We like the fact that the Remek! System has a strong AUTO mode. And while indicators may come handy (we have our favourites), nothing beats being able to read the real clues the market gives away about itself all the time. To trade based on that understanding can even bring back the fun into our job :).
We're talking about real clues, because there are many false ones, and many intentionally so. We all know that.
So here are our notes for one of our trades: the 30 minute story of a trend reversal on the 6E. (We did the long, and we missed most of the short.). While the chart looks busy, it's not difficult to read as events unfold. (Note: we document all our trades similar to this, a practice we highly recommend.)
Follow the small chart, and refer to the same points on the larger charts as it all comes together.
- First, there are several minutes between the clues, so we have time to think and breathe.
- Second, cash is a valid position. Not sure? Do not take the trade. And calculate your risk with our unique tool. And while you're at it, see this too.
- The good news is, our job couldn't be simpler: we look for higher highs and lower lows. Price is proof.
- As we do this thinking process, we ask questions: do I see proof (=strong indication) that the longs/shorts are done? do I see proof (=strong indication) that somebody with bigger pockets is stepping in? etc.
When we think we understand the unfolding events, we act promptly*, 'cause when Elvis leaves the building, he leaves quick: the window of opportunity (at our risk level anyway) is fleeting.
Have fun studying the chart. We would love to hear your comments and insights on this, or other, trading processes.
One more thing: disciplined means "disciplined, all the time". Thank you for that, Adam.
* using our LONG, SHORT or AUTO modes with our EXIT protecting us at all times