Premarket Prep GBPNZD 10202020

#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 43 Trad­ing Plan

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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

• Price get­ting clos­er to MN c‑sup
• Price trad­ing reach­ing slight­ly over last week’s range, cur­rent­ly above body

Non-con­jec­ture obser­va­tions of the market

• Price action
  • D1 closed push­ing away from D1-C‑D 1.95422 tak­ing out H4-C‑S 1.95930 reach­ing for D1-C‑S 1.96409
  • Price formed a H4-C‑D 1.96010 BASE before cross­ing into H4 QHi and H4-C‑S 1.96566
  • H4 Phase 2
• Mar­ket Profile
  • Over­lap­ping brack­ets again, with price at the top of the bracket
  • ADR: 1382
  • ASR: 1210
    • 31
  • Day
    • Yes­ter­day’s High 1.96265
    • Yes­ter­day’s Low 1.95094
    • Cur­rent­ly above val­ue, out­side range, 0.7xASR

Sen­ti­ment

• Loca­tions
  • H4-C‑S 1.96566, D1-C‑S 1.96409 near ADR 0.5 out­side of range, with­in H4 QHi
  • H4-C‑D 1.96010 BASE at VAH
• Sen­ti­ment
  • LN open
    • Above val­ue, out­side range
  • Open dis­tance to value
    • 0.9xASR
  • Sen­ti­ment
    • A mean rever­sion would be more prob­a­ble due open sen­ti­ment and near­ly reach­ing MN C‑Sup. How­ev­er, PA has shown some deter­mi­na­tion in the uptrend. Hav­ing said that H4 is still range bound but has breached UKC and dove into over­head sup­ply which could either mean over exten­sion in a range bound sce­nario or a break from range.
• Clar­i­ty (1–5, 5 being best)
  • 3
• Hypo 1 — Mean Rever­sion (short)
  • Near C‑sup lines and open sentiment
  • Pre­ferred: PA rever­sal with IB exten­sion down, sus­tained auc­tion till VAH / H4-C‑D 1.96101 BASE area (although a return to this area could also mean a con­tin­u­a­tion down so will mon­i­tor for a poten­tial VAA
• Hypo 2 — Return to Value
  • Hypo 1 + PA rever­sal Long + TPO struc­ture build up 
• Hypo 3 — Con­tin­u­a­tion Long
  • Less like­ly but if there is momen­tum in a play up we could see HHs
  • Strong Bull­ish PA or per­haps a late sus­tained auc­tion entry

Addi­tion­al notes

• N.A.

ZOIs for Pos­si­ble Shorts

• H4-C‑S 1.96566
• D1-C‑S 1.96409

ZOIs for Pos­si­ble Long

• D1-C‑D 1.95422
• H4-C‑D 1.96010 BASE

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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