SNIC is not a set-up I would have taken. Why? There was not a real signal for me. You might have entered on a break of the third bar low, but (hindsight being 20/20) I see the following problems:
1.) It happened far away from the retracement zone of the previous day's high to the opening range low. Yes, the previous bar touched the bottom of that zone - but the signal bar was far away. I like the signal to happen in or at least ON the retracement zone. There are exceptions - maybe if it is a compelling signal. Which brings me to my next point.
2.) I didn't like the signal. It was not exactly a hanging man. While it was a weak bar, it was not that compelling given the first strong bar and even the second bar's real body. Again, if it had been in the retracement zone I might have felt different, but my first thought was "this can rally back up to the retracement zone".
If you took the trade, I like your thought process - it was close. But going back to my deep thought from October, there were better set-ups today. So, maybe it just comes down to finding and taking the better set-ups.
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