Kardec Trader took a $4,300 loss by ignoring a planned long setup at 5710-5700 and instead buying at the highs on low volume. He had spotted two pullbacks to that zone but missed the higher-quality entry, then chased into an extended rally that stopped out when structure broke.
5710 to 5700
Two
$4,300
So in this trade I was watching 5710 to 5700. These were two zones. Here's 5710, here's 5700. So I just made it one zone. I was watching for a pullback into it. We get two perfect pullbacks. One, two. And I didn't take the market long there. Now, instead of taking that planned low volume node which worked out so perfectly, I took a much lower quality of a setup resulting in a loss. Longing the market up here at the highs and stopping out when the market broke this low right there. Reason for this was again low volume node at the high. I was just simply longing this pullback right here. And it was at the high of the day, not after an initiation type of level or not after a level of demand bouncing. It was just an extended rally. And I was essentially longing the market at the high of the day. This pullback was even shallower and it wasn't so deep. And I stopped out under this low again, structure broke, resulted in a loss and it was $4,300 loss.
