Back to pivots

I’m going to half archive the idea behind a delicate secret. In essence, it’s kind of like an early sign of trading the wick. Wait for extreme (given by the projection line), and trade away from it (with a TP at the other end of the bar). One of the issues I think it has is the fact that statistically, the bar hits the target in the next bar. This makes it difficult to create a setup or trigger after the first signal bar has been given. Additionally, as attached to my pivots as I am given all the time I’ve put into it, there are plenty of other pivot indicators that are capable of producing the same signals as mine do. This means that the ‘secret’ that I discovered is just a part of the market, more than it has to do with my indicator discovering an edge that is difficult to produce elsewhere. Nevertheless, it’s a good thing to keep in mind when trading.

I spent a lot (a lot) of time yesterday thinking and talking about what to do next, and I think adding onto the pivots is where I want to go. The more recent statistics have definitely been more eye opening about how the market functions, although I’m still clueless about the important parts. There are two premises that I believe to be true: the market must retrace by x% in a given ‘wave’ and has a potential of Y% during it’s moves. I’m starting to see every word in that sentence in a slightly different meaning. “Significant” is a word that I’ve been thinking about lately, because at the EoD, if I don’t care about it, I don’t deem it significant and the chart, statistics, and everything else should follow that guideline

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