Practically each trading system/method/approach I have seen, read or heard about is predicated on locating a Reason for Entry.

Its a trend line or s/r degree, its a moving average or a momentum indior, its a harmonic step or a fibo or a fibo confluence, its mercury crossing venus, its an airplane in the night sky like a shooting star (save your fantasies for afterwards ).

So when the Reason presents itself, we accept entrance, wait and hope.

The trade has a profit goal or exit rule. A trend line, a s/r, a moving average, a fibo extention, a box projection, a bollinger band, a heck that'll do I will catch it today etc..

However, does the trade (price) possess a Reason why it must reach that exit price level? Are there points on a chart that act as?

(This is the reason why you hold your breath after you pull the trigger.)

If there are, and if we can recognise those, this approach would turn trading on its head. Why? Because you would trade according to a Reason for Exit, rather a Reason for Entry.

I have an awkward habit of above compliing the basic, so by means of example consider the following:

in the event that you knew the euro would attain 1.60, rather it must reach 1.60, you would buy and wait. You would not panic if the position was contrary to you for a while (time aside), because the price must visit 1.60. You would not panic if the position was contrary to you a few hundred pips (leverage aside) because the price must visit 1.60.

That is to say you would take a trade predicated on having decided an exit price, instead of an entrance price.

An example of this approach is gap trading where the assumption is a price difference will be filled and so the level is targetted til it's.

But I needed to ask about price action. Are there market arrangements, wave arrangements or candle stand patterns which bring price? (Such you will always see price returning to all those levels.)

I've some thoughts/observations, but am keen to hear your input and watch your illustrations.

(if you would like to talk about this offline. Just send me an email or ping my skype.)