Hello again friends,
Deciding what kind of trader you want to be is important, so you're not bouncing all over the place. Having said that, learning different ways to trade can add an important weapon in your arsenal against the markets. I'm a counter trend trader at my core, but my trading plan has a provision when the maximum profit vs risk presents itself in the form of a trend continuation trade, a specific filter allows me to attack the market in this fashion. What this may look like in your trading plan may be different. Every trading plan is personal. Personal as the Preparation H on my fingertips now sticking the keyboard as I type.
Here, we see that NZDUSD has been in a well-established downtrend on the hourly, my trading time frame. I bounced out to a four hour, my higher time frame, and drew in some thin red horizontal support lines. These are places that price has touched at least 3 times on that higher time frame. We see that we are sitting on a spongy area of support at this time, and it will be important to see how the market behaves heading into the Sunday open. Unfortunately around that time, I will be too intoxicated after Sunday afternoon football to pay attention to this, but have at it guys.
We will look for a retracement from current price action, up into the .382 at least for us to begin to be interested. We see a fib confluence area consisting of fibs from the current and last swings lining up with structure. (Pink zone) Nice nice. One price action does something interesting up there, such as RSI overbought with a lower low lower close candle, kangaroo tail, something to indicate it will reverse, a market buy with two contracts is probable. Stops go at least 1 ATR above the most recent swing high. Target one is back down at previous structure. Once it's hit, stops on the second contract are rolled to break even. The second target is at the 1.27 extension, if you've got the balls to hang onto it.
Benny Manieri
Deciding what kind of trader you want to be is important, so you're not bouncing all over the place. Having said that, learning different ways to trade can add an important weapon in your arsenal against the markets. I'm a counter trend trader at my core, but my trading plan has a provision when the maximum profit vs risk presents itself in the form of a trend continuation trade, a specific filter allows me to attack the market in this fashion. What this may look like in your trading plan may be different. Every trading plan is personal. Personal as the Preparation H on my fingertips now sticking the keyboard as I type.
Here, we see that NZDUSD has been in a well-established downtrend on the hourly, my trading time frame. I bounced out to a four hour, my higher time frame, and drew in some thin red horizontal support lines. These are places that price has touched at least 3 times on that higher time frame. We see that we are sitting on a spongy area of support at this time, and it will be important to see how the market behaves heading into the Sunday open. Unfortunately around that time, I will be too intoxicated after Sunday afternoon football to pay attention to this, but have at it guys.
We will look for a retracement from current price action, up into the .382 at least for us to begin to be interested. We see a fib confluence area consisting of fibs from the current and last swings lining up with structure. (Pink zone) Nice nice. One price action does something interesting up there, such as RSI overbought with a lower low lower close candle, kangaroo tail, something to indicate it will reverse, a market buy with two contracts is probable. Stops go at least 1 ATR above the most recent swing high. Target one is back down at previous structure. Once it's hit, stops on the second contract are rolled to break even. The second target is at the 1.27 extension, if you've got the balls to hang onto it.
Benny Manieri
