trap IMMEDIATELY AFTER the RTH open. It's another situation in which I don't wait for the market to establish a clear trend structure.
Here was the concept from last week:
But what if the open comes… and the market hasn't provided that trap?
If it's a good level, I prepare myself for for a trap anyway in the opening few price bars. If the market is nice enough to offer that, I'll be ready to get in on the first available opportunity.
Let's look at an example…
Personal preference – I don't just hit BUY MARKET. I prefer to find a way to better control risk through certain TTF/LTF patterns, as outlined in the YTC Price Action Trader.
If I miss the move, so be it. Let it go. It wasn't mine to catch.
But otherwise, remain patient and watch for a retest of the range highs.
If ever in doubt about the structure of the market, don't rush to trade. There is no hurry. Let the market open and complete the first swing or two. Let the structure develop and then trade once you have some clarity.
But sometimes, when the pre-market sets up just right, there will be opportunity available within that opening sequence.
One of my favourites is a trap in the market structure, setting up just before, or just after the market open.
Keep an eye out for this concept, in your market and your timeframes.