Premarket Prep GBPNZD 07212020

21 Jul Premarket Prep GBPNZD 07212020

#pre­mar­ket­prep #trad­ing­forex #forex #day­trad­ing #trad­inglifestyle #day­trader­life #GBPNZD 

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

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

Non-con­jec­ture obser­va­tions of the market

• D1 Bull Engulf D1-C‑D B.E. 1.91707 move away from VWAP (after con­sol­i­dat­ing around VWAP and now enter­ing KC for the first time) into over­head sup­ply (D1-C‑S 1.92097) break­ing slight­ly the range
• Over­head sup­ply not yet tak­en out
• H4 Morn­ing Star H4-C‑D M.S. 1.91411 with big push away from D1 QLo tak­ing out over­head sup­plies and clean arrival at H4-C‑S 1.92483. Fol­lowed by some con­sol­i­da­tion end­ing with a ‘weak­er’ bull engulf (out­side RTH) H4-C‑D 1.92657 since we just had a bear engulf pre­ced­ing it.
• H4-C‑D 1.92657 test­ed once
• Mar­ket Profile
  • Yes­ter­day val­ue very wide
  • Today’s price mov­ing above VAH about 40 pips near­ing ADR 0.5

Com­pared against Week­ly Trad­ing Plan

• Price above week­ly consolidation 

Sen­ti­ment — Slight­ly Bullish

ZOIs for Pos­si­ble Shorts

• H4-C‑S 1.92483
• D1-C‑S 1.92097

ZOIs for Pos­si­ble Long

• H4-C‑D 1.92657
• D1-C‑D B.E. 1.91707
• H4-C‑D M.S. 1.91411

Mind­ful Trading

• Sleep was good. No nap.

Focus Points for trad­ing development

• Week­ly Goal
  • Cor­rect posi­tion sizing
  • Have cor­rect SL placement
  • Due to sum­mer time I will focus on trad­ing off new­ly formed SD ZOIs for intra­day plays. Keep­ing in mind that due to lack of liq­uid­i­ty 2nd chance entries can give bet­ter R/R using the M30/M15 rule.
    • NO IB exten­sion trades
    • NO val­ue accep­tance trades
• Risk Man­age­ment
  • Only take 2 trades a day but only have 1 active trade on between the assets
  • Only trade off M30 candles
  • Trad­ing Priority
    • FX pair out­side value
    • FX pair inside > Gold
    • 2+R prof­it dur­ing LN con­sid­er trad­ing PNYC
  • After 4 los­ing trades reduce TP to 1.5R but after 1R can con­sid­er tak­ing profits
  • 2 con­sec­u­tive days of lack of sleep = NO TRADING