Notes
- This series builds on the Optimal Trade Entry Model tutorial where Michael shows how to easily use the OTE pattern.
- Broker demo platforms are trial versions offered by brokers to test strategies.
- Forex brokers often provide demo accounts that may not expire, but even if they do, new ones can be started.
- The demo account should not be treated like monopoly money. Instead, it should be used soberly to build good habits and avoid overtrading.
- Third-party apps like Forex Tester are recommended for backtesting strategies.
- TradingView offers comprehensive tools similar to MetaStock, SuperCharts, and TradeStation.
- Michael recommends focusing on open, high, low, and close prices, stripping charts of unnecessary indicators like stochastic and MACD.
- The 62% retracement level is a sweet spot for entries.
- It is important to be comfortable with non-perfect entries and exits.
- Michael uses a specifically defined New York session (8:30 - 11:00 a.m.) for optimal trade entries.
- Backtesting and keeping detailed records of trades is crucial to becoming a successful trader.
- We should record data such as entry points, drawdowns, time to target, or overall performance.
- Important insights for journaling:
- Avoid negative self-talk.
- Focus on the positive.
- Use only constructive criticism.
- Losing trades are used for study purposes, just like profitable trades.
- Michael stresses that a trader should stay consistent with the trading plan and not deviate based on short-term outcomes.
Where Do You Backtest Daily Setups
To It And Through It ICT Concept
EURUSD OTE Model Trade Example #1
EURUSD OTE Model Trade Example #2
EURUSD OTE Model Trade Example #3
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