Trading The Figure

Sunday, December 29, 2013 9:46 PM

The Figure: A term used to refer to every 100 pip interval in price. Some traders also refer to them as "handles."

There is a strong psychological relationship attached to these price levels as well as option pricing and
potential for stops to cluster at or near these levels.
Price can react notably at these price levels and mid-figure (every 50 pip interval that is not a big figure)
levels as well.
Having a "macro" perspective on the market and waiting for price to trade to these high probability levels
such as the big or mid figure can allow one to trade without being at the charts 24/7.
Always anticipate sweeps above and below the figure levels and swing highs and lows that are anchored
around them:
Higher time frame swings set up less frequently & allow less reaction time to participate profit taking.