During my vacation, I spotted this weekly bearish engulfing and decided to short the pullback. I initiated this trade with a buy order whose level I identified on the Hourly charts. Price was choppy for a few days and printed an inside week candle, so I was prepared for price to move against me at the start of the week. Once I saw that we broke the inside week high and traded passed the open of the engulfing candle, I decided to cut out of the trade. I would prefer not to hold on and pre-empt the inside week failure as pre-empting these inside candle failures does not tend to work out for me. Also, the location of the engulfing is not optimal in my opinion.
-0.3R on this one
I think I'm getting better at cutting my losers short. There have been a few trade ideas that I've scratched immediately this week. Being more selective is definitely helping me protect my capital.
-0.3R on this one
I think I'm getting better at cutting my losers short. There have been a few trade ideas that I've scratched immediately this week. Being more selective is definitely helping me protect my capital.