Sunday, July 11, 2010

Separate Post Of Trading Plan

********REVISED

1. Enter wholesale and exit retail.

2. Look for what most retail traders are doing and do the opposite.

3. Play like the aggressor. Play as if you are trapping others and exit after the squeeze or push.

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1. Wait for price to build formation prior to entering a reversal at support or resistance. This can be a retest fail, bounce and shallow inside pull back, or high volume extension with capitulation.

2. Look to hit all continuations in the direction of a the premise. The first pullback can be bid or offered into. Later sequence pull backs need to be a higher/low or lower/high retest fail.

3. Anticipate all zones to hold upon first extension. Anticipate a zone to fail and extend in the event of an extension retest. Buy or sell unconditionally once an extension retest has failed and price has crossed back into a zone after being stopped out.

4. Unconditionally lock up open equity at 3 or 4 points and force a re entry if stopped out of the trade. Do not re enter close to a potential cover zone without a pull back.

5. Do not blindly hold open equity that will require a zone to break in order for the hold to work. Take profits and re enter.

6. Do not execute mid range without a contraction break out or clear pattern entry supporting premise.

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