by eric-pal » Fri Jan 06, 2023 6:13 pm
Thank you for the detail.
Here is the short answer:
You are taking the long road home (as supertramp would say).
1. The tick lower isn't meant as a trap. Traps make people feel superior. . . haha, I got you. It makes some feel smart. The 1 tick lower firmly establishes an impulse move from the beginning. It clearly establishes where one is wrong, 1 tick below the bar, and it quickly identifies the higher probability situations from everything else.
2. Work with perfect signal bars. . . Watch. Watch the live market and use the vision drills. Most are "trying to trade". Watching is trading. You want to see how prices create these bars.
3. In attempting to trade, one is taking "action" so one often feels better. . I'm trading I'm making progress. . . action, action, action. The issues becomes a lot of the action is wasted action because it isn't built on a strong foundation.
Watching prices move, and being comfortable with simply watching, you begin to "see beyond the bars". We are not pattern traders and are looking for specific effects. Watching allows one to begin to see what prints on the page at the end of the day and relate to how the market moved. It isn't a linear process.
4. Never ever use a 2 tick signal bar unless perhaps it is a 4 point bar. This negates a very key element. Use perfect to begin with. After one grows comfortable with "doing a lot of nothing", which is real mental work, and can take the appropriate signals, then incorporate 1 tick bars. There is an effect that you need to become familiar with.
Traps are appealing for another reason, often the "risk" is small. Small risk, allows one to say, "Well I won't lose too much". That mindset is prohibitive and dangerous. This is about playing an edge, when appropriate. Losing is an incapacitating mindset. Does it meet the trade rules: y/n, is my risk sized appropriately: y/n, take the trade. Lecture 7 (a bit down the road).
Please review the initial homework assignments and the specific criteria. It is detailed because it is the quickest shortcut to find the underlying meaning in "the bars" in relation to underlying edge characteristics (which is built up in the 4s section on static).
Hopefully helpful & good trades to you!
Thank you for the detail.
Here is the short answer:
You are taking the long road home (as supertramp would say).
1. The tick lower isn't meant as a trap. Traps make people feel superior. . . haha, I got you. It makes some feel smart. The 1 tick lower firmly establishes an impulse move from the beginning. It clearly establishes where one is wrong, 1 tick below the bar, and it quickly identifies the higher probability situations from everything else.
2. Work with perfect signal bars. . . Watch. Watch the live market and use the vision drills. Most are "trying to trade". Watching is trading. You want to see how prices create these bars.
3. In attempting to trade, one is taking "action" so one often feels better. . I'm trading I'm making progress. . . action, action, action. The issues becomes a lot of the action is wasted action because it isn't built on a strong foundation.
Watching prices move, and being comfortable with simply watching, you begin to "see beyond the bars". We are not pattern traders and are looking for specific effects. Watching allows one to begin to see what prints on the page at the end of the day and relate to how the market moved. It isn't a linear process.
4. Never ever use a 2 tick signal bar unless perhaps it is a 4 point bar. This negates a very key element. Use perfect to begin with. After one grows comfortable with "doing a lot of nothing", which is real mental work, and can take the appropriate signals, then incorporate 1 tick bars. There is an effect that you need to become familiar with.
Traps are appealing for another reason, often the "risk" is small. Small risk, allows one to say, "Well I won't lose too much". That mindset is prohibitive and dangerous. This is about playing an edge, when appropriate. Losing is an incapacitating mindset. Does it meet the trade rules: y/n, is my risk sized appropriately: y/n, take the trade. Lecture 7 (a bit down the road).
Please review the initial homework assignments and the specific criteria. It is detailed because it is the quickest shortcut to find the underlying meaning in "the bars" in relation to underlying edge characteristics (which is built up in the 4s section on static).
Hopefully helpful & good trades to you!