A journey of an Aspiring trader to become a successful trader using Price action method or Decision point method
30 November 2016
28 November 2016
Two Wings of Price Action Trading
For a bird to fly, both the wings are equally important. Similarly for a trader to succeed, especially for a Price action trader, he also need two wings.
1. Knowledge about setups
The first wing is knowledge about patterns or setups. This is very important to identify a proper location to enter into a trade. But it is not sufficient, we cannot able to successfully trade only with setups. Like a bird cannot fly with one wing. During starting of my trading, sometimes even now, I was trying to fly with one wing. That is entering into the trade only based on setup. But most of the time i used to fall.
Then I realized the importance of the second wing. So the other wing of trading is understanding what market is doing.
2. Understanding market flow
Understanding what market is doing is very critical. This is all about establishing the market bias (Long, short or range) in our mind and align our trade strategy with that bias. This process will be starting even before the market begins. Based on previous days market we have to establish big picture and based on that we need to establish the bias.
But here also I faced one danger. The bias, which we established in our mind should be as dynamic as possible. This is where the concentration plays very important. Market will punish us, if we are not able to concentrate and update our bias based on the clues what market gives.
But to master this, I need lot of practice and screen time. Basically i am in the process of establishing that. Hope to establish this before my exhaust. Please update me if my perception is wrong.
1. Knowledge about setups
The first wing is knowledge about patterns or setups. This is very important to identify a proper location to enter into a trade. But it is not sufficient, we cannot able to successfully trade only with setups. Like a bird cannot fly with one wing. During starting of my trading, sometimes even now, I was trying to fly with one wing. That is entering into the trade only based on setup. But most of the time i used to fall.
Then I realized the importance of the second wing. So the other wing of trading is understanding what market is doing.
2. Understanding market flow
Understanding what market is doing is very critical. This is all about establishing the market bias (Long, short or range) in our mind and align our trade strategy with that bias. This process will be starting even before the market begins. Based on previous days market we have to establish big picture and based on that we need to establish the bias.
But here also I faced one danger. The bias, which we established in our mind should be as dynamic as possible. This is where the concentration plays very important. Market will punish us, if we are not able to concentrate and update our bias based on the clues what market gives.
But to master this, I need lot of practice and screen time. Basically i am in the process of establishing that. Hope to establish this before my exhaust. Please update me if my perception is wrong.
28-11-06
- 2 trades. 1 scratched 1 with some gain
- Around 1.30 pm missed BPB of RL. Because of this, greed entered into my mind. Because of which, I took a wrong trade without valid setup. then realised and scrached.
- Second trade gave some gain.
- I should not be carried away by past result. Always have to keep the mind clean.
25 November 2016
24 November 2016
22 November 2016
21 November 2016
21-11-16
- Took 2 trades, both scratched.
- After some failures, there was some reluctant to enter into trade. I think the fear of failure was building up. Need to consciously manage that aspect.
- BOF of RH was missed because of this. Finally entered at break out of range which ended with scratch trade.
- Feeling the importance of screen time.
18 November 2016
17 November 2016
16 November 2016
15 November 2016
15-11-16
- No trade on Nifty
- Nearly till end of the day, market was in range mode.
- At the end BPB of RL was missed.
11 November 2016
10 November 2016
08 November 2016
07 November 2016
04 November 2016
02 November 2016
01 November 2016
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