daxtrader

Fri 9th Nov

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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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17:23

Today’s Results, +1.65R

A good day!!

13:56

Sell@RESCON Breakeven, -0.06R

I sold@RESCON and on this occasion feel I got the trade management just right 🙂

When price broke back below Yes Low and the H1 Channels I trailed my stop to just above the 61.8 of the Inner-FIBCON.

This resulted in another breakeven trade that proved to be a good call otherwise it would have been -1R.

 

10:36

GZ M1 Buy FIBCON Breakeven, -0.01R

I liked this buy setup, it had good structure and context after the bull move up. I trailed my stop once price had begun to move up, partly because I wasn’t sure if price wanted to test the M5 MAB.

Yet another wish I’d walked away, I used a Buy Limit to enter the trade.

The 2R would have come in so pleased with the price action read, would take it again 🙂

As I type price has come storming down…..

08:49

GZ M5 Sell MAB winner, +2.20R

At last!!!

A great GZ M5 MAB Sell winner 🙂

With point A taken from just below the H1 Bull Channel at 11468.4 the 61.8 was at 11468.8, the M5 EQZ.

I used the Trade Tool and got a great entry and profit target, I was tempted to for for more profit but decided the D1 Bull Channel might hold. Of course it hasn’t and I’d have had multiple R instead!!

Oh the power we have to influence the market 🙂

 

08:09

GZ M1 Sell MAB loser, -0.48R

I took the M1 Micro-MAB at 07:36, happy with the setup and context. I trailed my stop once price had tested the 11468.8 level, on this occasion it proved a good call as I’d have had a -1R otherwise.

Structurally and contextually it was decent, after sell bear spike down at 7am it was with the short-term order flow.

I’ve just missed the M15 MAB at 08:11 when price moved up to Yes Low.

Wed 7th Nov

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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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18:21

Today’s Results, +1.81R

Just the one trade today….

13:10

GZ M1 MAB Sell Setup

I’ve just returned home to see a great GZ M1 Sell MAB that’s recently formed after price decisively broke below the 11600 level.

A must take had I been trading…..

09:56

Sell@RESCON winner, +1.81R

After the strong move up I entered a sell trade at an area of RESCON at 11630ish…

I closed out due to the M5 Buy MAB for +1.81R, nice to have a winner after a losing start to November 🙂

I have to go out for a few hours so decided not the take the M5 Buy MAB which is currently looking good if you’d taken it.

Tue 6th Nov

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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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17:43

Today’s Results, -3.31R

The choice to take the first entry on the third trade meant the difference between being -3R down and breakeven!!

A poor start to November so far, the key thing is consistency, patience and marking up the A-B-C patterns in real-time.

15:48

Lessons and Rules…

Regarding the sell loser due to FOMO…

I’m reminded of how when there are two valid options to enter a trade it’s maybe best to:

Always take the second better value option!!

This means having the discipline to ignore the first option and accept it if it goes on to win without you. Once again, a limit order can help in this situation.

  1. Reason it out.
  2. Setup limit order (trap).
  3. Go do something else to avoid FOMO if price stalls on way to trade entry.

I’ve just updated the Trading Plan with this point.

 

15:34

I should have taken the GZ M5 MAB??

I should have taken the GZ M5 MAB@11484.4 that followed the last loser, it was a decent setup yet I passed, why?

I allowed three losers to affect my taking a good setup.

15:07

GZ Sell FIBCON loser, -1.07R

I identified two sell entries, one at 11516.8, the other at 11504.7 = 61.8 of Golden High-Low zone.

The Trade Tool is positioned where I planned to enter at 11516.8, however, my second option drew me in when price stalled and FOMO kicked in.

I entered and look what happened!!

As I type price is selling off further 🙁

The M15 and H1 charts BOTH highlighted option one as the best value, why did I get drawn in??

It was FOMO of course and another reason to consider a Limit Order and walk away or at least minimize the charts and do something else once you identified the setup and entry criteria.

That’s three straight losers today.

10:45

Two quick losers, -1.29R, -0.95R

I’ve taken two losers in quick succession 🙁

The first was a Sell Limit M5 MAB just above Yes low. It spiked through it for -1.29R. I liked the setup, I used the limit order as I planned to leave my desk.

It was close to being a winner, more fine margins….

I then took the GZ M1 Buy MAB on the retrace to Yes Low and the M5 EQZ@11468 and the H1 Bear Mid-Channel, structurally decent but did not work out.

A challenging ranging market…..

