I trade Nasdaq intraday exclusively
Trading in GMT time zone
Sharing my post day review & analysis in case it can help you :)
Did my analysis at +- 5:20am GMT
Usually, I am looking exclusively for a buy because Nasdaq was bullish overall and trading with the trend is always a good idea.
I believe this bearish pushdown is a big buy retracement on the D TF and not a trend reversal.
During my analysis, I noted the following:
Today was NFP. I usually don’t like trading during the day of a big news event. Often times markets are muted during the day with the true volatility coming with the news event.
I entered a buy one minute before NFP came out – Confirmations:
Market Pattern – Price had already travelled down the full distance equal to the height of the D double top. In theory, it is at this point that often market will reverse to test the neckline of the pattern.
Fib: Price was just above the 0.618 fib level of the D TF (a very high and strong TF)
S&R: 4H 200 EMA
My NFP buy was at A.
As NFP hit I was expecting a big reaction. However, market seemed quite unreactive.
For 10min price was sliding down.
I was very surprised and thought to myself that if NFP can’t turn this bearish retracement around, then price will fall a long way still.
I have been taking small losses in the past few days, attempting to catch the correct reversal point. But these have been quite small losses and overall, I am not too sad about them because my risk management was pretty good.
But in this moment, during the 10min after NFP, fear took over and I was not able to think straight.
I didn’t want to take further unnecessary losses and I was fearful that market would slip down because even NFP couldn’t introduce bulls into the game.
So, I closed at B. (right on the 0.618 D fib level).
As I was writing this trade in my trade journal and I was documenting the reasons for entering the trade, I thought to myself that these are such strong confirmations and that I didn’t give my trade enough breathing room. I realized then I had been too quick to react (out of fear) and should have waited to see how the candles would react to the 0.618 fib level.
So basically, keeping my trade journal highlighted to me that I had acted in fear and not rationally. I took a minute to think clearly what I wanted to do and knew I was prepared to put some money on the table for those strong confirmations, so I entered a buy at C.
Overall, bulls pushed up from B. by 2400 pips – this could be the start of the bullish trend again, especially as we saw the day close with a green doji candle on the D TF.
When I saw the weakness on the 15min TF after price had touched the 4H EMA, I closed half my position at D. I secured my remaining half position at entry and was hoping for market to continue pushing up to at least test the neckline of the double top on the D TF. But alas, we did not get there on Friday and candles spiked down to take me out at entry.
But felt really good to make some pips (950 pips) for the day!
Dealing effectively with emotions is one of the hardest parts of trading. Today, fear came into the game for me, but happy that my good habit of trade journaling helped me recognize this and that I still came out with some pips!
What could I have done differently:
Controlled my emotions better.
Hope you had a good trading day!
Catch ya on Monday!
TF = timeframe
TP = take profit
1H = 1 hour
4H = 4 hour
D = day
W = week
M = month
S&R = support and resistance
EMA = exponential moving average
Trading in GMT time zone
Sharing my post day review & analysis in case it can help you :)
Did my analysis at +- 5:20am GMT
Usually, I am looking exclusively for a buy because Nasdaq was bullish overall and trading with the trend is always a good idea.
I believe this bearish pushdown is a big buy retracement on the D TF and not a trend reversal.
During my analysis, I noted the following:
Today was NFP. I usually don’t like trading during the day of a big news event. Often times markets are muted during the day with the true volatility coming with the news event.
I entered a buy one minute before NFP came out – Confirmations:
Market Pattern – Price had already travelled down the full distance equal to the height of the D double top. In theory, it is at this point that often market will reverse to test the neckline of the pattern.
Fib: Price was just above the 0.618 fib level of the D TF (a very high and strong TF)
S&R: 4H 200 EMA
My NFP buy was at A.
As NFP hit I was expecting a big reaction. However, market seemed quite unreactive.
For 10min price was sliding down.
I was very surprised and thought to myself that if NFP can’t turn this bearish retracement around, then price will fall a long way still.
I have been taking small losses in the past few days, attempting to catch the correct reversal point. But these have been quite small losses and overall, I am not too sad about them because my risk management was pretty good.
But in this moment, during the 10min after NFP, fear took over and I was not able to think straight.
I didn’t want to take further unnecessary losses and I was fearful that market would slip down because even NFP couldn’t introduce bulls into the game.
So, I closed at B. (right on the 0.618 D fib level).
As I was writing this trade in my trade journal and I was documenting the reasons for entering the trade, I thought to myself that these are such strong confirmations and that I didn’t give my trade enough breathing room. I realized then I had been too quick to react (out of fear) and should have waited to see how the candles would react to the 0.618 fib level.
So basically, keeping my trade journal highlighted to me that I had acted in fear and not rationally. I took a minute to think clearly what I wanted to do and knew I was prepared to put some money on the table for those strong confirmations, so I entered a buy at C.
Overall, bulls pushed up from B. by 2400 pips – this could be the start of the bullish trend again, especially as we saw the day close with a green doji candle on the D TF.
When I saw the weakness on the 15min TF after price had touched the 4H EMA, I closed half my position at D. I secured my remaining half position at entry and was hoping for market to continue pushing up to at least test the neckline of the double top on the D TF. But alas, we did not get there on Friday and candles spiked down to take me out at entry.
But felt really good to make some pips (950 pips) for the day!
Dealing effectively with emotions is one of the hardest parts of trading. Today, fear came into the game for me, but happy that my good habit of trade journaling helped me recognize this and that I still came out with some pips!
What could I have done differently:
Controlled my emotions better.
Hope you had a good trading day!
Catch ya on Monday!
TF = timeframe
TP = take profit
1H = 1 hour
4H = 4 hour
D = day
W = week
M = month
S&R = support and resistance
EMA = exponential moving average