Hi mate.
Keep up the good work on your articles and books.
Awesome stuff.
I am just wondering if always enter a trade after a confirmation like an engulfing candle? And if so does it matter if the engulf is on the same timeframe etc as the level?
Cheers…
Response:
It’s always best to wait for confirmation of a potential market reversal… One of the best ways to identify this is through the formation of an engulfing candle.
Just remember: Size matters!!
If the engulfing candle is relatively small, it may not be a strong indication of a market reversal. In such a situation, it’s better to wait for further price action before entering a trade… Also, I’d strongly recommend waiting for the engulfing candle to form on the same timeframe as the supply or demand zone.
While you can look for engulfs on lower timeframes, this can be a more advanced technique…
Waiting for a reversal structure to form can also provide a great entry when no engulfs or other signals appear.
For now, I’d watch for an engulfing candle to appear on the same timeframe as the supply or demand zone you want to trade.
I hope this helps…
PAN.