Entry

After setting Stop Loss and Target lets get into the Entry.

Table of Contents

Entry Principles

Let’s start with some basic principles of entry.
Imperfection
Unfortunately, the best entry technique for a particular price action setup CANNOT be known until the trade is over and reviewed with the benefit of hindsight.

“Take time to deliberate, but when the time for action has arrived, stop thinking and go in.”
Napoleon Bonaparte

Remember

The Trading timeframe defines the places we want to trade.
The Lower timeframe is used to time entry.
We note when price enters our trading timeframe setup zones. But we don’t automatically enter. We watch how price reacts. We search for weakness, and traders trapped in a low probability position. Entries are taken at or before the point where the losers realize they’re wrong.
We recognize that the optimal entry can never be known, except with the benefit of hindsight. So we simply aim for the best entry possible within our entry zone. We work a limit order for a stall or pattern based trigger entry. And we place a stop entry order at or near the last wholesale price, in order to ensure we don’t miss an opportunity.
Remember, the LWP is the trading timeframe point at which the losers will start exiting.
That’s where our order-flow enters the market, driving our trade to profit.
Caution needs to be applied to earlier entries as they do not yet have the benefit of this trapped order-flow. However, they do have the benefit of S/R or swing high/lows to their back, and if triggered based on stall or a lower timeframe pattern based entry, they still provide good odds.

The next article will learn about Risk : Reward and remember to back-test and paper trade entry practice.