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 first day in the new environment, it will need further tweaking for me to be at my desk for 8 am. Below is my retrospective read of the PA, had I been trading I like to think I’d have entered a sell trade??
This morning is a great example of why it’s worth being ready at 8 am (if possible due to the London effect), price moved up strongly to test the Daily structure shown above, see the arrow at the bear channel midline, and the EQZ midline@13021.
Below is the M1 chart marked up with the PA, I watched this on a tablet so did not have the Price Action Grid but I was able to see the sell REVFIB off the High but without the Grid, I was not able to appreciate the context and why it had multiple R potential.
A very important thing to point out is that there was a micro Double-Top at the High, when we see double/triple tops/bottoms at key levels we MUST be ready for a reversal. Their presence increases the probability that price cannot continue up/down at that time and as the saying goes “What can’t go up must go down” and vice-versa.
It was another great example of using the higher time frame structure/context to guide us on the lower time frame.
