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….
Wow, what a bearish day yesterday turned out to be!!
Of all the days to be working on software, however, the result will be something that I’m very excited about and will take our trading to another level, I look forward to sharing this with you next week.
So today I’ll be continuing to update the software, good luck trading!
Looking forward to see the updates!!!
When you have a second, talk me out of my last trade please:
https://blackboxsoftwaresolutions.com/wp-content/uploads/2020/06/ge30.sb_M1_12jun2020_0750_xxxxxxxx_xxx_Failed-M1-REVCON-8.55.gif
Am I identifying the right version of the setup?
Blog updated here with one winner, one loser: https://blackboxsoftwaresolutions.com/fri-12th-june/
This is my take:
If you look left on the H1 timeframe, the D1 11840 and H4 11836 levels had previously acted as resistance and so these are levels where you might expect some role reversal. Price broke below the levels yesterday, but there are wicky candles indicating that there is some support here.
On the M15 and M30 charts, as price came down into these levels yesterday evening, you could consider an inverse head and shoulders pattern formation, with the left shoulder at about 17:45 and the head at 20:30 yesterday, and the right shoulder at 23:00 with another test at 02:00.
The 08:00am Open today occured as price was at these levels, and there was a sharp rise in price, signalling Bulls could be in control today and further showing the Support of these levels. I’ve picked out what looks like a 5-Wick Reversal pattern on the M5 timeframe that occured at the key levels giving further weight to the idea.
I would consider the FIBCON that you have marked up, that occured after the M1 Head and Shoulders to be the REVFIB. The Bears had exhausted themselves yesterday, there was a zone of support, and a couple of signs that price could be on the rise and retracing today.
Screenshot from M5 timeframe:
https://blackboxsoftwaresolutions.com/wp-content/uploads/members/desktop-lr7eroa/ge30.sb_M5_12jun2020_0835_xxxxxxxx_xxx.png
Would it even be considered a Reversal FIBCON at that point, or just a FIBCON as the reversal had already taken place overnight?
Hmm interesting….
I guess I didn’t see the day as a recovery day, but more as a sort of slow down of the downtrend day. That put me in a selling position, and therefore didn’t want to consider many buy options.
Thanks for the comments Joel! Have a nice weekend 🙂
Did you get on any Sell trades near the D1 midline 12135 level like you said in your blog?
I’m in one now, entry at the H4 12096 looking for a move down to the 1hour ema.
Ongoing trade as well!
https://blackboxsoftwaresolutions.com/wp-content/uploads/2020/06/ge30.sb_H1_08jun2020_1100_xxxxxxxx_xxx_H1-FIBCON-Ongoing.gif
I need to leave though, so I hope it turns out to be a winner trade.
It’s been a bit of a roller coaster day for me today. I was waiting for a sell around the 12135 level the same as you Alex but ended up getting drawn in when price stalled just below and moved back below 12096, I didn’t get a good entry so ended up moving my stop and taking a 1.5R loser 🙁
I took a buy trade as price was moving on up but missed the M1 MAB so chased price, didn’t get a good entry and closed out.
When price stalled at the high and couldn’t stay above 12142 I took a sell trade and thought price was heading down to the H1 MA so I moved my target to just above it, only for price to move down through my original 2R target before reversing and moving back. I didn’t want to take a loser so I closed out for break even and as soon as I did price moved back down through the H1 MA, so I should have trusted my read.
I realized that there was a REVFIB where I had closed out so when price moved back below 12096 I took another sell trade and got a 2.35R winner, maybe the same trade as you Joel? But I took another sell trade when price failed to get above 12096 again, it moved to 1R profit before reversing and moving back up and again as I didn’t get the best entry I moved my stop and eventually got taken out for another loser so I’m more or less break even for the day. I need to work on my trade management!!
https://blackboxsoftwaresolutions.com/wp-content/uploads/members/bssdev11/ge30.sb_M1_12jun2020_1219_11420462_sell_M1-Trades.png
Yes, you were on the same trade as I was! It took me two tries to get an entry, as I was expecting an M5 MAB at the H4 12096 level, but it worked out in the end.
https://blackboxsoftwaresolutions.com/wp-content/uploads/members/desktop-lr7eroa/ge30.sb_M1_12jun2020_1214_19024241_sell.png
Well done both!
Joel, great confidence there taking a second trade right after the loser! The structure was there, you saw confirmation and went for it, that’s excellent!