Consolidation market levels often fail unpredictably
Strong trend market levels often work well
Common mistake is to get conditioned to one market state, misplaying when conditions roll over
Define a quantifiable way to label market state of your trading scope and levels
Strong trend market levels often work well
Common mistake is to get conditioned to one market state, misplaying when conditions roll over
Define a quantifiable way to label market state of your trading scope and levels
Strong trend market levels are established through real (skewed) supply and demand
Consolidation market levels are sometimes the result of liquidity engineering and complex risk adjusting algorithms, and you guess it, it makes them unpredictable
Consolidation market levels are sometimes the result of liquidity engineering and complex risk adjusting algorithms, and you guess it, it makes them unpredictable
In other words: in trending markets, be aggressive on retests, levels work more often
In consolidating markets, figure out where people are getting trapped and act when they confirm wrong as levels didnât work the way they thought
In consolidating markets, figure out where people are getting trapped and act when they confirm wrong as levels didnât work the way they thought
In trends, side with the trend
In consolidations, side against the trapped and survive/compound/sideline until the next trend
In consolidations, side against the trapped and survive/compound/sideline until the next trend
If you suck at trading consolidating markets, at least try to nail when it trends
Or the other way around of course
If you get stuck getting chopped up in ranges and then are too scared to trust levels when the market rallies, you are likely to get cleaned during both
Or the other way around of course
If you get stuck getting chopped up in ranges and then are too scared to trust levels when the market rallies, you are likely to get cleaned during both