10.....PRICE ACTION FEEL ******************************************

"Feel" for the trade is a bit more difficult to quantify

It is part intuition, part rationalization and part reasoning...

  It can be difficult to know when feel is working to your advantage, even

 after using it  to rationalize an entry - one that works OR one that fails. 


Feel takes time to develop.


It is distinct from desire - we all desire to place winning trades...

But hope cannot be relied upon in the trading world.

 On the other hand, a statistically pure 'black box' approach

 has also been proven ineffective when applied to trading. 


So, there is this thing I call feel...

It is a very slight edge a successful trader will concede the  existence of.

 Successful traders encourage it's development in themselves.

A bit of feel is involved in placing orders when there are few good signals

 on the charts. Sometimes you see things that you think might produce

 positive price action...so you enter the fray...

Feel is all about empowering your subconscious, enabling your creativity...

hopefully resulting in improved bottom line results.


Some would call this counting on luck. I prefer to say

that I'm relying on my experience, my feel for the trade. 


Successful technical trading relies partially on your "feel" -- for initiating entries and exits.

 The same can be said about managing a trade once you have taken a position.

Examples using feel include, but not limited to: 

Knowing when to raise a protective STOP-LOSS to break-even (or above) and 

Knowing when to raise (or cancel) the TARGET-STOP, looking for an extended run-up


Doing these things right is an acquired art. 
The more time spent studying the nuances of your chosen
trade vehicle, the better your feel for the trade becomes. 
All the aspects above are crucial to successful discretionary trading.
Each is just as important as choosing a trading methodology that suits you.


Refreshing or Re-establishing price action Feel 

The markets are constantly in a state of flux...so must be your sense of feel

 I use many different minute based time frame charts for developing feel:

 Daily, 15 minute, 3 minute and one minute as well as 2 or 3 very short term T-Mode tick charts. 

l always have these open on my layout and they serve several purposes:


√ During the trading session they give me a way to view current and overall price action. 

This keeps my market action feel up-to-the-minute at all times.

√ If I take a short break away from my trading station, they are essential towards quickly getting 

back up to speed with what may have transpired in my absence.  

√ Due to the fact that I do not trade 24 hours, having these charts open when I turn on my computer 

allows me to quickly re-establish my feel whenever I start my next trading day.

Also - - I utilize  TEST or practice trades to refresh my feel for what's happening in the markets.


Feel helps to put you in a position to win, even in marginal situations.
To see the comments click on the first chart to open larger views in Slideshow mode.





I try to apply REASON to an endeavor that is inherently IRRATIONAL ...

The link below goes to an unpublished page with conclusions and thoughts 

about the markets  that I have based much of my trading on...

My feel for the trade