By placing your buy stops above the market, above key inflection points, you put yourself in a place to anticipate the bigger moves.
You are also letting the market come to you as opposed to chasing a trade that you feel regrets about because you feel you missed it.
[Chasing trades will kill you if not now, eventually.]
If you don’t get filled, perfect. It wasn’t worth being in.
Probably random daily noise.
Come back and ENTER THE SAME ORDER tomorrow.
You’ve just created a filter by being patient and waiting for the momentum to hit and trade through your buy stop.
How do you feel now?
Do this enough and you’ll be on your way to calibrating your emotional intelligence with your trading tactics.
If you can’t learn this “feeling tone” of trading, I promise you that you will NEVER catch the moves that Michael Marcus and Ed Seykota do and did.
This is the single most important thing I can teach you.
It’s not about chart patterns.
Click here to get your free copy of The Inner Voice of Trading audiobook and learn about how I calibrated my emotions with my trading.