A quick question on ranging markets. What is the best way to identify ranging markets? Because if you trade moving averages you normally end up with more losses when the market is choppy. I trade the S&P e-minis and what I normally do is look at the 5 minute chart and if price isnt seriously penetrating the 10ma set on high I wouldnt normally take a long, and same goes if it doesnt seriously penetrate the 10ma set on low I wouldnt take a short. I stay away if the candles are alternating red/green/red/green. I want at least 3 candles of the same colour in a row before I take the trade. Does anyone know of any indicators or any better ways to identify ranging markets?
Lazzie.
Lazzie.