I don’t have a problem taking a trade…usually.
But there is one setup, which triggers an inability to press the button, to take the trade. I can’t, I sit there, asking myself, Chris, what is holding you back, go on, do it. And when I finally Do it, I go long the high or short the low.
What triggers it:
NO! I missed it, I wasn’t in, I don’t jump into a running trade.
I take the entry and get stopped out on a wiggle, only to see it bounce back up.
Kick in: You shall not chase rule
Reentry opportunity missed due to being stopped already 3 times. I think, this earlier resistance is now support, but “I know” it will not hold. Add to that scenario a slow tape and I don’t take the trade.
Why? Because it failed so often in the past.
This time it worked wonderfully. While I’m writing this the ER2 is another 3 points upgoing for a straight run from 662.50 to 669.00. I saw it and I missed all of it. Am I dumb not to chase? Maybe, but taking the short would be worse. So maybe it’s “just” fatigue setting in, my mind telling me to take a rest. The markets are there tomorrow as well.
Usually I take the trade, no questions asked. But I asked myself before I pressed the trigger:
How far has the Euro run today? 130 ticks, that’s too far, this setup will most likely fail! It’s a red light!
And right I was: