07 Dec Premarket Prep GBPNZD 12072020
#premarketprep #Forextrader #forex #FX #Forexlifestyle #daytrade #daytrading #tradeplan #tradingplan #tradingforex #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:
The purpose of a premarket prep is to find setups within my weekly trade plan bias
Weekly Focus Points
- Don’t take trades where SL placement is suboptimal. Instead, reassess for a better entry if possible.
Compared against Weekly Trading Plan
- Price trading within last week’s body.
Non-conjecture observations of the market
- Price action
- Retraced back to H4-C‑D 1.90553 BASE with continuation down arriving at D1-C‑D 1.89833 and H4 QLo
- Market Profile
- Profiles in UT, currently price is below Value
- ADR: 1371
- ASR: 931
- Yesterday’s High 1.91855
- Yesterday’s Low 1.90132
- LN open at ADR 0.5 with nearby ADR exhaustion and H4 QLo
- LN open
- Below Value, Outside Range
- Open distance to value
- 0.6 x ASR
- Moderate to large imbalance but due to near by D1 C‑dem and H4 QLo, we could see a mean reversion. Although last H4 candle printed a strong Bear Engulf and ADR got exhausted during initial minutes of IB. Further worth mentioning if IB is too wide we could just see some reactive behaviour although unlikely at this point due to news event it could just mean high momentum behind the move.
- LN open
- Clarity (1–5, 5 being best)
- Hypo 1 — Mean Reversion
- Moderate to large imbalance, nearby D1 C‑Dem, H4 QLo
- Preferred: Strong Bullish PA, IB extension with sustained auction. Monitor for value acceptance.
- Hypo 2 — Trend Continuation
- News driven. LTF bearish PA.
- Preferred: Take out of LTF demands with a close deep within D1-C-Dem. Ib extension down with sustained auction.
- Hypo 3 — Return to Value
- Preferred: IB extension up with PA reversal at VAL followed by failed auction.
- UK’s PM Johnson: I am ready to pull out of talks within hours over EU demands
ZOIs for Possible Shorts
- H4-C‑S 1.91275
ZOIs for Possible Long
- D1-C‑D 1.89833
- MN-C‑D 1.89659
- D1-C‑D 1.89128
- 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