In Jupiter Signals, we look for divergence, where price goes one direction, and whichever indicator we use, another. (Divergence or Convergence). Divergence trading is very simple in technique, and application. The only potential issue is - the market. Will it take this opportunity to rest and retrace, or will it decide to reverse the trend.......or in some cases, decide that the trend is not yet over and continue down.
Back to the simplicity of Divergence trading...Do you wait for the RSI or Stochastics to break above 20, or below 80 for your entry? Whatever signal it is, that's your "get in now" entry signal.
What I really like about technical trading is you can add to that. There are other technical trading techniques that lend their own to your own reason for entering a trade.
Yesterday was just such a day.
I'll let the fact that each picture tells its own story do just that, but also notice how the 1 horu chart is ALSO supported by the SAME technicals on the 4hour as well!
What the heck was I doing at this time to miss such an obvious entry @.@
(Actually I was being stubborn and wanted a true test of the .00 level. You can see we missed it by 5 or 6 pips. Stubbron, in that entries like this have missed me by because I have this thing about 00 flat!)
Although we had no previous tests of the Resistance to be Support, it is a common scenario that the very first retest of such S/R interchanging roles results in a bounce at least. Sometimes we can get caught up in the "perfect" entry, and miss a good trade. Those 5 or 6 extra pips cost me 100 :) But after all that, No trade is a winning trade! (Cause we didn't lose did we?! :) )
Take care in this cold/flu period of the year.