DOL hit, This is how i can frame an idea going into NY AM session, building context and understanding if x happens then y is so so important. This is just part of what i do to frame a trade idea.
Being able to read the market like a book rather than taking a trade based off a pattern doesnt work for me
This is simply how I read price on the HTF. --> a thread
Step 1: Go to HTF mark out recent range and mark 50%
- Price will likely look to retrace 50% of its move and possibly reject
Step 2: C2 Closure (rejection) at 50%
- in this case price in this picture hits a supporting OB. I'd like to see the following happen for downside
1. Closure below 50% of the OB thershold
2. I dont want to see a C2 candle formed here
Now this is the 4hr TF so waiting a entire 4hr candle isnt on the cards for me but the same idea works on HTF such as the 1hr.