Mon 5th Nov

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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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09:25

Choppy morning so far…

A choppy rangy morning so far so I’m going go crack on with my garage project, if things go well I should finish it today.

Fri 2nd Nov

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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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18:43

Today’s Results, -2.17R

Three trades, the last one was the best setup but I didn’t let it play out, that would have given me a breakeven day.

09:46

Some end of week thoughts….

Some end of week, start of month thoughts.

How different a trading day can be. If I’d been able to take the 6:40 M5 MAB I’d intended to go for multiple R due to the overnight bullish context. I like to think there would have been a possible 5R trade.

I then missed the GZ M5 MAB at 8:06. I was sat with the Trade Tool but failed to execute, hence the option to use Limit orders at times is something I’m considering as it forces precision PLUS it can remove some emotion once setup, maybe even walk away so you don’t get tempted to over think things etc.

I was in buy mode and took the next GZ M5 MAB at 11627.5ish at 8:39, then had doubts due to the context (coming down from RESCON) so closed out for -0.45R only to get drawn back in and take another loser – with a gap – for -1.17R.

I then took the GZ Buy FIBCON@11600 plus the H1 Bear Channel that I’d marked up before taking the two losers. It was a much better value setup but I then had doubts, told myself I was over-trading and closed out for -0.55R.

I’m very quickly down -2.17R from three trades when in a parallel universe I’m up 7R 🙂

I’m stopping for the day as it’s NFP later and markets are often tough due to lack of commitment by traders as they wait for the Adrenaline rush of the announcement. The sun is out but too cold for a ride (for me anyway) so we’re going to enjoy a walk later as we’re busy over the weekend and the weathers not so good.

After the period of drawdown from the 11th-18th October I recovered to end October up 6.19%, that’s three consecutive profitable months so it’s all going on the right direction. I also feel SO close to a 5R-10R day, on days like today it’s vital to limit losses so time to stop and enjoy the sunshine 🙂

I’m experiencing a period where I have to work on my mindset, something all traders go through on the journey to success. This last week I failed to maximize the profit potential on several trades, I must let trades play out AND trust Grid structure. I was doing a good job of this but these last two weeks I’ve managed good setups poorly.

So even though I’m happy with the progress I know I’m SO close to crossing a threshold where 10-20% a month is possible!!

Over the weekend I will watch Adam Khoo’s video on what 7 reasons why traders struggle to be profitable. I’ve seen it before but it’s time to watch it again.

 

 

and also this video of the habits of successful traders.

We must remember trading is predominantly a mind-game so we must progam ourselves accordingly.

 

 

08:55

GZ M5 Buy MAB loser x2, -0.45R, -1.17R

I’m not in the right mindset it seems!!!

I took the next GZ M5 Buy MAB at 11627.5, did not work out, ended up taking two trades, two losers.

I’d previously marked up the lower GZ FIBCON@11600 and the H1 Bear Channel. I took it then had a moment of doubt, closed out  for -0.55R only to see it move up!!

I feel sure that if I’d not had the first two losers I’d have been more patient with the third. It was much better value and I’d anticipated it before taking the first two trades.

Three quick trades, all losers, time to stop me thinks!!

Below is the third Buy trade at 11600

08:30

Another GZ M5 Buy MAB Setup – Missed 🙁

I had this marked up but just missed it using the Trade Tool then wasn’t sure on the second opportunity.

It was a buy trade with the bull trend so it was the right side of the market to be on. I had the Upper boundary of the M1 Micro-Channel marked up but wasn’t sure about the lower one at the time of the M5 MAB. I’ve now placed it accordingly.

Following on from yesterday I’m thinking that a Buy Limit order would have been a better option for the following reasons:

  • My precise trade entry levels would have to be reasoned out.
  • No need to time the Trade Tool when price can move quickly.
  • You can leave your desk if you need to. It’s like a fisherman sets up his net and comes back later to see what the tide brought in 🙂

It’s something I plan to develop….

 

06:51

GZ M5 Buy MAB Setup

Price moved up strongly at 4:45am, maybe some positive news came out that boosted stocks??

I marked up a great GZ M5 MAB but the spread was too high at 6:40am 🙁

What  a shame!!

Thu 1st Nov

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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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20:16

Today’s Results, -1.35R

I traded the afternoon session, a buy trade followed by six sell trades. Once again I failed to realize 2R winners due to not letting them play out and trailing my stop too close.

One loser was Sell Limit that was not supposed trigger but did due to a fast spike up off the D1 Bull Channel.

Another range day that made it tough to trade FIBCONs, the best trades were selling at the top and buying at the bottom.

