TheStrategyLab.com Price Action Trading Support Forum

Hello Mark
In Chapter 1 in Uses for a WRB Hidden Gap,

you mention:


Could you reword that. I don't understand what you want to say.

Martin

Hi Martin,

That comment is really for traders that don't like to trade consolidation, price noise, low volatility trading ranges and price action like that with "usually" not have WRB Hidden GAPs or the few ones that exist are quickly retraced.

Thus, whenever you see price action that doesn't have any WRB Hidden GAPs...it's a warning to avoid trading such because of the increased risk exposure.

OK

Let me describe in my own word and imagination the way I understand it now.

So basically, a risky trading period could be described as a trading period time that does not show a WRB Hidden Gap , If one appeared and it is quickly closed or if is actual price action not related to a previous WRB Hidden Gap. These periods could be view like a chicken with no head. No defined path. Price as no direction. More risky and less chance to have a profitable trade.

WRB Hidden gap define or display volatility area. Profit came from volatility. No or low volatility would hence imply less chance to achieving a profit and greater chance to have a stop hit before profit target reach.

It make sens for me now.

Martin

Hi Martin,

I like your explanation...very simple...my kids can understand it especially the "chicken without no head" commentary.

Best Regards,
M.A. Perry

I'm a slow learner and building an image help me to understand or teach a concept. Explaining using analogies work very well also with computer or remote control explanation to my 87 old father in law.

Salutations to your kids

Martin