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$212January 24, 2014
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Hello Theo,
The attached image is from the article 'Entry Trigger Mechanism' on the 'Forex Trading Strategies' page. Given the marubozo right before the indecision candle, would you have held off taking the trade?
Should the circled words read 'low'?
Pepe.
Without you (price action), I am not worth a [s]cent.
$8001983February 26, 2011
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Nice catch on the typos, thanks Pepe.
The text of #1 answers the question in your image.Ă‚Â
The entry trigger would have worked in this case but it was not the safest after the Marubozu.
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$212January 24, 2014
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Hello Theo,
The text says that it passed the low of the indecision candle marked number '1', so I've taken that to mean that the trade was triggered, i.e., if you'd placed your trigger below the low of the indecision candle, you would now be in the trade. What I am asking, is if you would have held off placing the trigger given the very bullish preceding candle?
When you get an indecision candle at your active area for a trade, do you just place the trigger, or do you look at the lead up to the indecision candle before placing the trigger order?
Pepe.
Without you (price action), I am not worth a [s]cent.
$8001983February 26, 2011
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- This indecision candle reacts exactly from our chosen area confirming that it is active,
all we need now is to pass its low on the next candle which does happen,
the negative on this trigger is that it is immediately following a marubozo.
I think that last line answers your questions 
$14February 21, 2014
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Hi Theo,
I'm a newbie in PA. So, I just need to clarify the entry on this particular trade example.
On number 1:
That because Marubozu is formed before the Pinbar, we shouldn't open position to sell below the low of the Pinbar in the next candle.
Is that correct?
If it is so, could you please elaborate why we shouldn't take the trade at that point?
Looking forward for your reply.
Thank you,
Martin
$8001983February 26, 2011
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Hi Martin,
At #1 it is a good Location and a nice potential Double Top that you would be trading, the entry trigger is also very nice and you could take the trade there and it would have worked out. However, the message that the Marubozo gave just before that entry trigger was unchallenged buying momentum. This just subtracts from the probability of the sell happening right away and although in this example it didn't matter what trigger you took, #1 or #3, it made much more sense at #3 because what happened with that Marubozo was no longer so recent. If you look at how price turned before that Marubozo wave and you look at how price turned for the drop at #3, you will see a similar story of smaller wave movements to turn the green line wave movement.
Theo
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WeeMee
$14February 21, 2014
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Hi Theo,
Thanks for your reply. It starts to make sense now that the price is not likely to turn immediately but will do so at a later time, especially after a strong upward momentum (the Marubozu).
Martin
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