04 Nov 20211103 Trade Review DAX
Play: Return to Value Reversal
#fintwit #orderflow #daytrading #tradingreview #priceaction #chartreview #DAX #DE30 #DE30Cash
- Open Sentiment
- 0.39xASR Above Value, Within Range, Moderate Imbalance
- Return to Value, Value Edge reversal, possible Failed Auction Long
- Attempted Setup
- Entry Technique
- M30 Bull Engulf on the close of D TPO (2nd DTTZ)
- SL placement
- 25 pips due to tighter IBR and SL was placed well below IB low and PA formation
- ASR/4 was 29, ASR short 27, 25 was within margin of error
- TPO period for Entry
- E TPO
- Trade Duration
- Leading Narrative
- Previous day closing near it’s high
- Previous D1 Supply got taken out
- Open sentiment: above value, within range, moderate imbalance
- Larger timeframe bullish sentiment overruling D1 Supply (higher likelihood for it to get taken out)
- WARNING CONJECTURE (just logging the situation for my playbook): Possible move ahead of rate decision as I initially thought this move to take out Larger timeframe supply could happen tomorrow (Thursday) or even on Friday.
Price moved higher but did not extend IBR until H TPO. H then closed right at IB high before reversing Failing the Auction. PRice then proceeded to extend slightly to the downside forming a Neutral Day.
When NY opened price took out my SL by 3, 4 pips before shooting higher and eventually reaching over 4R.
- Taking a trade when uncomfortable with aftermath of getting my 2nd shot
- Taking a trade in the first week of the month. I usually don’t like that as non-farm and rate decision make price action ‘weird’.
- I took the trade even though trading right below D1 Supply,
- Recognizing Prev. Day had exceeded ADR and with that a possibility for a pullback (which did indeed come later). I decided for a retracement of prev. Day to happen in a strong uptrend price would need to accept value which I deemed less likely especially in equities.
- Going to bed and let the trade do its thing
- SL could’ve been slightly wider as price took it out and reversed almost instantly after
- Entry was taken right into M30 congestion and wasn’t the strongest play. Better would have been if the congestion had been cleared before looking for an entry.
Next Day Analysis
- Target hit?
- No, ‑1R
- Time-based Exit?
- Overlap Noise?
- End of Day?
- Highest R multiple?
TAGS: Above Value, Within Range, Moderate Imbalance, Trend is UP 3/3, Prev. Day Exceeded ADR, Move Ahead of Rate Decision,
Premarket prep on the day: