While the market conditions were generally favorable, my trading strategy ended poorly. The issue can be summarized as follows:

• I anticipated the market would remain within a trading range. However, it broke through several resistance levels and reached an all-time high.

• I failed to recognize the prevailing trend and attempted to trade against it by setting limit orders and stop buys at potential resistance points during minor trend reversals. This approach resulted in significant losses.

ES

The market opened with a small bear gap but rebounded after nearing the bottom of the trend line on the higher time frame. Note the same principle we applied before: the trend is more likely to align with the higher time frame rather than the lower time frame, as traders using the 1-hour timeframe will influence those using the 5-minute chart. Therefore, after the market bounced off the higher time frame support and broke the upper channel line on the lower time frame, there is a high probability that the market will continue following the higher time frame trend. The market is in a long position, and the take profit (TP) could be based on the measured move.

CL

GC