I look at the target distance. The initial stop is half this distance. Get the stop to BE and get another trade on again half the distance for the stop as the remaining target is.

Trading the Cable swings via averages

Trying to trade prior to the London open is a waste of time it is most often just a choppy situation. image

Trading the Cable swings via averages

Usually the hook is where I take a second entry but if we miss the first one then we have no choice but to take the hook as a first and get the second on as it crosses the EMA south again. The point is we want to get as much of the move to pay our ...

Trading the Cable swings via averages

We are trading below the average, so we are short until the bulls cross and find support then we start thinking long. Even a bull div below the average should only be regarded as a scalp until the market proves differently.

Trading the Cable swings via averages

This is within 5 pips of hitting the target.... Good enough for me =60 pips. Here was the setup... image Look at the 1-hour circle. On both the 5 min and 1 min they are screaming short. I transfer the 1-hour target level to the 5 min chart, so I ...

Trading the Cable swings via averages

Not at all. I always check all the charts up to the monthly. This is part of the preparation process prior to trading. image You are forgetting the first principles of money management. 1) Never add to a losing trade. 2) Always strictly limit the ...

Trading the Cable swings via averages

Another nice one...

Trading the Cable swings via averages

Yes and yes.

Trading the Cable swings via averages

Couple of nice trades today. I just drew them up for you all to see my way of thinking on the 5 min chart. image I have two boxes one set at 40 pips for the target and the other set at 20 pips for the stop. Shortly after the 108 I see an RSI div ...

Trading the Cable swings via averages

The trick is not in the divergence itself but rather where it occurs. Look at the 1 hour chart below where a div firms at the green average swing low level and is in bullish divergence. This is a ZOO point where we expect something to happen so drop ...

Trading the Cable swings via averages

When we apply an overlay on the RSI in this case a 5 on top of a 14 we ask it to apply to the previous indicators data so they have a relationship.

Trading the Cable swings via averages

Well, are we close to the bottom or is the next level now a target.

Trading the Cable swings via averages

Hi tbyen. I have had a bit of a look and find it is quite rare to find the above problem on the RSI (i.e., cutting through pivots) so rare in fact I wouldn't worry about it. Remember I am looking at the pivots price is attacking relative to the EMA. ...

Trading the Cable swings via averages

That very well may be the case but looking for these for me does not include using the RSI. Each side of the EMA is good enough for me.

Trading the Cable swings via averages

Once again, we see price takes out the ABCD and then goes on to test the swing low averages. I would now be asking the question. If the average makes the LL then will price push on down to test the next level?

Trading the Cable swings via averages

Well that was a hoot on the 1 hour. Price failed to make D1 and turned to go all the way to D. Now the question is will it break D and test the average/s above. image That little black rectangle represents 40 pips of movement.

Trading the Cable swings via averages

Yes always take the inference from a higher time frame preferable at a ZOO point then look to the lower time frame for the entry.

Trading the Cable swings via averages

Sorry I have no idea what a fake divergence is. It is either in divergence or it isn't.

Trading the Cable swings via averages

Market is pretty miserable now, will look in later.

Trading the Cable swings via averages

Bugger that would have done me for the day.

Trading the Cable swings via averages