09 Oct Premarket Prep GBPNZD 10092020
#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:
The purpose of a premarket prep is to find setups within my weekly trade plan bias
Weekly Focus Points
- Only trade off M30/M15 for entries. M30, time-based, or look for exits after 2 hours (4 TPOs). Unless the entry is really late.
- SL placement
- Add spread for shorts, subtract for longs
Compared against Weekly Trading Plan
- Near MN-C‑S 1.97330
- W1 moved above last week’s range and QLo, could be forming RBR if Friday closes higher.
Non-conjecture observations of the market
- Price action
- D1 messy phase 2. Yesterday closed as a potential Evening Star or Base but would need today to close to have confirmation.
- H4 Three Inside Down completely retraced and no follow-through. Consolidation instead with a DBD to VWAP. Possible H4 Phase 3.
- H4 still above VWAP
- Market Profile
- Broke higher from bracketing range and formed VA above the previous but very near proximity
- ADR: 1498
- ASR: 1411
- 36
- Day
- Yesterday’s High 1.97267
- Yesterday’s Low 1.95690
- Currently within value
Sentiment
- Locations
- H4-C‑S 1.96582 above VAH, within range
- ADR 0.5 Low just below VAL and H4 VWAP H4-C‑D 1.95532
- Sentiment
- LN open
- Opened within value at LTF demand and H4 VWAP
- Open distance to value
- N.A.
- Sentiment
- Balanced market with H4-C‑D 1.95532 below VAL which might prove reactive for a fake out value rejection down. H4-C‑S 1.96582 above VAH for a similar play. H4 formed an inside bar premarket, could go either way.
- LN open
- Clarity (1–5, 5 being best)
- 4
- Hypo 1 — Value Rejection Failure
- Long, H4-C‑D 1.95532 below VAL, H4 VWAP, ADR 0.5 Low
- Preferred: IB extension down, price action reversal, failed auction
- Con: taking out of M30 demand possibility for Hypo 2
- Short, H4-C‑S 1.96582 above VAH, LTF supplies
- Preferred: IB extension up, price action reversal, failed auction
- Hypo 2 — Value Rejection Down
- Possible H4 Phase 3, H4 DBD, new inside bar formed possibility for a new drop (or reversal)
- Preferred: M30 demand taken out, sustained auction into H4 c‑dem
- Con: H4 C‑Dem
- Hypo 3 — Responsive activity
- Hypo 4 — Value Rejection Up
- H4 VWAP in DT being reactive
- Preferred: Bull Engulf, IB extension up, sustained auction clearing overhead LTF supplies. Probably low initiative activity. Possibi
- Cons: Where to begin 🙂 LTF supplies, H4 C‑Sup, MN C‑Sup
Additional notes
- N.A.
ZOIs for Possible Shorts
- D1-C‑S 1.98128
- H4-C‑S 1.97414
- H4-C‑S 1.96582
ZOIs for Possible Long
- H4-C‑D 1.95532
- D1-C‑D 1.94746
Mindful Trading
- Feeling okay
Focus Points for trading development
- Monthly Goals
- Continue tracking my DRC tracking sheet
- Focus on my own progress and less on others
- Feeling okay with NOT trading
- Have ‘quieter’ weekends
- Weekly Goal
- Min. 3 times hitting the gym
- Trading Rules
- Trade from D and upwards unless a possible momentum trade, value acceptance or otherwise.
- Risk Management
- 3 trades 1% risk, 3rd trade only if first 2 worked out
- Capital Preservation during drawdown allows for 1R profit-taking
- 2 consecutive days of lack of sleep = NO TRADING
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