Sunday, January 21, 2007

Cross-Verification

Focus trade preparation on cross-verification to locate promising setups and measure risk:reward. Basically from what I can gather, is that cross-verification is an area on a chart where there are multiple trade signals at a certain price. This price is low risk entry point. They key is to uncover this area and execute a trade.
  • Look for price close to substantial support to identify low-risk long trades.
  • Look for price close to substantial resistance to find low-risk short sales.
  • Measure profit targets (PT) and failure targets (FT).

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