The Logical Forex WatchDog gave me a signal later than I expected. Why?

When the Logical Forex WatcDog gives you a signal later" than you thought it should…be very careful.

Look very carefully, as there will often be a Logical Forex Magnet nearby that may "get in the way" of a high probablity trade.

Be patient. Normally you’ll see this after a "long" run, when price has consolidated a bit, and it looks like it might "bunch up and take off again". It may. but, I trust the WatchDog, and am patient, and I’m especially careful when it signals a buy, for instance, then a bar or two later that bar turns red. I just won’t play at all until a new signal shows…and often that’s a while because it may mean we’re going to consolidate for a while.

I prefer "pretty, logically flowing patterns" so I am most likely to take trades when the chart has some sort of visually appealing pattern or shape to it…not a jumbled mess of spaghetti lines.

Of course, if you are a "breakout trader", these consolidation periods are exactly what you’re looking for, and I trade them too. But I still like for them to have some basic "prettiness".

Remember, we prefer to "trade the transitions"…and a relatively flat area after a long run can be a hint that price is about to "do it’s thing again"…but we won’t know what direction by just glancing into the "consolidation rope". Be patient and the signals and hints will be clear. plus…pay attention to the time of day. At certain times of day, price will often go the opposite direction "at the end of the day/session". Pay attention to the Logical Forex Phase indicator too as it will often be showing a divergence to price that gives you another clue. Some traders also stay away from (or at least pay attention to) 00/50 areas of currency price.

Perhaps most important to remember…

The Logical Forex WatchDog is NOT a "go/no-go" indicator. It does NOT attempt to tell you exactly when to "pull the trigger". It is best when used as an "alert", like a WatchDog barking when a visitor approaches your house. When the WatchDog barks…it doesn’t mean "shoot ‘em". :-)

It does mean PAY ATTENTION…something is happening here! Then you must evaluate and interpret what you see on the chart, determine (quickly) if it is a high probability trade…and take it….and or wait for the next trade…with no fear or remorse…just an open mind to "live with the outcome" and then rinse and repeat. If you look at ALL of your trades as just YOUR DETERMINATION OF HOW HIGH THE PROBABILITY IS (AND NOTHING MORE)…AND THEN EXECUTE THE TRADE OR STAY OUT IMMEDIATELY WITHOUT DEBATE OR DEEP ANALYSIS (AND CERTAINLY NO PREDICTING) THEN YOU WILL HAVE HAVE A STRESS-FREE LIFE OF PROFITABLE AND SUCCESSFUL FOREX TRADING.

Pardon me. My shift key got stuck there. :-)