To what extent is reasonable to follow the price [Observation]
With the indicator "Percent Candles Not Revisited Past Week" (bottom one). I count the number of candles that have NOT BEEN revisited at all during the past week. For example that we have reached a top of 3040 and the market has not revisited that price in a week.
Well, it seems that price gets revisited pretty frequently. In this past week, only 5% of the candles were not visited again. (1 in 20) and if we go back for months, the biggest rate of non revisited prices is of 7%
What do i get from this?
Well i make many times the mistake of pursuing the market fomoing and thinking that i will be missing an opportunity, and that could indeed happen but it is not very likely. In fact it is pretty uncommon.
So maybe i should just leave some limit orders even in case that i am on a bad position (i can also leave a stop loss for added security) and wait for that limit order to be filled.
When i should do that? Maybe when the percent benefit i normally earn on a market is lower than what i would lose jsut waiting for that week multiplied by the probability.
Anyway, just some thoughts.
Well, it seems that price gets revisited pretty frequently. In this past week, only 5% of the candles were not visited again. (1 in 20) and if we go back for months, the biggest rate of non revisited prices is of 7%
What do i get from this?
Well i make many times the mistake of pursuing the market fomoing and thinking that i will be missing an opportunity, and that could indeed happen but it is not very likely. In fact it is pretty uncommon.
So maybe i should just leave some limit orders even in case that i am on a bad position (i can also leave a stop loss for added security) and wait for that limit order to be filled.
When i should do that? Maybe when the percent benefit i normally earn on a market is lower than what i would lose jsut waiting for that week multiplied by the probability.
Anyway, just some thoughts.
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