Saturday, June 9, 2012

Trading Plan: When to enter in a squeeze and when to wait till its off




Notice how the risk (distance to low of the day) first had to be low on the S+P before the uptrend started on the other indicies:



But even after a squeeze is off its still needed to wait till also the S+P is long again:


No trend change:


Notice: Three red boxes are more powerful on the fdax than one
so its more saver to enter the weakest market short:


Resistance areas are still important when using the Squeeze entry method:


One red box is required for trend continuation but a higher cyan box for a reversal to the long side:


the squeeze reversal works best in DP areas:


for re-entry after squeeze its wise to wait for 50% levels:
and to wait till the range of a cyan box is below 20 ticks (risk)



In any case the volatility has to below to enter on a low risk (< 20 ticks) box:









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