After hours provided some excellent trades last week, and it continued last evening, when we
THE IGNORED NEWS
Hard trends can be a challenge, offering volatile candle action taking out tight stops. But if your with the trend and can absorb a larger risk, a wider stop can be productive.
Then a day like today comes along. News and world events are discounted, and the market trades hours in a narrow sideways channel. Outside the initial open run, additional trading was challenging.
What often will happen, a trader gets impatient and begins trading every little turn thinking it's the next great run. The narrow range creates an extended hold as they try to eek out a profit. Frustrated, they drop out.
The narrow range simple means you need a non-trend approach to trading. Your entries will be at the support/resistance of the channel, or other accepted s/r you may have on your chart. Additionally, you will expect a lower return per trade- one or two points versus multi-point trends.
If you have experienced s/w channels, and have the patience and control to manage the trade, restricted channels can still offer positive trades.
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