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….
Today I reintroduced additional horizontal structure, these are zones that sit in the middle of the M30 EQZs.
They can be turned on or off (like channels) with ease depending on whether they are helpful or not. I will do a video on this very shortly.
I’ve taken 4 trades, all of the screenshot.
- The M1 Sell MAB, it was decent apart from the context. My tight stop meant I got taken out just below where price turned around at the D1 Midline@12725
- I then took the buy REVFIB above Yes Low, did not work out, the bears remained in control.
- I took the M1 Sell MAB but used too generous a stop as my target was well below the REVFIB GZ. I closed out for a small winner (+0.51R). The buy REVFIB was one I should have taken but was a little blinded as I was in the sell and willing price lower 🙂
- I really liked the M5 Sell MAB at 12615 and what a battle zone it proved to be! However, my target was well below the 12577 level so once price struggled to go lower I closed out for +1.13R, 10 mins later it went to sit on my target and has since moved back to the 12577 level.
After such a strong sell-off price is currently consolidating…
Price is still at the D1 EQZ level of 12873, it’s a major level as shown by its supportive behaviour a few months ago before the big sell-off.
Let’s see what the price action offers today, yesterday offered a great Reversal Buy FIBCON at 4 pm when price reversed off the H4 EQZ@12788 but I was not tuned in and ended up with a BE trade.
Better than a loser but I should have walked away and let the trade play out.
Just had a +1.37R M5 MAB Sell Winner, followed by a -1.01R REVFIB Buy Loser, between the H4 (12615) and D1 (12577) EQZ boundaries. I thought that the previous resistance at the D1 EQZ would be enough to support price and see a move up towards the 4hour ema.
https://blackboxsoftwaresolutions.com/wp-content/uploads/members/desktop-lr7eroa/ge30.sb_M1_09jun2020_1049_18952414_buy.png
Both Elaine and I took the same M5 sell MAB, she got +2R, I closed out +1.13R due to the support at 12577
Well done, the early buy REVFIB was the one.
I’ve taken 4 trades so far, 2 losers (-2R) and two winners (+1.64R) so down -0.37R, will update the blog soon.
Passed on the M1 MAB as I thought it was low probability but when I saw the 12577 level holding I took the sell trade and got to 1.5R then price reversed and I committed the cardinal sin by moving my stop to just above the 12598 level and ended up with a 1.38R loser!! I should have closed out with some profit or at least break even… bummer!!
However I recovered some of that by taking the M5 MAB which was confluent with the 50% retracement level at 12615 and managed to get a 2R winner.
https://blackboxsoftwaresolutions.com/wp-content/uploads/members/bssdev11/ge30.sb_M1_09jun2020_1028_11372228_sell_M5-MAB-FIBCON-2R-Winner-Zoom.png
Well done on getting the full 2R out of the M5 MAB!
My read of the action meant that I closed out just above the D1 EQZ, but I don’t think I would have had the nerve to allow price to test that level anyway, especially after sitting through that battle between the 12604 Key Structure level and the 12615 H4 EQZ border just after entering the trade.
Just passed on an potential M5 MAB Buy trade at 13:03pm that would have seen just under a +2R profit, with a profit target just below the top of the Golden Zone (drawn from the price action of the M5 MAB Sell trade earlier.)
I passed on this trade as price had just formed an M15 MAB Sell opportunity; had it not been for this moving average bounce then I would have entered the trade, as there was confluence between the 5min ema and GZ 61.8 Fib level, the D1 EQZ (12577) below giving resistance between my entry and stop, and my belief that price wanted to move up to the 4hour ema after the Reversal.
You can also see a potential REVFIB Buy opportunity and a Micro-FIBCON marked up that occured earlier at around 11:45am.
https://blackboxsoftwaresolutions.com/wp-content/uploads/members/desktop-lr7eroa/ge30.sb_M1_09jun2020_1304_xxxxxxxx_xxx.png
Hi Joel, the M5 Buy MAB you spotted was a decent setup, excellent GZ!
I took the M15 MAB Sell but should have closed out when price hit resistance at the M5 MAB as it was confluent with the 61.8 FIB retracement of the move up which I hadn’t realised at the time, so was blinded to the M5 Buy until afterwards.
https://blackboxsoftwaresolutions.com/wp-content/uploads/members/bssdev11/ge30.sb_M1_09jun2020_1248_11373572_sell_M15-MAB-FIBCON.png
Took the sell off the H4 midline at the BRN 12700 level which was confluent with a GZ FIB retracement from the higher timeframe / start of the move down this morning. It took a while to play out and I began to doubt myself after taking the M1 MAB and H4 MAB losers, so I did my usual and micro-managed the trade closing out for just 1R only to see price continue down through my 2R target! I need to stop doing that!!
https://blackboxsoftwaresolutions.com/wp-content/uploads/members/bssdev11/ge30.sb_M1_09jun2020_1559_11376715_sell_H4-Midline.png