DislikedHi Bull,
Would you then place a limit sell at reversal? I'm not clear on this.I though you go long on green?
ThanksIgnored
That did come out kind of confusing. What i meant by that post was that we would not enter into Another Short trade, until a long signal has been shown.
For example:
Monday, Price is below 200sma, AO and Stoch are red, we take a short position on GBP/USD.
Tuesday, AO Changes to Green, so we exit the trade.
Wednesday AO Changes back to Red, however, stochastic did not ever turn green (It remained red the entire time AO was Green), so we would NOT take this short entry.
Thursday, both AO and Stoch turn Green, but the price is below the 200SMA, so that is not a long signal, however, it now allows us to take the next short entry.
Friday, AO and Stoch turn RED, and the price is below the 200sma, so we would now enter a short trade.
(Please note these indicators will not move this fast, just naming the days for the sake of the example)
What i'm trying to say, is that we would not take another short trade until AO and Stoch have shown a long signal.
That sounds confusing as i'm typing it out, let me know if that doesn't clear it up.
Thanks,
Bull101