Scalpers and short-term trader asked me
-- when the right time for short-term trading (scalping) can be started?
I am sure you already know that sideways occur shortly after the price rally is over.
-- Yes. Sideways session occurred just after the price rally was over.
- When is the good time for short-term trades (scalping) can begin?
- Scalping on sideways session
after price rally has ended.The question is: -- when the price rally will end -- ?
-- In A2SR, here is the several ways to find out that simply.
Generally, price rally occurs when there is news or speech or comments
from someone who is very influential, such as :
-- the central bank, the president of a country that has a big influence to market, or
-- something happens that surprises market players like trade war at this time, etc.
1.1. Wait for price rally to reach Strong SR -- a level area that close to :
1.1.1. ADF (Avg. Daily Fall - when price rally down)
1.1.2. ADJ (Avg. Daily Jump - when price rally up)
Actually, I have provided some examples here.
How about commodity, Gold (XAUUSD) today.
Before price fell there, we found ADF at 1275.20
Actual SR level that close to ADF : 1275.49 (DSR.1) and 1275.46 (Actual level)
That area is called the strong Support area.
Why is it called Support?
-- because the price falls from above.
Fig.1 - XAUUSD - H1 - fell after break through a strong breakdown
We can see here, 3 candle of H1 means 3 hours.
Sideways has lasted 3 hours -- Prices just go up and down there,
and repeatedly bounce after prices touch the strong Support area.
Fig.2 - XAUUSD - H1 - after 3 hours
Sideways within next 5 hours:
Fig.3 - XAUUSD - H1 - after 5 hours
A2SR does not lagging nor repaint.
-- because A2SR is leading technical indicator.
-- the right tool for SR Strategy.
So, even though we use a different time frame, then
-- the strong support area stays in the same place.
Fig.4 - XAUUSD - M5
-- in the lower time frame, we can see bullish flag and pennant has started from the bottom price here:
Scalper can work there :)
-- by use the technique number 2 below.
Scalping before newsGenerally, prices enter the sideways session when market players
are still waiting for important news or speech to come.
2.1. Wait for the first time price hits a fresh SR level,
- - - because market will usually make a 1st test before break through a level.
Fig.5 - 1st test a level - H1
Fig.6 - 1st test a level - M15
Wait for scalping at stronger SR area-- The intersection between the trendline that says "Support/Resistance" + SR level is Strong SR
Fig.7 - 1st test a level - H1
-- and can be applied to all time frames.
Market has a movement in every level of demand (support) and supply (resistance).
That's called SR Strategy. That's all about reversals and breakouts.
People can study SR Strategy from anywhere, even on google :)
the good news today :
Traders no longer need to manually search and draw SR (including chart breakouts pattern)
-- because A2SR provides the actual SR and complete instruments that needed by traders.
Market in session sideways and rally has a movement for
1. Reversals at Strong SR
-- This technique is able to use for any time frame, including lower scale such as M15, M5 and even M1 for scalping.
2. Breakouts on Next Key Breakout/Breakdown
I will continue writing to more complete the contents of this topic in every chance I have.
Thanks for reading,
wish you all the best this year.