Here is my first post on entries.
The below chart shows a traditional entry with an evening star highlighted in light blue - there are 3 candles. The 4th candle is entered upon when it appears, the entry being at the bottom of the 3rd candle.
However, a good entry tactic would be to place the entry at the mid point of the 3rd candle. This often collects a few extra pips - enough to pay for your commission.
In the below chart this would not work so what you could do is to cut your trade lots in half. Set half of your trade at the bottom of the 3rd candle and half at the mid point of the 3rd candle.
Very often this makes for an excellent entry.
You can also choose to set all your lots at the mid point.
In an even better tactic, I will show how to set the best possible entries using the Keltner channel in the next few posts.
By
tymen1 at 2008-03-10