Not only does it allow you to build discretion by evaluating your trades for the day but it also allows you to be ahead of the market, taking any "reacting in the moment" out of your trading.
For anyone who trades formations, we have a couple of options here.
IF Market pushes up, THEN we have a formation at 1.1429
IF market pushes down, THEN we have a formation at 1.1171
We will be looking a targets and stops in the live room this morning.
Anyway, see you in the room this morning at 8am British Time!
I missed both because currently I'm using the 2H chart as my CTS trading timeframe, and the 1H chart for Advanced patterns.
If I could ask another question - do you have a rule regarding when to trade patterns on a higher timeframe, or to use double ATR? I'm 90% through backtesting my different pairs, and only identified this question during the last two weeks, so haven't built it into the testing:(
Currently I'm using a 100pip target to T1 as a cutoff for the 1H chart, anything above I have to use 2H chart, or 2ATR, whichever is bigger, for forward testing. Any advise would be appreciated.
Thanks, and happy trading!
I'm trying to create a rule when to use the 2H chart as opposed to the 1H chart, with regards to determining my stop loss. Obviously higher timeframes get higher stop losses, so I'm asking whether you have a rule that says (for example): IF my target 1 is 100 pips or bigger, THEN I will use a 2x ATR for my stop loss, or I will use the 2H chart (which will have a higher ATR).
Thanks again for your willingness to help. I really appreciate it!