Pre Trading Notes:
1. For reversals you only start looking to take trades the other way after price has been going one direction when (assuming price has been in a downtrend) price breaks out of the downtrend channel to the upside and a clear close outside of the downward channel. Then price resumes the downtrend and creates a new low.
2. DRAW YOUR TREND LINES SO THAT PRICE TOUCHES OFF OF BOTH SIDES. If price is not touching on one side then you do not have it drawn correctly. Draw it off of the first couple of bars in the move.
3. When price breaks out of the trend channel to the downside (in an uptrend) and then goes on to make a new high then that can signal the move is over. Especially if there is a 2 legged move up to a new high.
Post Trading Notes:
1. My experiment with drawing 2nd entries on the close rather than if any part of the bar goes past the previous bar (Mack's way) is over. It took me a day and a half to realize that trying to "improve" Mack's method does not work. So now back to the Mack way of counting 2nd entries. Lesson learned that Mack's rules work and mine do not.
2. I tried changing my bar type and it messed up all my lines. Also an hour and a half in I realized my "new" method of counting 2nd entries was not working so I just went back and started marking trades and drawing the correct trend lines until 9:37 and then started sim trading again.
3. I am still going to do the 0,1,2 count for entries. It really helps me out.
4. Getting destroyed trying to figure out which way price is going on 2nd entries. Have to work on that.
Mack's Notes:
1. Will review tomorrow
