How to avoid choppy market
Don't trade when the bar colors are green. Sometimes, you have several signals in agreement. But the bar color is green. Click here to see illustration
Don't trade when there are conflicting signals. Click here to see illustration
Don't trade when the bar colors keep changing. Click here to see illustration
Trading Tips
Try to be aggressive in taking trades at the end of a long period of narrow range consolidation (TS/T2 agreement at the end of a flat line is the best). Try to be very conservative in taking trades after a significant market price movement.
Due to the accuracy of T2, try not to place trades against T2 direction unless there is a very significant price action (key support/resistance rebound with strong volume and pattern, etc.).
The volume can be used to qualify some potential trend development. E.g. when you see volume build-up for the up-tick bars in a potential up trend formation and you see smaller volume for the down-tick bars in a potential up trend formation, the up trend has a high likelihood to be real. Volume needs to be viewed for a group of bars. Relatively large volume associated with a single bar may be misleading since the outcome could be uncertain. It will be ideal to see the breakouts with volume support and follow-through price actions.
Don't trade if you feel that you are compelled to trade by the market price movement instead of your intention (plan). Stop trading (cooling off) if you are making several trades in a very short time frame. Don't trade if you don't see a clear volume association with the trend development. Don't trade if you can not clearly define a trend (higher highs and higher lows for up trend/lower lows and lower highs for a down trend). Don't trade if you don't see the TS (T1)/T2 agreement with range breakouts.