The main lesson from today is there’s a time to use/consider limit orders as explained in the blog.

16:22

GZ M1 Sell FIBCON winner, +0.79R

I’ve done it again!!!!

Trailed  my stop once price had reached the 1R level plus the Golden Zone of the Inner-FIBCON. On this occasion it was just too close, above the M5 EQZ@11468.8, the Inner-Inner-FIBCON was where price turned around – right at my stop.

I marked this up at point B and used a Sell Limit order, it was Freaking Perfect!!!

It even triggered whilst I left my desk for a few minutes – Perfect. Wished I’d not come back to see it and trail my stop, another 2 minutes and the 2R would have come in.

I will sort this, it a good problem to have because you have to be in a good trades to experience this.

Also, the Sell Limit played out perfectly and it’s whetted my appetite for them. As I mentioned earlier, marking up a Limit Order should force a really detailed study of the setup and if done well means you can place it then let it play out without having to watch the screen intensely and have to time the Trade Tool which at times can be a challenge.

There’s a time to use the Trade Tool and a time to use Limit Orders…

Despite not getting 2R from the last trade it was a great example of the Sell Limit.

15:09

Six Sell trades, 2 winners, 4 losers

Wow, after not trading this morning I sat down for the afternoon session.

I’ve taken six sell trades in quick succession, not good practice but here’s the headlines.

After the earlier buy trade where I mentioned about using limit orders I found myself setting one up and it got triggered accidently.

I did set it up, testing how fast I could move and place it but the spike up off the D1 Bull Channel plus the Open was so fast I didn’t have time to cancel it.

That was the -0.94R loser.

I then sold when price reached Yes High, it was a great setup, I got a great entry BUT once again I did not let it play out and only got +0.42R from it.

There’s a real pattern at present where I’m:

  • Not letting trades play out.
  • Not trusted Grid structure.

This MUST be sorted!!!

I then setup another sell limit for the M5 MAB but did not cover the M5 EQZ@11484.4, got just tapped out before it went on for a 2R winner.

I ended up taking two more sell trades that were not totally rubbish but I should have walked away at that point.

13:35

H1 Buy MAB winner, +0.48R

I was The Bear on this H1 Buy MAB setup at the 61.8 level of the Golden Low-High zone but got a poor entry so my target was above not only the Inner FIBCON’s Golden Zone it was above Yes High.

Once again I did not let things playout, as Adam Khoo points out, that can skew the traders equation big time!!

See below on the M15 chart the KeyZone just below the Golden Low-High zone. I’d marked this up as the best value entry but price spiked such that manually entering using the Trade Tool meant price had moved by the time it was executed.

It’s important to mark up only the obvious KeyZones, it’s easy to over do it

Note how price formed a Micro-Double Bottom perfectly on the top of the lower KeyZone!!

I’ve been starting consider the use of limit orders to get more precise entries and on this occasion it would have been the best option. The 2R target would have been much lower and as I type would have come in by now.

Using limit orders does have the benefit of forcing you to anticipate the setup and mark it up very precisely.

They also mean you can blink and not miss a setup which can happen often on the DAX 🙂

09:33

Another GZ M1 Buy FIBCON

I’ve had a few admin things to sort through so have not traded so far today.

I’ve just noticed the GZ M1 Buy FIBCON at Yes High and have marked up the Inner FIBCON and once again guess what?

Price reached it’s Golden Zone@11516.8 and then reversed back down to Yes High. The bulls quickly drove it back up but the key thing to note is:

The Trade Tool allows us to get a very precise entry such that we want the 2R to be at the 50% level of the Inner FIBCON or better.

 

08:34

Missed GZ M1 Buy MAB

I missed the best setup so far today at 08:15…..

The retrace to the H1 Bear Channel and the 61.8 level produced a really good M1 MAB

Wed 31st Oct

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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.

Remember to:

17:34

Today’s Results, -1.23R

Just the one early trade today.

08:43

GZ M1+M5 Buy MAB Setup

I talked myself out of this buy MAB setup, I used the recent Lower-Low as point A, it gave the 61.8 level at 11416 on the D1 Bull Channel.

I was definately affected by my early loser at the same structure!!

When point A is taken from the D1 Bull Channel then look where the Golden Zone falls!!

I’m not tuned in it seems and I have to go out for a few hours at 9:30, it might be for the rest of the day.

 

08:21

GZ M1 Micro-FIBCON Sell Setup

I had to leave my desk just after the 8am open, I’ve just come back to see the GZ M1 FIBCON marked up above.

