Well, I think it was too early to enter a trade yesterday. We reached the OTE level on the GBPUSD and are in the daily order block. The 4H low of that 1D order block comes in at 1.6757.
So step 1 of the waiting game is reached I think. Look at the divergence screenshot. There is divergence still between EU and GU. We an see a stop run @ EU. We might see the GU go to 1.6757 in LO today, but I
think we reached the high of the week (80% of the time it's between Mon-Tue LO, 20% Wed LO)
Step 2 of the game is to wait for a decent bounce of the levels, ideally wait for a Market Structure break on the 1H. When we see the MS break, than it's time to draw an OTE, and zoom into the 15M/5M for the execution phase.
We still need to see a decent bounce and MS break, so I leave that for LO. The retracement is for NYO or maybe LO tomorrow. See my last week's post of the GU for a stress free trade that can be entered with a day job.
My aim for the week is 75 pips (with a 30 pip SL and 2% risk, that's 5% for the week). Mind you, the goal is still far away but I'm doing ok ;D
So it the large move of yesterday retraces down into a OTE level, that's about my 75 pips, even after a MS break down + retracement up.
The move up into the OTE level - and I admit that I was wrong with the levels I posted Monday, which I see after the fact
- was actually expected when you had your eyes on XAUUSD (Gold). You could see the nice break to the upside, so it was expected the EU and GU to follow.
FredFresh, you're doing great so far. Try not to pick the tops/bottoms (part 1 of the waiting game), but look for clues of a reversal and trade the OTE after te reversal (part 2 of the waiting game).
Day trading is every day looking and 4 hours executing every week