I am sharing a short 1 reason why we waiting for a candle to close is really important when you are entering the trade.
This may different approach for the different approaches to the way we trade or enter a trade.
This example using a support/resistance method to enter a trade.
An example chart is NEO/USDT pair.
If you are using a breakout on resistance method on trading, and if you can see the blue arrow, it's clearly a resistance and about to breakout.
The next candle on that blue arrow, after the candle closed on that blue arrow, you can clearly see in the yellow arrow that, the resistance already broken in the daily time frame.
The problem here is not yet closed, so you may enter on $42, which is already broken the previous days closing price. But at the end of the day, on closing price, it is below the resistance you are looking for. So the result, is kinda reversal, following candles become bearish and lead you to dump.
What're your thoughts? You have any reason why waiting for a candle to close is important? Feel free to share!