ORB Review

[ahmerqureshi76 0]

Hi Guys, I am a new trader, still on sim (10 days). I like how ORB works and looking to learn more, attached is a picture of a trade i took and lost. Could any of the senior traders or BBT team look at it and review what i did wrong here. This would help me practice accordingly in coming days. 

Stop loss was just below VWAP.

Thanks in advance. 

Ahmer

Edited January 2, 2022 by ahmerqureshi76

[Alastair 114]

Welcome to the group.  I do not like answering a question by asking a question, but eventually I will have to ask a few in this case.

ORB's are thought to be easy bcoz u see and entry signal, the hard part is the STOP placement.  In Ed's Chat Room he has very very specific rules for ENTRY, STOP and TARGETS (i.e. levels).  Not sure if ur STOP was within his rules which is a 5M ATR6.

If u have not been in his room strongly suggest u visit and ask for the link to his 3 recent vids he did while being a BBT Mod.  They explain his 5M ORB specifics in detail and how to read Price Action, PA.   His vids have not been uploaded to education center yet, they will be, but members in the room will share a temp link to them.

So onto the questions: (which I do not like to ask.......as it can be frustrating as a beginner without the right knowledge)

1. I assume its a 5M ORB, where was the STOP calculated to be ?  Why ?

2. Did u draw levels ?  Where did u identify these levels ?

3. What was target ?

4. Did stock have catalyst ? or u traded with MARKET direction ?

5. Awesome u STOP-ped out .....if that was part of ur PLAN.   Didi u have a PLAN ?

6. Not all ORBs work...they do fail.....and u need to understand the PROBABILITIES for success with ur SETUPS.

Look forward to seeing u in Ed's Chat room.

 

 

[ahmerqureshi76 0]

Thaknks alot @Alastair for the reply.

I dont know what 5M ATR6 is, will ask for the links to vid in Ed's chatroom. 

I didnt draw the levels, target was premarket high @ $41.25.

Honestly your questions are eye opening for me, they all make sense and tell me what to look for before making a trade. 

see you in Ed's chat room. 

Thanks,

 

[Alastair 114]

5M ATR(6)  ......  Average True Range for 6 periods (5 min candles x 6 periods) ---   it generally measures the volatility of the stocks for the last 6 candles on a 5 minute chart.

[Alastair 114]

Hey @peterB  .......  I like ur rules its simple, and no stress.  

 How do u select ur stocks to apply this rule ?

Do u read tape to help with entry/exits ?

[ahmerqureshi76 0]

@peterBthis looks like something i can practice and be better at. Thanks alot for sharing your insight and strategy.