Trading a Pullback After a Strong Move
Why I don't always chase a strong NQ move.
Suppose NQ breaks out of a range and moves sharply higher.
The temptation is to enter immediately because the candles look strong.
But by that point, the entry may be far from a logical invalidation level.
One alternative is to wait for a pullback.
During the pullback, I would observe whether selling pressure continues to push price lower or whether the market begins to stabilize.
If price resumes the original direction and satisfies my entry rules, the setup may become interesting.
Of course, some moves never pull back.
Missing a trade is acceptable. Entering late simply because the market is moving is not a strategy.