Not proud of my second trade either.
I was just lucky and exited it. Price might even go down from here but that only means that I entered way earlier than I should have.
In another day like this, I could easily be -4R so I’d better stop trading and come back later or on Monday to avoid damaging my monthly results.
It was 3 minutes passed 10AM and the syndrome of not having taken any trades kicked in. That’s probably the best explanation of this trade. Yes, I had marked a trendline and there was a possible resistance at the M5 moving average but that was it. Price was coming off the Hourly Bear channel that couldn’t brake so it was pretty obvious that it was going to go further up before re-testing the channel.
Even though the threath of breaking the bear channel was there, a buy trade at the channel had higher probability of success than mine.
I was in Bull mindset at this point, due to the confluence of the Bear Channel, the 11600 level and the 61 FibCon, seen easiest on the M15 timeframe. Note also the many wicky and ‘uncertain’ candles before the trade, so even though there was a small downtrend, I thought it looked like price might start to go the other way.
Also, falling prey to ‘Hungry Bear Syndrome’ as I did last week!
Did you catch yourself feeling like you wanted a trade before you took it, or you realised after the fact that was the reason you took the trade?
Excellent reasoning Joel, I liked the H1 Bear Channel as a place to buy had I continued trading for the reasons you point out.
Based on the idea that “What can’t go down must go up and what can’t go up must come down” then the perfect touches on the H1 Bear Channel suggested price gave up – for now – and moved up.
If I’d have left my last trade alone which was at the 11600 level the 2R would have come in putting me in profit for the day.
‘Hungry Bear Syndrome’
I like it 🙂 it’s something that we have to manage, hunger is a powerful thing.