I recently posted the following image on the YourTradingCoach Facebook page. For the sake of this article, ignore the text in the yellow box. Actually… don't ignore it… put it aside for now but do think about it later. It's incredibly important and may well reveal to you the real essence of trading psychology. But…
A great way to learn to read price action is to review your historical price charts, with a focus on the price action at key structural locations. Find and review anything which fits these categories. tests of significant levels breaks of significant levels traps transitions between trends and ranges transitions from volatility contraction to expansion…
Here's a great email question from a reader: Question: I'd like to get your opinion about a question I saw on a forum. To be honest I wonder if there is a proper answer but nevertheless I think this behaviour occurs often. It is a form of strong rejection at an extreme of a range…
Email Question: I'm not quite sure how to manage this situation. My initial thoughts are that shorts will enter on a break below the channel, and that they will realize that they are wrong if price breaks above the last candle. On the other hand, there is weakness in the uptrend which would set my…
A common complaint I hear from traders is "the broker ran my stop!" Here's the thing though… it's usually not your broker. It's your failure to properly recognise the real nature of price movement. The nature of the markets is one of tests, retests and probes of prior levels. If you've developed a belief about…
Even when markets are closed there is great potential to improve as a trader. Here are a few options, aside from the obvious which is reading trading books (especially this one). Market Replay – Missed Sessions We discussed market replay previously (see here). This is by far the greatest tool available to you for after…
In last week's article we saw a buy in Crude Oil as it tested support. Check out the article here if you missed it. Today we examine a very similar setup in the emini Russell. In this session I was trading with the following timeframe combinations: HTF 5 min, TTF 1 min, LTF 15 sec…
Expect breakeven trades… it's just part of the game! Expect many small losses… it's just part of the game! Expect many small wins… it's just part of the game!
From last weeks article (Return to First Principles)… You must aim to BUY at areas where you know others will buy after you, because their buying will create the net orderflow or bullish pressure to drive prices higher, allowing you opportunity to profit. You must aim to SELL at areas where you know others will…
I just want to take the opportunity here to remind those on higher timeframes that almost everything I write should be thought of as largely timeframe independent. Most of the examples I provide will come from very low timeframe charts. Why? Because that’s what I trade! But while the chart images I show in newsletter…
