Good day everyone. I hope you all had a good week of trading. Unlike myself, I had a week where no trade has been conducted. For 2 weeks my internet connection was gone and my phone line also gone. Due to a fact of a rat infestation at home. It was too hungary it bit my Fibre optic lines causing disruption on my telephone and internet lines. What more annoying is it took 2 weeks for the Service provider to come and replace f or a 1 min job! Such waste.
So not much of a trade. I took the early trade having a bad start. Then got my self even with a profit with the remaining 2 trade for the week. THough I had it exit early because I had to go to bed. so it seem it fall further!
The first 2 trade was confident. WHy, because it was inside a demand level from the indicator. With the pin bar on the hourly and a bullish engulfing in the 30 min. so I add the retracement into the 30 min engulfing which end up both position stop out for -45 pip loss. Not a wonderful number but that is just simply a day trading that gone bad.
Lets analyse this further inside a 30 min chart.
Obviously no Supply demand level of the 4hour was printed nearby as most of them are far out. so I took the liberty of the move.
Point A – A bullish engulfing had decide me to choose and long the Euro . But it went down instead after that attack by sellers seen an inverted pin bar. This got me stop out.
Point B – An outside bar or more like an engulfing bar, telling me that buyers are in and buying pushing the price way to fast and it gap a little. That gap provide me a clue of strong imbalance causing the gap and the outside bar or engulfing bar at B creates a Demand. So I long on the retrace thinking there must be unfilled orders that cause price back at that level providing good trap for buyers to take short squeeze on the remaining rally. And so I exit the trade inside the 4h supply.
Point C – Short the pair seeing the hourly is about to form a bearish engulfing. This clue is enough telling me the sellers are in now for a sell ride from that supply. As we know supply exceeding demand could mean one thing. that Price drop with no demand in it.
Since it was friday, there was not much of a move and I had to go to bed. so I close the trade. But 2- 3 hours after that, it went even nicer. What the heck. I will pay tribute to those traders next week.
But overall The only trade that is going extremely well is my GBP trade. This is the only pair I will carry forward till next week.
see you all next week.