Just a comment about the chart in my last post. The cycles may not look that big, but they are huge. The last red box (cycle) down from top to bottom was 5.2%. If I can capture just 50% of these moves, I will be happy for the present. I missed the first gap down, but still made 2.9% on the trade.
This long entry was much better, so I might capture up to 75% of this move up.
I use numbers a lot to analyze what I do. As an example, if each cycle is 5 days (one week) and I can capture 1%, that is 50% annually. If the cycles change to 4 days and I can capture 1.5-2%, you can see that 100% is not that difficult. These small gains really add up especially when compounded.
Trade the Charts and not the Heart - Expect the trend to continue until it doesn't.
