Jigsaw Trading Blog

Order Flow Crude Reversal/Breakout Using Momentum

Published on: October 25, 2017

I had two customers in the past few days ask me related questions. Although they are different questions, the answer is similar, I decided to highlight this with the Order Flow Crude Oil trades in the video below.

One trader was asking about reversal trades and the fact that I don’t like them. That I feel trading support and resistance is fundamentally wrong because to get to support, the market has to be moving down. That leaves you always trading against the market.

I was discussing trading AFTER a reversal and the trader asked “isn’t that chasing the market?”. To better explain, I thought it was easier to show it than try to explain in words. So the first video is a trade AFTER a market appears to have reversed but it’s still not chasing the market.

The other trader has been struggling with some of the drills, so I wanted to show momentum as a means of entry confirmation. Both trades here show using momentum to enter, one of them on a breakout. one on a reversal. One long, one short – at the same price area but different times of the day.

This is just one of the setups Jigsaw users can take day in, day out. Using an understanding of how short term speculators operate!

As usual, you can click to watch full size.

Simplify Your Trading

Take a look into the decision making process of professional traders with this video training series that helps you make smarter trading decisions.

Read more articles about trading

Workshop recording – Trading Strategies for Major Market Events: Lessons from the Iran Missile Crisis

by eSanchez | Oct 17, 2024

Workshop recording - Trading Strategies for Major Market Events: Lessons from the Iran Missile Crisis Published on: October 17, 2024 In a recent webinar hosted by Axia Futures, Richard Bailey, head of training, provided a deep dive into how professional traders...

FREE Workshop: How AXIA Traders Score Big During Major Events like the recent Iran Missile Threats

by admin | Oct 7, 2024

FREE Workshop: How AXIA Traders Score Big During Major Events like the recent Iran Missile Threats Published on: October 07, 2024 We’re excited to announce a NEW event that will give you insider access to professional trading strategies for handling major...

Jigsaw daytradr 5.0 Beta: The Wait is Over, and It Was Worth It

by admin | Sep 19, 2024

Jigsaw daytradr 5.0 Beta: The Wait is Over, and It Was Worth It Published on: September 19, 2024 Turns out, Friday the 13th wasn't just a superstition - it actually threw us a curveball. But hey, in trading as in software development, sometimes you need to adjust...

0 Comments

Submit a Comment Cancel reply

Privacy Policy

Futures and forex trading contains substantial risk and is not for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing ones’ financial security or life style. Only risk capital should be used for trading and only those with sufficient risk capital should consider trading. Past performance is not necessarily indicative of future results.

Testimonials appearing on this website may not be representative of other clients or customers and is not a guarantee of future performance or success.

Jigsaw Leaderboard
Note that the Jigsaw Leaderboard contains a mixture of SIM/Live Traders. For many traders, you can click by their name to see the trades along with the SIM/Live designation.

The following is a mandatory disclaimer for SIM Trading results:

HYPOTHETICAL PERFORMANCE RESULTS HAVE MANY INHERENT LIMITATIONS, SOME OF WHICH ARE DESCRIBED BELOW. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN; IN FACT, THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS SUBSEQUENTLY ACHIEVED BY ANY PARTICULAR TRADING PROGRAM. ONE OF THE LIMITATIONS OF HYPOTHETICAL PERFORMANCE RESULTS IS THAT THEY ARE GENERALLY PREPARED WITH THE BENEFIT OF HINDSIGHT. IN ADDITION, HYPOTHETICAL TRADING DOES NOT INVOLVE FINANCIAL RISK, AND NO HYPOTHETICAL TRADING RECORD CAN COMPLETELY ACCOUNT FOR THE IMPACT OF FINANCIAL RISK OF ACTUAL TRADING. FOR EXAMPLE, THE ABILITY TO WITHSTAND LOSSES OR TO ADHERE TO A PARTICULAR TRADING PROGRAM IN SPITE OF TRADING LOSSES ARE MATERIAL POINTS WHICH CAN ALSO ADVERSELY AFFECT ACTUAL TRADING RESULTS. THERE ARE NUMEROUS OTHER FACTORS RELATED TO THE MARKETS IN GENERAL OR TO THE IMPLEMENTATION OF ANY SPECIFIC TRADING PROGRAM WHICH CANNOT BE FULLY ACCOUNTED FOR IN THE PREPARATION OF HYPOTHETICAL PERFORMANCE RESULTS AND ALL WHICH CAN ADVERSELY AFFECT TRADING RESULTS.