Sunday, March 28, 2010

Trading Plan: Important Entry Rules





  • Know in advance where you move you stop to breakeven, this way you will not enter short trades run into support 1 sec. after entry. As all short entries are either breakdowns or pullbacks with enough room to the last support level, so there is always time and space to place a breakeven stop before price reaches the support level
  • Continutation Trades can be made on pullbacks to the moving average line
  • Continuation of a long trade can be made above the price that stopped you out
  • Dont enter on inside bars but with a sell stop order below a red bar that has a higher high than previous bar
  • On countertrend trades wait till there is a red dot before looking for red bars and trendline break to short
  • Waiting for a close above a trendline to go long
  • Keeping the Stop below the blue entry bar
  • If the high of the last blue bar is too far away after a trendline break, wait for a pullback or for a new blue bar.
  • Trail stop on trendline

No comments:

Post a Comment