Tuesday 10th April

by Liam 22:31 0 comments

Come yesterday evening I was itching to get back to the charts on a "normal" day! It's part of my strategy not to trade when there is a bank holiday in either the UK or the US so I haven't really been at the charts since last Thursday. The Easter break may well have been a blessing in disguise. It allowed me to relax a bit, talk trading with a few friends and think about my approach to trading and the decisions i'm making.

I've definitely taken the decision to reduce my risk to 2%. This should help me deal with the emotional side of each trade. I think 3% was having to much of an affect on me.

I've also decided as of today to keep a more in depth and detailed review of charts / trades / possible trades / shoulda entries throughout the course of this month to start with and probably in to the future. I'm always aware of opportunities I haven't taken but now i'm going to keep a count. If I don't take a trade on a day, i'll make sure I document any trades that fill the bill. The idea behind this being that i'll be keeping a log of trades that fit my strategy and assessing why I took / didn't take them.

So starting with today; 2 entries I feel fit the bill. A sell on Oil and a buy on Euro.

Firstly, the Oil set up. Another great example of volume at volume. Two previous volume zones on the chart from Friday the 6th (A) and one from yesterday (B). Today's highest volume zone (C) covered these two areas almost to the pip. A great example of seeing volume at previous volume zones.

Oil 15min

We see some confirmation of weakness on the 5min before printing a ND in the Friday zone and down we go. We also print another ND into the low of today's zone after a weak retrace. This was another good entry.

Oil 5min

The EU entry is a bit of a mixed one. A lot of people took this entry or got in at this area on the forum i'm part of. I didn't enter because of what was the highest volume 15min area at the time above the test bars. The green fib also shows the highest volume 1hr bar at the time, so we have a confluence of areas. It was pointed out to me that it was simply a case of making a decision, which area takes precedence? I think the answer to this question lies in it being a higher time frame taking precedence. Something to further ponder.

EUR/USD 5min

So that's two main entries today, with a second add on entry on the Oil chart. These are the types of entries I want to and will be looking to take every day.

Cheers,

Liam