Well, this weekend i am feeling a bit sick, so i can dedicate more time on the charts, and as started to analyse my open position on the EUR/AUD, i noticed something, that i have noticed many times, before, but never got around to actually make a final decision on.
Basically, my Part Time Trading Strategy consists of trading reactions of significant inflictions points on the D,W,M time frames, and a 3 SMA trading strategy on the above mentioned time frames, plus the 4H time frame.
In this current example, i entered 5 pips bellow the lowest point of the hammer, and the SL is located 5 pips above the 50% mark of the entire hammer.
Here is a screenshot.
When i zoomed in the 4H time frame, there is a bearish trend forming, and i can basically trail my Stop Loss just above the 50 SMA (Red Line) which is also located just above the tip of the retracement - which is perfect.
My question is not just about trailing my stop loss, but entries in general, i can find much better entries on the lower time frames, especially in the EUR/AUD case, since it was based on a monthly candle.
I really would appreciate you guys giving me some kind of a feedback regarding this?
The Hector De Ville part time trading strategy very clearly states that under no sircumstances should i look for entries in the smaller time frames, and to stick to the time frame where the formation was spotted.
Should i combine them as i see fit, should i leave things as they are??