A trader shares the entry rule that improved his risk-to-reward ratio to 5:1. Wait for price to break above a resistance level on high volume, then enter when a pullback candle wicks down through that level but closes above it, showing rejection of the lower price.
You're not a bad trader. You're just entering at the exact moment the market is designed to take your money. One rule fixed that for me, and it took my average risk-to-reward ratio from average all the way to 5:1, meaning now I'm able to risk $1,000 to make $5,000. Let me put you on to this. You're looking at a resistance level, and just below it, the market has been sitting in a tight range. Most traders look at that as consolidation. But it's not. Now you wait. Price pushes above that resistance, and the second it does, your eyes go straight to the volume. Did it spike? If it did, every trader who faded that break just got trapped on the wrong side of the market. You still don't enter. You watch price come back down towards that level, and as it does, one candle tries to push it back through. The wick reaches down, Sellers make their move, and then the candle closes back up. They couldn't do it. That's the entry point. The range told you buyers were there, the volume told you the breakout was real, and the candle told you they're not finished. It works on every market, every time frame, the exact same way.
