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Transcript
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What’s going on Traders Cove Trader here and uh I got a pretty good video for you today um before I get into it if uh you’re not on our live stream every day uh you should join great place to ask questions uh we stream about 1:30 till uh Market close and uh it’s a good time great Community great people sharing a lot of information and uh we’re getting payouts in there so so uh if you want to get to that point
It’s a good place to hang out in uh maybe learn a couple things and then uh move along so before I uh jump in I think this might be an easy way to kind of help everybody out and kind of stop you from making really poor trades um somebody asked in the chat the other day how do you know whether to be in like uh if you’re looking to go long or if you’re kind of looking to go short and uh
This is probably the simplest way cuz like I’m I’m looking at a couple other things and I was trying to figure out the easiest way to help this person out because obviously they were newer to trading and this is probably um the way I would tell everybody going forward basically I have this which is the nine and this which is the 34 and basically as long as the nine is above the 34 I would probably only be looking for Longs I
Know everybody’s trying to like short short the top and try to get down but what happens a lot is so you get this pop right and then somebody wants to short oh it’s up you know I’m going to short it back down but the amount that you short is so small compar because now you’re really honestly you’re in an uptrend you know so so what happens is you know look at this look at the trend basically people are trying to short
This and then we’ll get up here and they’re like oh well this is the top you know you got this uh this candle and then you got this and they’re like oh it’s going to drop this is a lot of newer Traders they don’t realize ay you’re in a bull flag which is definitely not something that you’re looking to short unless it completely breaks down um you know you’re just getting consolidation and then you’re going to break up is what’s going
To happen we actually played this in the chat but uh yeah unless you’re you know you get the bend over the uh the 34 to the downside I would continue to look for Longs obviously you know in this scenario once you once you’ve run from you know 180 points you know I’m probably not taking along up here I mean at this point I’m probably like all right we ran 180 points am I going to short it no but am I sitting
There being like I’m done playing the long probably I’m probably done playing the long now truth be told I actually did play this drop in the uh chat what happens is uh I drew basically the trend line on the in the chat um we got this down candle and then we got a rest and I basically said we go under this rest candle I’m going to short it and sure enough it happened but that’s more of like a that’s not like
A beginner play I would say um but basically you know I would I would obviously you know 1880 points I’m probably not looking to go long at some point you’re going to reverse but uh yeah and then as we break under the 34 which signals right here I would start looking short you know and sure enough you have like little bare Flags little bare flag here and then you know you break here you go I’m just going to you know now
You’re under the 34 you’re basically looking to go short you know could this be a bare flag you kind of draw it out it breaks and you get it again and then basically you know you’re right here am I looking to still go short this is why you have to bring up other indicators you know you have the 200 here so am I looking to go short at this point um no but I’m not technically looking to go long either you
Know we’re kind of in a holding pattern would I take a trade off of the 200 yes we took one off um in the chat something like that I would probably take um but I’m not looking to go in super long until uh you know until we get going but bounce a bounce off the 200 is in the cards I would definitely play this we played it three times in the chat yesterday which is great um but as you could see
The day kind of ended uh choppy and I would probably if I was a newer Trader I probably would have stayed out of the chop because you probably would get fomo like we’re going to break out up here you know somebody was drew a line and was like oh we broke out and then they got completely destroyed as it dropped you know same thing they probably like oh we broke the 200 um you know when you just see chop like this
You kind of stay out you know if I was a newer Trader I’m looking for more pullbacks on directions and uh I would look for a pullback um to 34 or real defined flags are a great way but uh I love this is actually my favorite pattern is when we dump we consolidate and when they’re waiting for another dump you break up you have the nine crossing the 34 so now that tells me we’re starting to go into an uptrend and
Basically we Consolidated right here which is right above the 200 and above the 34 and then you can see we got a uh a big volume candle big candle push signaled to me we were breaking out and then we got the p back right to the 34 and then from then on you could have gotten 180 points and we got a lot of it um we definitely got a lot of it so that’s kind of where I would say is like
I wouldn’t be looking to go short once the nine crosses the 34 and flip side so yeah on the flip side uh you know on the way down I probably wouldn’t be going for Longs um until the nine cross at 34 and that’s for like a newer Trader just for a guide um obviously you know you can get pops and things like that I’m not saying you can’t all I’m saying is this is for newer Traders as like a thing to
Follow this could probably help you out um you know and keep you out of bad trades that’s just an idea um you know just an examp example again you know once we cross below down here you could see we never cross above there’s no reason to take a long you’re just kind of looking for short opportunities short opportunity short opportunities and then you can see kind of when we find a bottom the uh nine will then cross to 34 and then
Uh kind of lead you back up these are just some examples you can look through yourself um you know just I knew somebody that just played this specifically but I think it can definitely help out um a lot of people so throw it on your chart let me know what you think any comments comment below
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