It takes skill to trade these and you need the Trade Tool but I want to draw attention to point A at 11428.5 that was produced by the spike up off the 11415 level.

Note how perfect the 61.8 level is at point C at 11415.5 and it’s confluent with the D1 Bull Channel and the M5 EQZ.

07:08

GZ M1 FIBCON loser, -1.23R

I anticipated a bullish gap up followed by a retrace after observing the 7am open many times.

There were two possible buy entries, I chose the lower probability just below Yes High. Had Yes High + the M5 EQZ@11431.5 not been present I wouldn’t have taken it. 

The gap down resulted in a -1.23R loser as I didn’t move my stop.

These setups are tough to trade and should probably be left alone unless you take only the best value entry if two options are clearly present.

06:56

Weekly KeyZone

I’ve marked up a key zone on the weekly chart. It’s about a 115 pips in height and if it holds could push price higher OR if it fails watch out below OR price could orbit it for some time?? 

Tue 30th Oct

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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.

Remember to:

18:46

Today’s Results, -0.24R

I ended up slightly down on the day after two losing MAB Buy trades due to price coming back down from the top of a range.

Structurally they were good but contextually they were low probability due to the price making its way back down a range.

The fifth trade should have been a 2R winner had I not trailed my stop so early, more fine margins.

12:27

Two MAB losers, -0.97R, -1.08R

After taking a break I came back to see the bull spike back above 11325 and the retrace in play. I took the M1 Buy MAB@11325, did not work out.

I then took the much better setup of the GZ M5 Buy MAB at 11310.1, did not work out though it was a decent setup, the better of the two.

On this occasion the Impulsive A-B Bull leg did not provide the FIBCON energy needed.

Whilst price is moving between Grid structure it has not been kind to us as can be seen by the strong move back up off the H1 Bear Channel.

 

10:35

GZ M15 Sell MAB loser, -0.50R

I was So The Bear on this setup and waited patiently for the M15 MAB at the 11325 level.

 I was happy with my entry and stop just above the 50% level of the current Golden Low-High zone. When price moved below the 11325 level I reduced my risk and protected my stop with the 11328 level.

I moved my stop too early, the 2R would have just come in 🙁

Great anticipation, great entry and stop, poor trade management.

09:21

If price reaches the 11325 level?

If price manages to reach the 11325 level there’s good role-reversal structure though as I type price is trying to push below the Open and test the current Low.

08:36

Four trades, 2 winners, 2 losers, +2.31R

What busy 30 mins after the 8am open, I’ve taken four trades as follows:

  1. I took the M5 Buy MAB though I entered early at the H1 EQZ 11388.8 level. This has been a key level as shown when looking-left on the M15 and H1 charts. I almost talked myself out of it due to the RESCON but went with the bullish 7am momentum.
  2. Took a great Buy@SUPCON@11328.1, just above the H1 MA. Should have let it fully play out for 2R.
  3. Took the M1 Sell MAB@11363.0, not great Role-Reversal structure to support it, didn’t work out.
  4. I then took the GZ M5 Sell MAB, a much better setup! On this occasion I moved my target as structure supported  it, this one worked out 🙂

The 1st and 3rd trades were weaker setups – easy afterwards of course.

Mon 29th Oct

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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.

Remember to:

20:12

Today’s Results, +0.16R

Just the one breakeven trade today, early finish.

11:36

Done for the day..

I’ve got to go work on a garage project that I started on Saturday, the sun is out and I need to open the doors etc.

Pleased I’ve not chased price after passing on two Buy FIBCONs and after missing the M15 Buy MAB@08:16

Have fun trading…..

10:26

Sell@RESCON, +0.16R

The D1 EQZ@11397.9 was a possible target as pointed out by Joel earlier.

I tried not to over think this one and entered as shown but also felt price might push a bit higher.

It started well but the M1 MAB was my reference point and if price moved back above the M5 EQZ@11388.8 I wanted out so trailed my stop to just above this level.

So was stopped out for breakeven and I’ll have to accept if it reverses and goes on to my 2R target.

Price has just reached my stop so it would have been a 1R loser.

There were two decent Buy Micro-FIBCONs on the move up to 11397.9 but no M1 MA in play due to the speed.

07:33

GZ M1 Buy Micro-MAB

Was waiting for price to retrace to the 11228.3 level for the M1 MAB.

After a gap down at 7am price moved up strongly setting up a short-term buy.

A good setup, good Role-Reversal structure, my 2R was just below the Open if I’d had a good entry.

Next time……..