Sell Setup for NZDJPY
Updated
Daily: we have a clear liquidity grab at the highs and you can see price aggressively came back down
1H-4H Timeframe: We see multiple market structure shifts to the down side. Also with in the range of the initial move low from the highs, we see even more liquidity grabs at "resistance zones"
This gives us more confirmation that the market has intentions of going lower.
With the bearish order block I highlighted, we see an aggressive move down with multiple fair value gaps also known as "imbalance."
Price tends to come back and mitigate these areas in order to "balance the market" or so the big boy fund managers can close some of their hedged positions.
If price retraces to the fair value gap is in the premium zone, then you can look for sells based off your own rules.
Just to recap the premium and discount zones, after retracing the range down from high to low, anything above the 50% level is a premium zone where the risk to reward ratio for a sell is in your favor.
In the discount zone, the risk to reward ratio for a buy is in your favor.
Targets is at the lows of previous "support zones" also known as sell side liquidity, these areas are literally a magnet for price because so many orders rest below them.
Trade at your own risk, this is not financial advice.
1H-4H Timeframe: We see multiple market structure shifts to the down side. Also with in the range of the initial move low from the highs, we see even more liquidity grabs at "resistance zones"
This gives us more confirmation that the market has intentions of going lower.
With the bearish order block I highlighted, we see an aggressive move down with multiple fair value gaps also known as "imbalance."
Price tends to come back and mitigate these areas in order to "balance the market" or so the big boy fund managers can close some of their hedged positions.
If price retraces to the fair value gap is in the premium zone, then you can look for sells based off your own rules.
Just to recap the premium and discount zones, after retracing the range down from high to low, anything above the 50% level is a premium zone where the risk to reward ratio for a sell is in your favor.
In the discount zone, the risk to reward ratio for a buy is in your favor.
Targets is at the lows of previous "support zones" also known as sell side liquidity, these areas are literally a magnet for price because so many orders rest below them.
Trade at your own risk, this is not financial advice.
Note
Zoom in to get a way better pictureTrade active
what an entryTrade closed: target reached
after taking partials halfway, moved SL to Breakeven, Guys no matter how good your technical strategy is, you need to learn how to maximize your gains. In my opinion you must take partials, I personally cant stand losing multiple trades, so im more aggressive with profit taking. Nevertheless, you saw how the market reacted violently at that fair value gap in side the in the premium zone. If you can master your entries like that, then all you need is a money management strategy. Partial and breakeven, let the rest of the position run 2R, 3R 4R, etcc the sky is the limit, high win rate, that's my go to. I love Winning and so does my Psyche.Note
Bewar Ali
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