The purpose of a premarket prep is to find setups within my weekly trade plan bias.
Non-conjecture observations of the market
Big rejection of underlying demand followed by a move up giving H4-C-D M.S. 40.243 surpassing D1-C-D 40.377 and making a H4-C-D RBR 40.722 (thus new demand) testing overhead longtime supply of H4-C-S 40.865
Market Profile
Price trading currently 30-50 ticks above VAH but still hasn’t reached ADR 0.5 (which would coincide with H4 UKC in a range)
Compared against Weekly Trading Plan
D1 and W1 consolidation continue
Sentiment – Slightly Bullish
ZOIs for Possible Shorts
H4-C-S 40.865 (weaker)
H4-C-S B.E. 40.692
ZOIs for Possible Long
H4-C-D RBR 40.722
D1-C-D 40.377
H4-C-D M.S. 40.243
Mindful Trading
Slept good. No nap.
Focus Points for trading development
Weekly Goal
Correct position sizing
Have correct SL placement
Due to summer time I will focus on trading off newly formed SD ZOIs for intraday plays. Keeping in mind that due to lack of liquidity 2nd chance entries can give better R/R using the M30/M15 rule.
Risk Management
Only take 2 trades a day but only have 1 active trade on between the assets
Only trade off M30 candles
Trading Priority
FX pair outside value
FX pair inside > Gold
2+R profit during LN consider trading PNYC
After 4 losing trades reduce TP to 1.5R but after 1R can consider taking profits