Premarket Prep GBPNZD 09182020

18 Sep Premarket Prep GBPNZD 09182020

#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 38 Trad­ing Plan

The pur­pose of a pre­mar­ket prep is to find setups with­in my week­ly trade plan bias

Week­ly goal

• For­mu­late hypos in order of like­li­hood and track with actu­al devel­op­ment on the day

Non-con­jec­ture obser­va­tions of the market

• D1 Bear Engulf with an attempt to close over QLo giv­ing D1-C‑S 1.91979 cur­rent­ly trad­ing with­in pre­vi­ous under­ly­ing demand
• H4-C‑S 1.93057 formed through Bear Engulf clos­ing back into QLo with con­se­quent messy way down clos­ing below the brack­et­ing range
• H4 failed to break out into UT instead pushed back into range (low) 
• Mar­ket Profile
  • Pro­files Brack­et­ing but price closed below brack­et­ing range
  • ADR: 1446
  • ASR: 1410
    • 352
  • Day
    • Yes­ter­day’s High 1.93813
    • Yes­ter­day’s Low 1.91259
    • Price below yesterday’s low

Com­pared against Week­ly Trad­ing Plan

• Back trad­ing with­in W1 Demand

Sen­ti­ment

• Loca­tions
  • H4-C‑S 1.93057 with­in val­ue just below H4 QLo
  • D1-C‑S 1.91979 at VAL
  • ADR 0.5 right below yesterday’s low and D1-C‑D 1.91303
  • ADR exhaus­tion 
• Sen­ti­ment
  • LN open
    • Below Val­ue, out­side range
  • Open dis­tance to value
    • 1xASR
  • Sen­ti­ment
    • H4 failed to break out into UT instead pushed back into range with a pos­si­bil­i­ty for con­tin­u­a­tion if range low gets tak­en out. IB already extend­ed back into range and there is not much space left before hit­ting VAL.D1-C‑S 1.91979 is at VAL with some LTF sup­plies could make for a good return to val­ue play. 
• Clar­i­ty (1–5, 5 being best)
  • 4
• Hypo 1 — Mean Reversion
• Hypo 2 — Return to val­ue (short)
  • D1-C‑S 1.91979 at VAL with LTF supplies
  • Pre­ferred: Fake out extend­ing up, price action con­firm­ing rever­sal, failed auc­tion with quick play through IB range and extend­ing down. 
• Hypo 3 — Val­ue Accep­tance (long)

Addi­tion­al notes

• N.A.

ZOIs for Pos­si­ble Shorts

• D1-C‑S 1.91979

ZOIs for Pos­si­ble Long

• H4-C‑D 1.92541
• W1-C‑D 1.92067

Mind­ful Trading

• Feel­ing okay

Focus Points for trad­ing development

• Week­ly Goal
  • For­mu­late hypos in order of like­li­hood and track with actu­al devel­op­ment on the day
  • Incor­po­rate pro­file day type
• Trad­ing Rules
  • If Open out­side of val­ue con­sid­er the place­ment in rela­tion to ADR 
• Risk Man­age­ment
  • 3 trades 1% risk, 3rd trade only if first 2 worked out
  • OK to take 1R when in DD
  • 2 con­sec­u­tive days of lack of sleep = NO TRADING

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