Premarket Prep GBPNZD 10162020

16 Oct Premarket Prep GBPNZD 10162020

#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 42 Trad­ing Plan

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 trad­ing track slight­ly above last week’s body but with­in range still

Non-con­jec­ture obser­va­tions of the market

• Price action
  • D1 Phase 1/3, range bound still. Yes­ter­day closed as a pin­bar react­ing off of D1-C‑S 1.96399 after com­ing off the large inside bar the day prior. 
  • H4 sup­ply cre­at­ed at D1-C‑S 1.96399 / H4 QHi giv­ing H4-C‑S 1.95925 through Three Inside Down. H4 range bound, break away from QHi not the best. Found some demand at H4 VWAP Range, right below D1-C‑S 1.95562
• Mar­ket Profile
  • Yesterday’s VA cre­at­ed in line with pre­vi­ous brack­et­ing range even though we tried to break down the day prior. 
  • ADR: 1587
  • ASR: 1290
    • 33
  • Day
    • Yes­ter­day’s High 1.96473
    • Yes­ter­day’s Low 1.95262
    • Cur­rent­ly below VAL, out­side range, 0.2xASR

Sen­ti­ment

• Loca­tions
  • D1-C‑S 1.96399 at VAH, H4 QHi
  • D1-C‑S 1.95562 below VAL and just below range
  • ADR 0.5 low at D1-C‑D 1.94736, in prox­im­i­ty to QLo
  • H4-C‑S 1.95925 right at VAL
• Sen­ti­ment
  • LN open
    • Below val­ue, with­in range
  • Open dis­tance to value
    • 0.1xASR
  • Sen­ti­ment
    • Due to mod­er­ate imbal­ance we could see a move although H4 formed a Bull Engulf (H4-C‑D 1.95495 at round num­ber) so we might see val­ue get­ting accept­ed (near prox­im­i­ty) and move back up to D1-C‑D 1.96399. Due to this over­head sup­ply any­thing beyond could prove to be tricky. 
• Clar­i­ty (1–5, 5 being best)
  • 3
• Hypo 1 — Return to val­ue (short)
  • H4-C‑S 1.95925 at VAL
  • Pre­ferred: price action rever­sal, with­in IB per­haps and exten­sion down
• Hypo 2 — Val­ue Accep­tance (long)
  • Pre­ferred: VAA in ear­ly ses­sion. Quick val­ue rotation.

Addi­tion­al notes

• N.A.

ZOIs for Pos­si­ble Shorts

• D1-C‑S 1.96399
• H4-C‑S 1.95925
• D1-C‑S 1.95562

ZOIs for Pos­si­ble Long

• D1-C‑D 1.94736
• H4-C‑D 1.93720

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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