Let’s review a trade and delve into my thought process behind it
Image 1:
In this image, I have outlined my H12 range after having a market structure break to the downside, taking the high that broke the market structure and the low that closed below my previous H12 range, as indicated by the green line marked MSB
Image 2:
Here I’m looking at the H1 chart inside my H12 range, which I’m using the Fibonacci tool to show on the left-hand side. Looking over the H1 chart there has been a clear run on the previous low and then closing back above that low making a swing failure pattern. This shows me that we could at least trade up into the premium level of the H12 range indicated by the red zone within the fib tool on the left
Image 3:
In this image, I’m showing my long setup model, As you can see we had the H1 Swing failure pattern followed by a market structure break to the upside. Now all my conditions have been met I initiated my long and await my entry at a fair value gap with my stops loss below the H12 low and my target up into the H12 fair value gap above the price
Image 4:
In this image, you can see that we got close to the H12 range highs which was my first target, but we fell just short of that high and then fell away back to the bottom of the H12 range lows. It stayed around my entry for a few days before having another spike up to the H12 premium which is where I took some partial profits and moved my stop loss up to break even in case we fell away again which is what happened, hitting my stop loss at break even, I managed to walk away from the trade with 1:1 risk-to-reward after fees.
Image 5:
In this image, I show where I took my partial profits and where I moved my stop loss, the reason I took some profit and move my stop loss to break even as I started to notice we are losing momentum inside the h12 premium area and being a Monday we do have a false move before reversing.
Looking over that trade after closing it I should have been looking for more on the short side of the trade as we had made a new bearish h12 range and it would be more reasonable to trade with that bearish bias in mind. Something to keep in mind if you trading against the higher time frame bias
Hope this helps to understand my trading and know that we all make mistakes even after trading for years
Let’s review a trade and delve into my thought process behind it
Image 1:
In this image, I have outlined my H12 range after having a market structure break to the downside, taking the high that broke the market structure and the low that closed below my previous H12 range, as indicated by the green line marked MSB
Image 2:
Here I’m looking at the H1 chart inside my H12 range, which I’m using the Fibonacci tool to show on the left-hand side. Looking over the H1 chart there has been a clear run on the previous low and then closing back above that low making a swing failure pattern. This shows me that we could at least trade up into the premium level of the H12 range indicated by the red zone within the fib tool on the left
Image 3:
In this image, I’m showing my long setup model, As you can see we had the H1 Swing failure pattern followed by a market structure break to the upside. Now all my conditions have been met I initiated my long and await my entry at a fair value gap with my stops loss below the H12 low and my target up into the H12 fair value gap above the price
Image 4:
In this image, you can see that we got close to the H12 range highs which was my first target, but we fell just short of that high and then fell away back to the bottom of the H12 range lows. It stayed around my entry for a few days before having another spike up to the H12 premium which is where I took some partial profits and moved my stop loss up to break even in case we fell away again which is what happened, hitting my stop loss at break even, I managed to walk away from the trade with 1:1 risk-to-reward after fees.
Image 5:
In this image, I show where I took my partial profits and where I moved my stop loss, the reason I took some profit and move my stop loss to break even as I started to notice we are losing momentum inside the h12 premium area and being a Monday we do have a false move before reversing.
Looking over that trade after closing it I should have been looking for more on the short side of the trade as we had made a new bearish h12 range and it would be more reasonable to trade with that bearish bias in mind. Something to keep in mind if you trading against the higher time frame bias
Hope this helps to understand my trading and know that we all make mistakes even after trading for years