Fading the edges of the market structure requires that you see the markets in a different way to the usual retail trader.
Strength in price movement towards a range boundary or an S/R level is not necessarily going to continue with strength following a breakout.
In the right context, this apparent strength can produce a nice trap at the edge of the market structure, providing breakout failure opportunity for anyone willing to fade the move back into the prior range.
Happy trading,
Lance Beggs
Price Bar Reversal Patterns – The Key Reversal
With hindsight, Tuesday’s Crude Oil session started off the first few hours as a narrow-range sideways low volume market. Note to self – I’ve often said I should avoid rollover day. One day I should listen to myself. In a ranging market, the best opportunity is usually found at the edges, in particular when it…
Last Friday at 9:28am, just two minutes before the Regular Trading Hours (RTH) Open, the market suddenly jumped. That’s right – it’s a trap RIGHT BEFORE the regular session open. See here if you missed the prior articles: https://yourtradingcoach.org/trading-process-and-strategy/traps-just-before-rth-open/ https://yourtradingcoach.org/trading-process-and-strategy/traps-just-before-rth-open-2/ https://yourtradingcoach.org/trading-process-and-strategy/traps-just-before-rth-open-3/ https://yourtradingcoach.org/trading-process-and-strategy/traps-just-before-rth-open-4/ Here is the general idea, in both bullish and bearish form: Well…
Why was this trade a winner? Conduct your analysis and consider why the trade was a winner. Then scroll down towards the bottom of this page to compare your answer with mine. Why Was This Trade a Winner? (ctd) The reason why this trade was a winner is because it was aligned with orderflow….
One of the essential breakthroughs we need to make in our journey involves learning to think in probabilities. It’s something that all traders say they understand. But, for most new traders, their behaviour and decision-making shows that it has not been accepted. This came to mind when I received the following email question: –…
For those day traders who might be stuck in a cycle of continual failure… what if you narrowed your focus? Some days there might be no opportunity. That’s fine. Other days there might only be one trade opportunity. Again that is fine. The idea is that this is not necessarily a permanent change to your…
