Tonight I got a good setup and thought this would make a good preview of the indicators. I’ll write more about them but on the price chart the arrows show a directional bias from the order flow.
Big picture I’m bullish, but NQ was very weak and ES broke out of its IB (orange box) to the downside so I took the pullback to get short. I entered on the weaker retest of the bottom of the IB range. Risk was 1 pt and target was 83.50 which was 9 pts. This is a no brainer for me and it’s a trade I’d take every time.
I could have gotten out when I saw bullish order flow when it made the higher low, but I didn’t want to take myself out of a potentially large winner so I let it go. I had my stop at +1 tick. This is a trade where I don’t mind stopping out. Taking +2 or +3 pts isn’t going to make me money over the long run.
I’ll write more about the arrows soon, but there is one thing to notice in the chart. If a signal doesn’t immediately fail, it generally has follow-through.