Welcome to the daily DAX commentary where we share with members our unique take on Price Action as the session unfolds. We comment on trade setups that conform to our Trading Edge and how we use the hybrid Blackbox Trade Controller for MT4.
Use the comments section below to post questions and read what others are saying.
Remember to:
- Follow your Trading Plan.
- Practice Visualization Techniques.
- Review and journal your trades at the end of each session.
- And above all else Be The Bear….
I’ve just noticed the bear spike just after midday, it’s a great reminder of the need to know when Monetary and Interest policy reports are announced from the major economies.
This one was by the Bank of England at midday, not a time to be in a trade!
At 10:13 price finally pushed above the PM High and Yes High then went on to test the key level at 12400 which is also confluent with the H1 Bull Channel Midline.
This setup a clear A-B impulsive leg so I marked up the setup, the M1 MA and the 61.8 level was confluent with the PM High and Yes High.
I decided to use a Buy Limit order and set it up as shown below as I had to leave my desk. On this occasion price stopped short of my entry level with the MA being enough to send price back up for a possible 2R as shown.
I’ve placed the Trade Tool to show what might have been!
The setup was decent, a clear A-B-C pattern with the PM High and Yes High acting as Role-Reversal at the Golden Zone.
Below is the Buy Limit I placed.
After yesterdays German Bank holiday the DAX opened this morning with a gap down. Since then its been in a range offering no clear A-B-C setups.