If You are Trading Tightness by just looking at 3 or 4 Tight days. You are giving very less chance to yourself of getting those 8-10 R+ Trades. You need some good R gains to which will make up for your all small losses.
what you should focus to get those high R trades ⬇️
Another way to learn Tight Stop Loss Trading is to study all trades by @iManasArora . Look at his Entries , try nd find out reason for his Entries nd Exits..when you Master one set up, yes you can trade with 1% or smaller SL.
STUDY Past Big Winners nd check how stock moves:
Focus on bigger picture , look for the uptrending stock which are coming out of from the BASE or look for the stock which are consolidating near Breakout area.
Stock which are giving Tight days near 10 or 20 EMA.
Don't fight the broader market. Studies consistently show that 70%+ of stocks follow the general market's trend.
Breakouts fail more often in downtrends or choppy markets. Your edge improves dramatically when you buy breakouts during uptrends and sell breakdowns during downtrends.
Work with the tide, not against it.
2/ Stock character is everything
Every stock has a distinct personality - and it rarely changes. Some stocks are "trending animals" that respect moving averages, produce large candle ranges, and show multiple full-range bars in sequence.
Others are "sloppy" with poor MA respect, small range candles, low ADR, and inconsistent buying pressure.
Have you ever wondered why even after selecting the best setups your trades never seem to go anywhere?
Meanwhile, some traders seem to be consistently on the right side of the market.
What is it that they do, that you can't replicate?
This thread explains it. 🧵
1. The Top Down Approach
Your process looks like this: You go through charts in your screening session and find the best looking stocks for the next day.
This is where you are faltering.
The pros don’t start with setup, they have flipped the script.
It looks like something like this.
2. Market
A stock is just like a swimmer, and the market is like a stream.
Now, you can be the best swimmer in the world, but you'll never beat someone average who's swimming with the current instead of against it.
The same is true for stocks. They are slaves to the flow of the market.
If the market goes up, the majority of stocks will go higher, and if the market goes down, the majority of the names will go down with it.
That’s just the nature of the market.
Conclusion: Always take into consideration the trend of the general market, only participate when the market is looking healthy, trading above the key moving averages.
If I were starting from zero in trading today, this is the playbook I’d follow.
Bookmark it
1/ Learn How the Market Actually Works
Most people have no clue how the market functions.
They've been "trading" for years but couldn't explain why prices move if their life depended on it.
Before you even think about strategies, understand what the stock market actually is and how it works - most people are playing a game without knowing the basic rules.
This is where you pick your lane - swing trading, day trading, whatever.
Pick ONE and stick to it Stop trying to be everything to everyone.
2/ Find Someone Who's Done It
Find a trader with experience - someone who's been through multiple market cycles and lived to tell about it
Minervini, O'Neil, Livermore - guys who walked the walk.
Your trading future deserves guidance from someone who's proven they can navigate the markets successfully.