As you might have guessed by some of my posts I have been reading through various systems and experimenting with SMA/EMA, stochs, etc.
After one looks for a possible trade and confirm with their indicators and actually place the trade, what does one do until they close the trade or their stop loss triggers?
Especially if you are trading off a longer time frame, (sometimes shorter tf as well) 30min when a trade could be on for several hours or more, what do you do, sit and watch the charts for several hours or do you set the trade and forget.
From the systems and methods I have read no one says.
I know one has to be patient.
Maybe what one does in between is not important.
A short time ago I entered a long trade on GBP/CHF @ 1.6522, with sl @ 1.6480, tp @ 1.6550.
My EMAs had crossed over (short period ema heading over and above the longer ema), stochs heading up, RSI above 50 and so on.
Now stochs are on the edge of being overbought, CCI and RSI heading down.
Normal jitters for the beginner?
That’s a good question. The more I read, the more it’s recommended to manage your trade and get out if the trade is not going the way you expected, well before your stop loss. Managing the trade ranks higher than actually putting the trade on.
Say your trading the 4h, since most likely your gonna use an indicator based off of a 4h close for confirmation to close the trade you’d only need to check back every 4 hours, on 1 hours id check back more frequently. All depends what kind of trades your doing really.
It’s important for you to get your own system that works for you… easier said than done i’ve still not got mine sorted. Decide what times you will be watching. i can’t spend all day looking at trades i’ve placed it would drive me crazy! i do most of my work from a four hour chart and check in the morning at lunch and after 5. keeps my emotions down as well that way.
Tony
TP triggered and took 28 pips.
Apart from reading (books, forums), trading, practicing on demo, forex and trading is always on my mind, even when I’m not near computer / news etc!