We are opening with a gap from yesterday. The gap high is yesterday’s low at 3962. The gap low is at 3917, the OPEN of today. The IB is very small again at 21 points. We have low directional conviction, with price getting close to OPEN again. Price has spent more time above open than below, though.
Trade 1: Long, at the 50% Fib retracement 3918, took it of at 3924 which was the 0.618 target, could have left it on and waited for crossover of POC and reaching the Value area high (see second pictures). Entry at 8:21, exit at 8:29
Note the change in Delta from Red to green at 8:12 to 8:14, that was my entry signal together with the fact we are low and bounced of the OPEN price a few times already.
Video summery first trade and day setup:
This looks like a setup for a short at 50% retracement from high at 3931 at 8:47 candle. I did not take it because the overall trend was up and there was a chance that is going to continue up, we are more likely to see more range extensions to the upside in an attempt to close the gap. Range for the day is low. Like stated earlier, we saw more action above the OPEN price than below.
That became obvious at the breakout when we saw the next candle at 8:55 am.
At 10:20 am, this has been a trend day so far. There have been multiple range extensions to the upside, the gap left by overnight trading is now closed at 3962.50.
2nd video:
Missed Fibonacci trade to the downside:
I am watching the 11:05 candle for an entry short, two more candles with green delta, green stacked imbalances, then delta goes red. An entry at 50% retracement would have been successful at 3957 short. Video above explains it in detail. I missed this trade because I was not sure price would go up or down. On the other hand, I could have ridden out this falling flag to the downside, taken a small profit in case it decides to turn around and go back up. Falling trendlines were a good indicator.
https://www.tradingview.com/x/Kd97nfRr/
Day summary:
TPO Point of control at 3942! This was a multiple distribution day, the gap was closed from overnight. Settlement at 3955.25 There was not much volume today.
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