5m Entry/Exit
This thread is getting quiet. Lemme liven things up a bit.
Entered halfway through the 1st candle after the pattern. Exited at the next candle.
Circle shows entry. Exited at the last candle shown in the chart.
Unorthodox trade coming up
Entry: 2nd candle after the pattern
Exit: Last candle on the chart
Entry: Circled candle
Exit: Last candle on the chart
I know I have deviated from Tymen’s teaching. Just testing whether reversals work on mid BBs. It was pretty clear to me that PA was going to bounce off mid BB to go towards lower BB. The dark cloud cover and mid BB going downwards convinced me to take the trade.
We had a drawdown for a while before the trade went in our way. Ideally for a text book trade, the wick of the 3rd candle should be shorter than what we see here.
Regards,
Muthu.
Chennai.
India.
Let us know how the experiment goes. I recollect Tymen wanted this thread for all candle stick traders; not just for his method.
Regards,
Muthu.
Hi,
Well found bearish engulfer. It would be great if you mark the entry and exit points instead of circling the candles for the benefit of all of us.
Regards,
Muthu.
Hi Muthu
I would love to do that but i have no idea how to do that using MS Paint?
Muthu,
Do u mind explaining why u did not exit when the starc bands went against ur trade direction as per Tymen’s rules? (indicated within the rectangle)
Hi,
In this trade My entry was at 0.90510 at 0900 GMT. I set up my stoploss as well at 0.90710 as the risk reward looked very big and i did not want to fix the SL at 3 pips above the top of the candle. You are right about the starc band going against us at that point and if we had wanted an exit at that point was warranted. However, since the pattern itself was so convincing i decided to take the trade with 20 pip sl. Draw down was about 14 pips before the trade went our way gave a profit of about 30 dollars (EG has 1 pip = 1.5 dollars and i trade 1 pip per dollar)
Regards,
Muthu.
Chennai.
India.
I wanted to have the wick of the bear candle bit higher than this. However, Looked good enough to take it.
I also noticed another trade unfolding at the same time. Will post it after i am done with this. Now for 5m chart. The momentum looked very strong and i think i made an early exit as on the main chart the pattern already reached mid bb.
Main Chart - After Exit
Ok. I will post my next trade after this chart.
Regards,
Muthu.
Chennai.
India.
This trade was also unfolding almost at the same time the previous trade was happening. Here we have no wicks on both candles on the top. A slight deviation from text book.
