20210608 Trade Review GBPNZD

Play: Val­ue Rejection

#fin­twit #order­flow #day­trad­ing #trad­in­gre­view #price­ac­tion #chartre­view #GBPNZD

Mar­ket Narrative

Price opened with­in val­ue and there was no brack­et­ing range. There was a pos­si­ble H4 Phase 1 / 3 and not much con­tin­u­a­tion to the D1 Bear­ish Inside Bar as price halt­ed above VWAP. 

Dur­ing IB price test­ed both VAH and VAL then pro­ceed­ed to form a Bull­ish Inside Bar in C then a RBR final­ly extend­ing in F con­firm­ing the val­ue rejec­tion. There was a D1 Sup­ply right above which had been test­ed mul­ti­ple times and along with D1 not show­ing a break away from D1 Bear­ish Inside Bar there could be upside poten­tial and order­flow was back­ing this up. 

How was the Entry?

Entry was off the break of IB with a mar­ket posi­tion. In times of low liq­uid­i­ty I have seen my buy orders get hit before a break of IB occurred and did not want to risk that. 

How was the SL place­ment and sizing?

Due to the momen­tum nature of the trade the SL place­ment was good. 

How was the prof­it target?

Not the great­est as D1 C‑sup was at 0.5R but the expectan­cy was for momen­tum to kick in with a sus­tained auc­tion clos­ing deep­er into D1 Supply.

How was the Exit?

I appar­ent­ly for­got to take a screen­shot of the exit so did this lat­er. FX syn­er­gy was still set to cut off trades auto­mat­i­cal­ly at 1pm Lon­don time and due to the 2–3 min­utes dif­fer­ence between my com­put­er and my bro­ker the trade cut off mid­way dur­ing J TPO and saved me some mon­ey. Good job automation 🙂

What would a price action-based exit have done for the trade?

So due to look­ing at a sus­tained auc­tion I decid­ed to let the trade on as it could have been a low ini­tia­tive day as TPO struc­ture was kept build­ing and clos­ing above IB. Nor­mal­ly I would have tak­en the trade off at the first sign of a LTF rever­sal since it I held the trade into the over­lap noise but held on to see if the auc­tion was sus­tained after all. It felt good to go through the OODA loops and mak­ing ‘slow­er’ deci­sions as I am a grasshop­per. It felt good to have a trade on. See it go against me and not feel bad about it as I was try­ing some­thing new.

What would a time-based exit have done for the trade?

This would have net­ted 0.2R, 0.3R at over­lap noise cut­off with a max of only 0.4R. 

What did I do well?

I did well to take the trade and then I did well to stick with it.

What could I have done better?

I think I did well on this trade try­ing some­thing new (going into over­lap noise)

Obser­va­tions

A poor high of 3+ TPOs prob­a­bly pos­si­bly doesn’t bode well for a con­tin­u­a­tion in that direc­tion. I will dub this very orig­i­nal­ly: Poor 3+ High/Low 🙂 so I can track it for my Playbook. 

Missed Oppor­tu­ni­ty

N.A.

TAGS: Poor 3+ High/Low, Pos­si­ble H4 Phase 1 / 3, Trend is up 3/3, Open with­in value, 

Pre­mar­ket prep on the day

Pre­mar­ket Prep GBPNZD 20210608

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Dai­ly Report Card on the day

How did I trade today? 20210608

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