Minsk wrote: ↑01 Jul 2022, 16:42
immy wrote: ↑01 Jul 2022, 16:35
Minsk wrote: ↑01 Jul 2022, 15:41
@ Immy: you went to m5 to take the trade on GBP-USD. What pip size do take for SL/signal candle on the m5 timeframe?
if 1H = 20 pips, divide that by 12, you get like a 1pip SL, so you need a tiny signal candle.
Or is that not the right way to think about it?
My advice:
F*** M5.
Trade the Hourly Chart and Let it run towards targets but at least 3 to 5R should be your average. IF you catch a trade with a TIGHT SL then let it run and hit 5R. What is a tight Stop loss? well if the ADR of a pair is 100 and you found a stop loss of 15 or 10 pips, its a tight SL. It means that if you got in towards the start of the move and got in, you have a high probability of 5R winner if it goes in your way, even within the same day. GBPUSD, I had 15 SL, I was 100% sure that if is the DAY of moving, then 15 x 5 was possible. and it did. it.
Don't do H1/M5... feck it.
That is only for people who like to day trade. For those who are still lost in trading the shorter time frames. I can GUARANTEE you that you will make money on H1. Making money on M5 or M1 is VERY VERY VERY hard.
ps: what you wrote is not correct. IF you drop to M5 for a trade, you will then take a signal on the M5. that's it. I took the trade on limit sell order with a 15 SL.
the concept op D1 / H1 was more appealing to me actually. I don't have time for m5. Though I might catch a move sometimes.
All depends on where I work. Read: can I use my own laptop next to my work laptop. Most employers won't like it.
I work from home most of the time. At this project that's possible. If I move on to another project at another company, maybe not.
So larger tf suits me better.
I was reading the comments again and thought I have to clarify this.
You or anyone can go to M5 to get a, what we would call "a cuter" entry but that comes with one more layer of complexity.
When you drop to m5, you're not actually going for an M5 trade. No.
2022-07-02_10-24-39.jpg
You are essentially finding a spot to get in, when you've missed your entry on H1. That is what happened to me.
When I initially posted the chart, pointed out the Support and gave my reasons not to take it, I thought I was right. Trading is like this. I soon realised that I was wrong. I realised that I might not get an entry and this thing was going to blast off, off those H1 and Daily lows. It is a strong down trend in deed.
So I did look at M5, but in reality, I simply set a limit sell order off the Swing lows of the H1 (levels to the left).
My first limit sell order was set just below the H1 signal, which I missed. But I was impatient and lowered it to the swing low. I just did not want to miss it.
AS you can see from the charts my original entry, PO on The banana signal or the limit sell below the low of the banana, will also have worked.
2022-07-02_10-26-07.jpg
Luckily for me, this resulted in an even bigger trade since the signal was 25 pips and my entry was based on 1% risk at 15 pips.
Moreover, the question of, why was I looking for that 7R target, Why not 10 or 5, was this just an arbitrary number?
No, the reason was twofold. I was complacent on this account and realised I was running out of time. So I found the situation where I thought 7R was possible and took the trade to win the challenge in 1 Trade with already down 2.1% on the account. So, ye,s I was down 2.1% on the evaluation phase 2 of this account and I had not traded with focus on this account. So I made that my priority and actively started looking for good trades. Only 10 days were left.
Here is what I saw. I saw on the Daily chart that there were previous levels. I target those, and I thought that once price "jail breaks" then there would be nothing to stop it until it reaches those previous levels and the big institutions will begin to buy. And that is what happened.
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