My Trading Edge
The sharing of my setups is not to teach anyone my setups per se, though you're welcome to observe them. It's to share my inner thoughts on HOW i came up with my setups so that you can come up with your own. I don't believe in trying to adapt another one's trading style to your own personality but rather the reverse. As I get to know myself through the markets, I am constantly honing my edge. Please know I am still NOT profitable at this moment in time! I trade EURUSD/MES1! on the 15min time frame on an intraday basis. I use Interactive Brokers brokerage (1-1.5 leverage ONLY) on TradingView charting web-platform. I trade my own personal capital with the hope of making it my primary income source. I keep my expenses low and am quite the homebody!
My Five Trade Evaluators - bias/direction, entry, size, risk, was it a good trade or a bad trade (despite outcome)?
I stared at charts every trading day for 6 months straight and backtested 1 years worth of historic candles (and continue to do so with every tweak) on each instrument as a starting point to become more in tune with the charts
The Classic Continuation Setup.
-mark premarket/asia and london ranges, look for a breakout, wait for a pullback, find your entry, find your exit
The Range Retest Setup.
-mark premarket/asia and london ranges, identify a bias, find your entry, find your exit
The Train Chaser Setup.
-mark premarket/asia and london ranges, look for a breakout and continuation, wait for a pullback above breakout, find your entry, find your exit
My mes premarket range 3am - 8am
My eu asia range 8pm - 12am
My eu london range 3am - 8am
My setup risks continuation and train chaser full risk, range retest half risk. (full risk = using 50-60% account size. half risk = using 20-25% account size)
Size up when your setup matches perfectly. Size down if you're uncertain or not clear on your signals.
Only enter where you are comfortable with the drawdown that your setup requires structurally, aka consider the worst case scenario for the setup you are trading before it invalidates as your total risk
Do not trade your P&L, only trade your setup and structure (physically cover the P&L number best you can)
Pay attention to trump tweets and breaking news relevant to your instrument, if there is a catalyst that goes against your day's bias, be wary and assess!
YOUR trading edge should be unique to YOU. Observing other traders' edges, methods, and process is great but ultimately you will need to assess the markets, backtest the markets, forwardtest (practice) your edge, and refine your edge until you are comfortable with it. Everyone will see different patterns, and have different risk criteria.
