Wednesday, October 5, 2016

No trade day great example

Great example of a no trade day (5 minute chart on the left and 15 minute chart on the right) remember each candle shows that block of time.

Both the ES and NQ have lots of resistance showing the high of yesterday and prior. That green line High means its tough to get through as there are more sellers than buyers. Fading those highs is risky as well as your are fighting the trend which is up on the day.

If the ES and NQ are not working together, or connected as one, I will not make the trade. Here the ES was ready to explode up, and would have taken the trade if the NQ was Above the highs of yesterday and did not have resistance.
Increase your success when the 2 are trading as one.



* You don't have to trade everyday. If the conditions don't feel right or if you're unsure of the current days trading environment then PASS on the trade. Missed money is better than lost money.  Day trading and the stock market is not a "war" that you must win at all cost. Trading should be fun, wait for only the good setups. Follow your rules, stick to your stops, and know that everyday the market presents a new chess board.

No comments:

Disclaimer

I DO NOT MAKE RECOMMENDATIONS TO BUY OR SELL SECURITIES - I JUST POST TRADES I MAKE OR FIT THE RULES OF MY TRADING PLAN ON A DAILY BASIS. DO YOUR OWN DUE DILIGENCE - YOU ARE RESPONSIBLE FOR YOUR TRADES, INVESTMENTS, AND DECISIONS! ALL CHARTS COURTESY OF TRADESTATION, SCHWAb & TD AMERITRADE