We will be launching the room in the next few days. Monday (Sept 1st) is a holiday so we will probably start on Tuesday or Wednesday.
For today, let's take a look at early entry- one of our entry techniques. Early entry trades at the break of the previous bar range in the direction of the trend where the previous bar was in the opposing direction. This is best said visually, so let's look at today's Mega Bars chart:
I have marked the entries with a magenta trend line so you can see the break. You will also note these entries are marked on the background of the chart with a green vertical band.
There are various ways according to our rules of determining trend. Today, in the above chart, the trend was both cycling up and with the cyan line per both trend rules (review the Rules page for this). This was true for the firs 4 trade set-ups shown.
The last buy on this chart had an up trend only according to the cyan trend line and the cycling was down. So, one trend indication was up and the other down on this entry.
Astute observers will note the sell just after 7:41 was a legit early entry sell based on down cycling and against the up trendline . indication.
As mentioned in the rules, these are often lesser trades, but you can choose to trade them- particularly if you are using a multi-contract money management strategy and are taking some off early to get to a break-even trade.
We'll of course learn more in the room when we get it open, but this is a good opportunity now to review the rules so you will be familiar with using Mega Bars and the setups.
Also note, Mega Bars are 5 ticks tall in the brick portion of the bar. So if you enter and there are 5 bars up, for example, that is a 25 tick move. This also means if you enter where a previous (opposing) brick has no tails, then you can enter with as little as 6-7 ticks of initial risk on your stop (I like to use a couple ticks outside the extreme i.e. 2 ticks below the low on a long, or, just use a 10 tick initial stop). If the bar is larger, you are likely risking more.
Feel free to comment below.
Have a great holiday!