13 May Premarket Prep GBPNZD 20210513
#fintwit #orderflow #daytrading #premarketprep #GBPNZD #Forextrader #forex #FX #Forexlifestyle #daytrade #tradeplan #tradingplan #tradingforex #tradinglifestyle #daytraderlife
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
- Min. 3 times hitting the gym + mandatory cardio
- Trading rules
- M15/M30 entries and exits at 1st DTTZ, M5 entries and exits at 2nd DTTZ
- Only price-action based exit rules (or if hit time stop comes earlier)
- Otherwise a Bart Simpson exercise
Compared against Weekly Trading Plan
- Price moved up from W1 QLo, W1 VWAP, creating W1-C‑D 1.92818, with price currently trading above last week’s range arriving at W1-C‑S 1.97330 (with some reaction at the moment but will need a close)
Non-conjecture observations of the market
- Price action
- D1 Rally to D1 UKC in R coinciding with D1/W1 supply closing within D1 QHi
- Price arrived at H4 QHi (slightly within D1 QHi) and started reacting through a DBD formation creating some supply giving H4-C‑S 1.96286 (although high in distribution curve)
- Trend: H4 Up, D1 Down, W1 Up
- Prevailing trend: Mixed Trend
- Market Profile
- Value in UT
- Daily Range
- ADR: 1309
- ASR: 920
- 230
- Day
- Yesterday’s High 1.96690
- Yesterday’s Low 1.94527
Sentiment
- Locations
- Sentiment
- LN open
- Above Value, Outside Range
- Open distance to value
- 0.4xASR
- Premarket
- H4 pullback closing to slightly below D1 QHi after reacting off H4 QHi
- Narrative
- Moderate to large imbalance due to open slightly outside range. Could go either way. H4 and W1 supply and H4 price moving down could see a continuation down although due to D1 closing near its high there could still be buyers around these levels. Having said that price has reached D1 UKC in R. Asia traded sideways and Franky Fake out took it down without taking out LTF demand.
- LN open
- Clarity (1–5, 5 being best)
- 4
- Hypo 1 — Return to Value / Trend Continuation
- Narrative: Open sentiment, possible continuation to D1 narrative
- Preferred: Strong Bullish PA, IB extension up with a sustained auction, preferably a move extending down to value edge before failing auction to new highs.
- Con: H4/D1/W1 Supply overhead.
- Hypo 2 — Swing Reversal / Mean Reversion
- Narrative: Variation to Hypo 1
- Preferred: price extends to the upside hitting W1 Supply (and fulfilling mean reversion criteria) before forming a strong reversal to failed auction
- Con: Possible D1 bullish narrative
- Hypo 3 — Responsive Activity
- Narrative: A breather in the market after a rally and hitting a key level of supply
Additional notes
- Capital Preservation Rule in effect
- Might lose electricity today due to maintenance to power supply
ZOIs for Possible Shorts
- MN-C‑S 1.97330
- W1-C‑S 1.96840
- H4-C‑S 1.96286
ZOIs for Possible Long
- H4-C‑D 1.94256
- W1-C‑D 1.92819
Mindful Trading (lack of sleep?)
- Feeling okay
Focus Points for trading development
- Monthly Goals
- No momentum trades on Non-Farm Fridays
- Feeling okay with NOT trading
- Have ‘quieter’ weekends
- Weekly Goal
- Min. 3 times hitting the gym + mandatory cardio
- Trading rules
- M15/M30 entries and exits at 1st DTTZ, M5 entries and exits at 2nd DTTZ
- Only price-action based exit rules (or if hit time stop comes earlier)
- Otherwise a Bart Simpson exercise
- 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
No Comments