Learning how to find great trades is not as difficult as many might think, however acquiring the discipline to adhere to those trades “only”, can be a daunting task. In this article I will lay out a few "tips" that may help you locate high probability trading setups. I will also discuss some "tips" for sticking to the great trading opportunities you’ve learned how to find.
Finding Great Trade Setups – Tips
Use Multiple Time Frames
Why? When finding a trade, it may look great on a single time frame. However, when this same location is viewed on another time frame it may appear very weak and not high probability. This means that you may not have any other time frame traders willing to take the same side of the trade as yourself. In order to find the best trades, we need the most orders on the same side (bid or ask). If traders looking at different time frames, see the same great setup or one of equal opportunity which coincides with your direction, the order flow is combined and therefore increases the probability that price will go in favor. “The More the Merrier”!