7.7Pips Spread Also gaped up nearly 50 pips that’s taken a lot of Shorts stop losses out…! he he
The white line is ask Grey line is bid : if i Buy (go long) it will open my trade where the white line is then i have to wait for grey line to go up past it to start making profit.
If i sell (go short) it opens my trade on the Grey line then i have to wait for white line to come down past it to start making profit.
10 points = 1PIP
so if the spread is say usually 0.2 - 0.3 pips i dont have to wait as long as well as paying less spread to broker.
Since you know how to manage money and good in psychology, I believe you’ll do good in live once you acquired the theoretical knowledge including practical stuffs like charts and indicators and you applied these to your trading practice well. Welcome to Babypips.
Bulls tried to push price up but bears pushed it back down. Looking at candle before it “Thursdays candle” there was a big push up then Fridays candle the pin bar tried to push up but bears kept it down . Read a few price action articles.
I think that there’s lots of different ways to trade Indicators, price action, supply demand, chart patterns etc… But its a combination of a few things that will be best and being able to manage your money and risk properly when you take the trades.
You would not just see a pin bar and take a trade, you would look for some kind of confirmation for example the red and blue lines i put at top and bottom of pin bar if price breaks through then you could have gone long or if it broke the blue gone short but that’s pretty basic .
Or let’s say you use the macd indicator with the rsi indicator and take your trades when macd crosses and rsi meets a certain criteria that’s fine if it wins more times that loses. If you use say a R:R ratio of 1/3 so you risk £10 to make £30 then you could be wrong 7 times and right 3 times and still profit.
Really the best way is scan the markets for potential low risk high probability trades in which i mean a few different things are all lining up so say you have seen price is at a support / resistance area at a certain fibo level and momentum is starting to pick up and breaks the s/r level also your macd just crossed.
I’m not saying use these exactly but just as an idea of what I’m trying to say. Or you could keep it simple and just trade breakouts of certain areas.
