Keeping It Simple No5 Real Time Trading.

25th Jan 2016     Kis5 Real Time Trading (on candle close).

 

Well here we are again and having scanned my list of blog topics I have settled for Real Time Trading. By this I mean taking trades in real time and not setting up pending orders and leaving them to run their course. Taking trades in real time is very simple which is what this series of blogs is all about.  Watch for the setup and trigger then take the trade.

All a trader has to do to make profit is have confidence in their trading system so obviously an essential forerunner to this is a full appreciation of the trading system. You need to be aware of the setups and of the triggers for the trade you are anticipating. If you are trading the Wavy Tunnel system from FX Traders EDGE ™ then the setup and trigger rules are all available in the Elliott Wave and Wavy Tunnel training courses with more information on the FX Traders EDGE ™ web site with follow up training in the Trading Rooms.

Live trading differs from setting pending orders in that you are not having to estimate where a move will go to before you want your trade to trigger. Pending orders can come unstuck with protracted consolidations and extended waves. With live trading you are simply waiting for the market to confirm that the trade is valid.

The whole process starts with observing where the market is at present. Then anticipating what possible trade might develop if the market moves down and what trade might develop if the market moves up.

The next step is to set some price alerts for both directions or for a particular time of day and sit back and wait for the alert/alarm to kick off.

When the trade setup looks good you can calculate your stop and profit levels based on your trade expectation and your risk tolerance and double check these just before the trade triggers.

 

I strongly recommend that you wait for the trigger candle to close until you become more proficient and familiar with the market moves. By waiting for the trigger candle to close you will sometimes miss some pips but you will also stay out of some potentially losing trades and the trades you do take will be high probability.

Then you just go for it.

 

To see my other blogs type “Keeping it Simple” into the Blog search box.

Blog 1 Get a Trading System

Blog 2 Managing Expectations

Blog 3 About Demo Accounts

Blog 4 Being Specific

 

Be patient.

Be disciplined.

Have fun.

Neil.

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