Mon 27th Jul

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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.

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17:15

A Grade A Buy REVFIB

I’ve just come back to see the Grade A Buy REVFIB from earlier, well done Alex for taking this one 🙂

It was textbook:

  • Reversal from H1 KZ – see the H1 chart below.
  • Low Probability M1 Sell MAB
  • M5 Sell MAB
  • Excellent GZ

The 61.8 level was PERFECTLY confluent with the top of the H1 KZ at 12824, that’s why tested it so precisely as can be seen on the M1 chart above.

That’s two tests of the H1 KZ, 8 am and 1 pm, see below.

Not a lot going on today but this was the juicy salmon that swam by, everything about it was excellent, structure and context!

12:32

A Buy Micro-REVFIB from earlier.

A Buy Micro-REVFIB formed after the H1 KZ mentioned earlier was tested for support, since then it’s been tough as price has oscillated around the 12873 level.

I was not at my desk when this took place but it had great context as you can see below from the updated H1 chart showing the wick of the 8 am candle.

Yet another great example of the H1 KZ from last week in play this week. See the early morning blog where I posted the H1 chart anticipating the KZ coming into play.

06:38

In between the PW Low and the PM High

Since last Tuesday’s high, we’ve had a few down days and are waiting to see if this is a PB before another move higher or is there more downside to come?

The EQZ@12873 is key again, let’s let the PA guide us.

Below is the H1 chart with two KeyZones highlighted where possible setups might occur.

10 thoughts on “Mon 27th Jul”

    • I’ve just come back to my desk and marked this one up, well done for entering it.

      I think the best entry was with the stop below 12817 as you’ve got your trade tool in the screenshot, I’d be wary of the H1 MAB pushing price back down. It’s looking like PA is moving in your favour at the moment though!

      • In hindsight, even the tightest stop loss sometimes is all you needed! It’s fascinating how REVFIBs very often reverse almost exactly at the 61.8 level. Have you imagined entering that trade with a tight stop loss? Multiple R’s would be achieved easily!

        • Tight SL always look so good in hindsight… In reality, the trade you put the tight SL on will be the one that takes you out quickly and then pushes on in your favour. That’s happened to me too many times.

          You’re right that REVFIBs seem to conform to that 61.8 level well a lot of the time. I will have to have a look back and see just how often, that could be another edge, with tighter SL on REVFIB trades?

          If PA can win this tussle with the H1 ema and get through 12873 you could be onto a great trade here…!!
          …Here it goes!

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