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 spotted this potential early breakfast at 06:45 and marked it up ready for the 7am open. I entered the trade on the M5 chart at 07:20 with my stop just above the 12400 level and the 2R target well above point B.
This trade was a great setup – see M30 chart below – as the top of the KeyZone at 12396 was in play last week as a Yes High and was key structure in a winning sell trade. Price did push briefly above it but failed and moved down strongly afterwards to results in a winning trade 🙂
This is perfect example of Pure Price Action where the trade was based solely on structure, solely on support and resistance.
Below are two screenshots, the first one shows the M5 chart marked up anticipating the trade before the 7am open. Note the spread is 5 pips – top left of chart – at 7am the spread drops to 1.5 pips then 1.0 pips at 8am.
The second one is of the M30 chart where the top of the KeyZone at 12396 shows why this was a must take trade due to its previous importance from last week.
Trade setup below…
Why the trade was a must take shown below…
