I bought my inside support zone from the prep this morning with moderate confirmation. The trade took a bit of heat on the entry.
I was comfortable doing this because of my constricting tight range premise. The market will often push against the longs at a support zone and attempt to get them out of the market prior to the move up.
Some ask why I do not wait of a better long entry price. The reason is that the price will not always come all the way back down. As a trader, I have to accept the risk. I only need to win this trade 3/10 times to be profitable.
I will take 1/2 the position off at around 973 and look to exit the other around 975.50 if I get confirmation.
This is a good example of making a projection, betting on it, and having confidence to stick with it when it was not looking so good.
You can see my recorder is on so maybe we can review this later in real time video.
It was a good call today for sure, I think the locals call that premise gunning for stops.
ReplyDeleteYour targets were right on.
Thanks Tom. Yes. My long got pushed almost to my limit for risk. This is a very common event at a support zone. Major difference between my trading now and 1 year ago is the ability to understand the mechanics of what is happening and having the confidence to allow for a bit more room when needed.
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