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….
The M5 sell MAB above is a great example of: Good Structure – Poor Context.
The short-term range that’s formed had the 11000 level close to its mid-point. This range made the sell at point C a low probability even though it had good confluence:
- H1 Bear Channel.
- The 110000 level.
- 61.8 level@11001.4
- M5 EQZ Mid-line@11000.4
- M5 MA
The A-B leg is a clear impulsive move but the Lower-Low at point B was really a failed breakout of the bottom of the range. Sometimes these sell setups workout but the reason I passed was the range context.
A range like this does not offer high probability MABs and FIBCONs and I prefer to standaside and wait for more favourable price action.
I’ve just come back to my desk to see a decent Micro-MAB that formed when price broke back below the H1 Bear Channel and the 11000 level. The retrace back up to the 61.8 level was confluent with:
- H1 EQZ@11006.2
- M5 EQZ@11008.2
- M1+M5 MA’s
Overall the price action so far has not offered any clear setups, this one was structually decent, not great context but it worked out.
Price has continued to move up after the session low from Friday. There’s been no buy setups though I did mark up the above sell FIBCON at the D1 Bull Mid-Channel@11020.0 but passed on it due to the context.
Price had retraced down below (point B) the H1 Bear Channel and the H1 EQZ@11006.2, then found support and continued up.
A key level in the short-term is Yes High……