By Cosmic Surfer —

25-Oct-2024 | Trading Day 002

NQ Futures

  • Start with 3x300k (20k target) Apex accounts.
  • Price is extremely bullish. However, I had no opportunities to trade because none of the pullbacks to the 618 area were within my rules. There was no confluence or the base of the swing was not a valid 5m / 15m low
  • Note to self: When in doubt, stay out. It is better to have a day with no trades vs a red / liquidated day.
  • When price reaches a new high, it accumulates before making its next move. Wait for your pullback to the Golden Zone.
  • Be aware of shift in order flow as the HTF pullback begins. Don't try to catch a falling knife. Mitigations can be deeper. Draw fibs from the start of the swing.
  • Several 618 pullbacks worked - but I did not take them because:
Reasons to take it: the pullback, CSS, the energy was concentrating around the 618. A new high was created. Reasons not to take it: Top of the range long.
Reasons to take it: If I would have identified the start of the swing - but I don't think I would have. Looking at the CSS, perhaps could have because of the accumulation.

Trade 001 | W 6 pts

  • 50% of bearish HTF swing. Technically, the 'Glitch' did not deliver. The only reason this trade was green because it was a quick 6pt scalp.
  • Sell Limit and fixed 6 pts TP. Minimal drawdown of 3-4 pts. High risk, hence 1 contract only.

Trade 002 | W 6 pts

  • A little risky, but a quick scalp. Not the safest trade, worked out only because it was a short scalp and soon thereafter price left. In fact, it was a risky countertrend move - as the price action revealed soon after.

Trade 003 | W 9 pts

  • Missed the pocket because I froze
  • Looked at PA and I understood the target, looked at 6-10 pts and jumped on the moving train because I knew my destination.
  • Drawdown of 4 pts.

Trade 004 | W 8 pts

  • Main trade for the day that I was waiting for - I was a bit suspicious about the Buy Stop entry because of the falling knife, which I still caught, but with 1 contract only and it hit my SL instantly.
  • Manual entry and ended with 8 pts.
  • Lesson: Don't try to catch a falling knife. Wait and enter manually within the pocket. Also, just like Trade #003 today, there was a short opportunity as the target was known.

Summary:

  • Followed rules, all trades from within the pocket. High risk trades were with 1 contract.
  • ... and then blew it. Tried to short an origin of the move. Just from within the pocket which I had identified. Moved my SL and watched it liquidate.