Ladies and gentlemen, for today, day 8 of the #50daysofbacktesting, I am going to show you one pattern that has worked for me over and over again.
Let's look at the price action for EU today.
๐งต
#100DaysOfProductivity
@Fairy_Trades
Let's look at the price action for EU today.
๐งต
#100DaysOfProductivity
@Fairy_Trades
So, as you can see, at 2 a.m. NY time, price begins to hunt for liquidity, and at 5 a.m., expansion begins, I explained that in this thread.
But this is not the pattern I was talking about.
Keep reading.
But this is not the pattern I was talking about.
Keep reading.
The first thing I do on my chart every trading day is draw out the new day opening gap, NDOG.
You can see that just after price expands around 5am NY time, it breaks below the NDOG, just before the NY kill zone begins.
You can see that just after price expands around 5am NY time, it breaks below the NDOG, just before the NY kill zone begins.
Usually, this breakdown will happen as the news hits the market on a high impact news day, say by 8:15 or 8:30 am, but there was no high impact news today so it didn't need that.
After the breakdown, price forms a bearish OB just below the NDOG and moves away from it, giving us the confirmation for the sell continuation.
This is where it gets interesting.
Keep reading.
This is where it gets interesting.
Keep reading.
That bearish OB that just formed is where we place our sell entry.
Then, we target the various sellside liquidity below, taking profits as your greed allows.
Once the NY session begins properly by 8am NY time, the impulsive sell kicks in, and price runs down to our targets, clearing all the liquidity below.
You see, in all honesty, you don't need to know the daily bias to trade this. You just need to recognize the initial impulsive move, then wait for the break of the NDOG.
It can be used in bullish scenarios as well.
The OB can form on the M15, M5, or M1 on days like NFP.
It can be used in bullish scenarios as well.
The OB can form on the M15, M5, or M1 on days like NFP.
What I just showed you is a secret that I hold dear to myself, and it works.
Backtest for yourself and let me
know what you discover.
Do well to share. Kindly like and
retweet, follow me for more
insightful information like this.
Trade safe.
Peace.
โ๏ธ
Backtest for yourself and let me
know what you discover.
Do well to share. Kindly like and
retweet, follow me for more
insightful information like this.
Trade safe.
Peace.
โ๏ธ
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