Premarket Prep GBPNZD 08132020

#pre­mar­ket­prep #trad­ing­forex #forex #FX #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:

GBPNZD Week 33 Trad­ing Plan

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

Non-con­jec­ture obser­va­tions of the market

• D1-C‑S 1.99731 proved reac­tive and end­ed the day with a bear engulf that had long sell­ing and buy­ing wick (sell­ing wick slight­ly longer) cre­at­ing new C‑Sup D1-C‑S 1.98375 where the H4 was previously
  • D1-C‑S 1.98375 shares the same lev­el with exist­ing demand
  • Pos­si­ble Phase 3 still in effect even though slight­ly mov­ing high­er still
• New­ly formed H4-C‑S 1.99004 with clean break away test­ing pre­vi­ous H4-C‑D 1.97912 which proved reac­tive again and messy rever­sal but clean arrival to new supply
• Mar­ket Profile
  • ADR 1314
  • ASR 1099
  • Price cur­rent­ly trad­ing at VAL edge with­in range (coin­cid­ing with ADR 0.5), will reassess at LN open for pos­si­ble open within
  • ADR exhaus­tion with­in val­ue inside M30 QHi
  • H4-C‑S 1.99004 with­in val­ue below M30 QHi above ADR 0.5

Com­pared against Week­ly Trad­ing Plan

• Mid MN, W1, and D1 swing
• W1 trad­ing above pre­vi­ous week’s body still touch­ing VWAP
• H4, D1 trend is up, W1 is down

Sen­ti­ment — Neu­tral to Slight­ly Bearish

• At the moment of writ­ing price is at VAL edge but not close inside yet. Will need to reassess at LN open.
• Due to ‘weak­er’ D1 bear engulf we could see fur­ther upwards move on the short to medi­um term

Addi­tion­al notes

• Open Inside val­ue could war­rant a poten­tial rejec­tion down due to near­by M30 QHi, H4 C‑sup, ADR exhaustion
• If open below but inside range we might see a con­tin­u­a­tion to the slight imbalance

ZOIs for Pos­si­ble Shorts

• D1-C‑S 1.99731
• H4-C‑S 1.99004
• D1-C‑S 1.98375

ZOIs for Pos­si­ble Long

• H4-C‑D 1.97912

Mind­ful Trading

• Slept okay

Focus Points for trad­ing development

• Week­ly Goal
  • Align with mar­ket narrative
  • Tak­ing a trade is not a priority 
• Risk Man­age­ment
  • 3 trades 1% risk
  • 2 con­sec­u­tive days of lack of sleep = NO TRADING