20210714 Premarket Prep DAX

14 Jul 20210714 Premarket Prep DAX

#Fin­twit #Order­flow #day­trad­ing #day­trade #forex #FX #trade­plan #trad­ing­plan #trad­ing­forex #trad­inglifestyle #day­trader­life #index #indices #DAX #DE30Cash

This is my pre­mar­ket prep for today’s Euro­pean ses­sion for DAX. This prep builds off of my week­ly trade plan I made here:

DAX 2021 Week 28 Trad­ing Plan

The pur­pose of a pre­mar­ket prep is to find setups with­in my week­ly trade plan bias

Com­pared against Week­ly Trad­ing Plan

• Price made a HH tak­ing out W1 Sup­ply and is cur­rent­ly trad­ing above last week’s body and range

Non-con­jec­ture obser­va­tions of the market

• Price action
  • D1 RBR giv­ing D1-C‑D 15696.16 (although high in dis­tri­b­u­tion curve) tak­ing out sup­ply fol­lowed by a doji
  • H4 con­sol­i­da­tion after sup­ply got tak­en out. Pos­si­ble H4 Phase 3
• Trend: H4 Up, D1 Up, W1 Up
  • Pre­vail­ing trend: Trend is UP 3/3
• Mar­ket Profile
  • Val­ues in UT
• Dai­ly Range
  • ADR: 18601
  • ASR: 14941
    • 3735
  • Day
    • Yes­ter­day’s High 15812.00
    • Yes­ter­day’s Low 15746.30

Sen­ti­ment

• LN open
  • Below Val­ue, With­in Range
• Open dis­tance to value
  • 0.14xASR
• Nar­ra­tive
  • Mod­er­ate Imbal­ance. H4 broke low­er from con­sol­i­da­tion towards new­ly formed D1 demand coin­cid­ing with H4 VWAP in UT. D1 closed neu­tral yes­ter­day today price is trad­ing below yesterday’s range. Asia and FF trad­ed down. 
• Clar­i­ty (1–5, 5 being best)
  • 3
• Hypo 1
  • Val­ue Acceptance
• Hypo 2
  • Sus­tained Auc­tion Down, pos­si­ble entry from with­in IBR
• Hypo 3
  • Failed Auc­tion Long
• Hypo 4
  • Auc­tion Fade Long, vari­a­tion to hypo 2

Addi­tion­al notes

• Cap­i­tal Preser­va­tion Rule in effect

ZOIs for Pos­si­ble Shorts

• Not favored in equities
• H4-C‑S 15784.44

ZOIs for Pos­si­ble Long

• D1-C‑D 15696.16

Mind­ful Trad­ing (lack of sleep?)

• Not the sharpest. Will most­ly observe unless some­thing jumps out at me. 

Focus Points for trad­ing development

• Month­ly Goals
  • No momen­tum trades on Non-Farm Fridays
  • Total of 13 trades by the end of the month
• Week­ly Goal
  • Min. 3 times work­ing out at home + manda­to­ry cardio
  • Use SL scal­ing in case the prof­it tar­get for the set­up doesn’t pro­vide 2R for exam­ple for FA or VAA setups
• Risk Man­age­ment
  • With­out forc­ing a trade: aim to take 1 trade a day, if pos­si­ble 2. 
  • Cap­i­tal Preser­va­tion dur­ing draw­down allows for 1R profit-taking
  • 2 con­sec­u­tive days of lack of sleep = NO TRADING

• Twit­ter
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