I have a couple of questions regarding the Momentum Scalper. I really like the simplicity of it and how it allows us to trade on market-days when there are few signals. However some uncertainties remain:
Entry rule is “HI/LO OF THAT BAR IS BROKEN WITHIN THE VERY NEXT BAR BY 3 TICKS”
Can we use the bar range indicator and place the order 3 ticks above/below it?
Regarding TP
Here Darrsel says “BAR SIZE IS PROFIT TARGET (LESS 3 TICKS)”
In the video (http://apexinvesting.net/module-4/elite-momentum-scalper/) the TP is supposed to be equals bar size. So which one is it? Or how can we choose which one is best for a given market environment?
We plan to trade CL (on 12 Tick Chart) if that’s relevant.
Yes you can use the Bar Range Indicator to preset the order, especially since Momentum scalps can move very fast
if you are using 12 tick bars, your profit target would be 12 ticks minus the 3. So essentially 2 bars
A 12 tick bar, moves 6 ticks up then creates a new bar, so you would need two bars to get 12 ticks.
so if you are entering on teh first bar, 3 ticks into it, you would wait for tha tbar to close, plus one bar, then exit for profit.
i would suggest looking into the Slingshots and Elevator trades for scalping, they are great!
Since the scalps are moving so fast (sometimes too fast for me) I like to regard their signals as a strong confirmation of the current trend. I haven’t heard Darrel talk about it, but having several systems giving votes of confidence for a trend always increases my confidence with it.
