Simple's Green Room

[pennies2007]

Smoothed HA Test Example #3

I took some time and documented this one in more detail so everyone can see how it played out. The trade itself took more time to complete as well so it may have occurred during off hours or something...strat tester just grabbed an arbitrary time when it started. I don't specify dates and times...I take whatever the tester gives me.

UCAD 15 minute charts. First chart is where the trade is headed toward a potential short setup. Second chart shows where I took the short entry. I didn't get a chance to let the white hammer candles play out. It went almost immediately from a single white hammer to a yellow formation so I couldn't get the entry right at the bottom of the supply zone.

Target the whole time was just above the top of the demand zone at the bottom.

All 3 charts showing all 3 phases here from start to finish with chart notes.

I have to confess there was a drawdown on this trade...a whopping 2.4 pips from my entry...LOL! I can live with that though. 23 pips total profit in this trade.

Stop losses in each of these scenarios goes just above the supply zone. So far in all cases, the potential loss has been less than the profit targets so R:R is better than 1:1 and often shows 2 times the reward vs. the risk.