Today was a day which happens when you look at the 1-min chart too much and over-trade. Especially in an environment that taunts you to over-trade, forcing you to learn the hard way if you can't get it through your thick head.
Had I just stepped back and got a clearer perspective I could have easily rode out a trade that work against me originally, only to sail upwards throughout the remainder of the day.
Starting off, price was coming off of a momentum push up, so I was watching how deeply price would retrace before buying started in (price only retraced slightly, giving a sign that long positions were staying long, anticipating higher prices, like maybe that overhead 20-day MA).
So, initially I was looking short at least down to the first level of support.I started off with a decent short entry and exitWhat followed was an utter mess. Don't ask what I was doing keeping really tight stops on a stock with a >$1 average range.
Sliced and diced while watching a 1-min chart.
The obvious that I missed, and all I really needed to do for the day (aside from maybe add to an initial long position):
A classic bottoming pattern (Phoenix) that I actually got long on, but stopped myself out!!!
The setups I include on this blog are used in conjunction with the 3/10macd and the criteria I ascribe to it as a way to alert me to an existing condition of price. The key concept to take away from this blog is that I try to anticipate what will happen on the higher time frame by using a faster time frame to trigger the trade setup. I do not trade a "system" I use two indicators to clue me in to price conditions. Please read the Disclaimer located in the sidebar of this site. I can be contacted via email at firstname.lastname@example.org
I am always open to questions, comments, or suggestions on how to improve this blog.