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Backed by legitimate volatility. Needless to say, one needs a decent amount of liquidity in the market otherwise the predictions you make (in the form of trades) aren’t going to hold up as well due to the fact that the asset’s Binadroid movement isn’t being guided by much in the way of actual buy/sell movement dynamics. Today I watched the GBP/JPY for the simple reason that a trade set-up was occurring on that chart as soon as I checked in for the morning. Support 1 was present at 173.889 and was being fast approached on the 2:35AM candle (as usual, my time references are relative to Eastern Standard Time (EST)). There was a nice rejection of this price level, so I got into a call option on the 2:40 candle. As you can see from the image below, this trade didn’t exactly work out very well. About as bad as the final trade I made in my last trading session, where I entered only to have price blow right through it and continue on its merry way. a part of the issue is that I simply need to be more cautious of taking trades when volume is clearly picking up at that particular time. As you might be able to ascertain in the above image, the 2:35 candle (the first candlestick that touched the red support 1 line) clearly represented a larger price movement than any other recent price movement, aside from the green up-move candle from about a half-hour before. But when these bigger candles containing bigger price moves are approaching support and resistance levels in the market, one needs to be wary about taking trades here. Because even if you do get the initial bounce, it’s not always going to be indicative that it’s going to hold during the entirety of the trade before expiration. When more momentum is building around a price level, it can often mean that the level might not actually be that robust. I’m actually giving this mini-lesson as a lecture to myself in many ways.. http://masspmmusclegrowth.com/binadroid/

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