LOL okay well first let me start out by saying that I am a newb who spends all day looking at charts and reading forums.
I’ve tried countless strategies that I’ve read about, for the most part, none have worked for me. Lately I’ve been making 6-7 trades a day netting in 40-50 pips profit. Although I have indicators on the screen, I rarely give them a second glance as I place orders based on gut feeling.
In the past month, this method has been somewhat useful, whenever I lose money, I go back and find out why, where, when, how, and what caused me to lose.
My question is, how do I break out of this habit?
Im still testing new strategies daily, but nothing beats my tried and true point and click method.
interesting, do you give much thought to candle patterns? Some people trade without indicators, by just using the information from price action itself.
Yeah, I pay attention to support and resistence. I draw two parallel horizontal lines across the chart. Bottom line, buy, top line, sell. I forgot to add that part in my previous post.
example, I was done trading for the day but the trend had just bounced off of the resistence, i put in a sell order right before the price plummeted, would have caught 39 pips but because of computer lag i walked away with 32
Im calling it a night (i stay awake all night and sleep in the day)
9 trades today for 87.24 pips profit with not even a glance at any indicators.
support and resistence lines only… i feel like i should be doing so much more though
I really like your simple strategy paying attention to the support and resistance, that requires you to be very careful detailing the screen and the charts all the time but it�s a good way of learning how useful are these tools. Are you using any indicator to complement?
Support and resistance is the simplest and arguably the most consistently effective system in all market conditions; don’t think you’re “not doing enough”.
Check out nobrainertrades dot com, and the thread “No Brainer Trades” at Forex Factory. They had a 90% success rate over several months, with tight (40 pips max) stop losses, greater than 1:1 RR, and sometimes as little as 1 pip drawdown. No indicators, nothing but support and resistance on 4hr charts.
Keep trading and keep learning and evolving. It’s good that you go back and look at mistakes. I’ve found by going back over my trader journal and being honest with myself about what was my fault through silly actions I quickly clamp down on trader generated mistakes.
The main thing you should probably learn is how to spot a larger trend and, even if you are scalping, trade with a bias in that direction.
I look for trends on the hourly chart and when a trend forms I go for between 30-100 or so pips in that direction, when things look like they are in a good position on the smaller time frames.
You’d be surprised how much better any strategy you try works, if you simply find the the overall trend first and trade with bias towards that.
nope, no indicators, only parallel lines that I draw. That doesn’t mean I’m not open to indicators though. Actually I would like an indicator that could give reassurance and/or a second opinion when I’m about to place an order.
