Trading Price Action

Price Action Trading Prices

chart1 - chart1-120t:  the trade journal is going to be a recap of trading during this period AND the chatroom discussion regarding the trade setups AND prices used - prices that were part of the price action preceding the given trade.

120t green dot1:  this trade was a pmd failure through the blue line AFTER the 2 yellow square double hold - base addon setup. 

120t red dot - 52t red circle:  from the buy i 'learned' the blue line - the sell is a break2 with mex flow of that line - into-through the break1 low AND the left yellow lines WHICH has breakout potential as a left-right triple break.

the trade was 120t base as described BUT there was 52t lag - trading into-through the 2 yellow squares after the right side channel break - gives a left-right failure which 'allowed' the trade against the 52t lag for me.  this wouldn't be the case IF the setup was nothing more than a pivot trade AND/OR right into a left side price res:sup line now as support - for instance IF i had sold the 52t yellow dot right into the blue line break1.

52t green dot - 120t green circle:  from the sell i 'learned' the yellow line triple break WHICH occurred right side after a pause between the line-the left blue square - i now also 'know' the blue square from this price action.  triple failure break continuation to a swing lower low THEN retrace back through the yellow-blue line AND a test-reject of the blue square - i held my trailing short AND i also 'learned' that there is a double top at the 2 blue squares.

the green dot buy was a left-right price specific failure break - i call it price specific because of the clarity of the price from previous price action AND synched with the 2 blue squares - so when i take the buy it is also traded into-through the triple break AND with left side room-diagonal breakout potential above the blue squares resistance.

NOTE:  you can see from the green circle that the buy was done before the 120t initial reverse.  our method does NOT filter all fast chart setups by a slow chart mode - AND with a left-right failure break-triple break combination as described - the 120t mode was no issue.

120t green dot2:  again from the red dot sell i 'learned' another price - the blue square lower high into the red dot sell.  this is now setup as a rsr-mpf addon [right side reject-matched price failure] - the matched price being the left blue square-blue line AND the right side reject being the left blue line-right side blue square - AND WITH room into-through the left side high.

this period being discussed really highlights our price based trading method of trading right setup failure breaks of left-right prices AND how those become determined from prices that are part of-what i have called 'learned'  from previous price action.  sure i might take some pivot trades OR right side only base setups - BUT this is the kind of thing that i am always looking for to trade regardless of other things that i may try --- what do you think of using this trade journal as the preface to my new price trading book?