This update is later than usual – because the french side in me took control this morning – I went to the bakery and bought croissants.
I did my watch list before going out don’t worry. But by the time I got back the London session started so the priority was my lower time frame trading over this blog.
Anyway, I should update you on the 4h strat and not on my lower time frame trading since this is something I’ll keep private.
Trade Update:
AUD/JPY
I took a long on AUD/JPY this morning, the set-up happened at 2am, however, I was sleeping, and since I was fasting I didn’t want to disrupt my sleep. Instead I executed on the trade this am.
https://www.tradingview.com/x/fk4vi9jy/
This level is valid for me since it’s the first – and only valid imbalance comes from the level I have drawn. However the price action at the time wasn’t particularly pretty, so I won’t be surprised if this trade is one of the 40% of my trades that are losers. It happens. The aim is to execute when my strategy tells me to – and I did just that – so I’m happy.
Anyway, enough blurb, let’s dive straight into my daily watchlist!
Daily Watchlist
CAD/CHF
Canadian dollar / swiss franc is one of the pairs I’ll be eyeing up today. We are approaching the area of interest which has a weekly stack.
This supply area is created by breaking the descending trend line that was created in June.
I like the area, the only question is whenever or not it reaches it and gives me a valid script entry.
https://www.tradingview.com/x/P78WLH4i/
EUR/JPY
Okay so EUR/JPY is relying on a counter zone that dates back from the 17th of July.
However, we can see that the real supply area was the imbalance candle of the 21st of July – so I’m more hesitant for this position – the 21st doesn’t fit my rules so using the imbalance level of the 17th.
On top of that hesitation in terms of validity of the supply area, there’s another “hick” the weekly stack doesn’t exactly reach it, it only reaches the low of the 28th of September.
Yesterday we reached the mentioned zone, and the bullish candle that came out from it closed within the weekly, that was great, however it wasn’t a valid entry for me so I stayed out;
As you know I am however allowed to take trades that form a double top / double bottom so I’ll be eyeing it up today to see what it gives us
https://www.tradingview.com/x/3ZyzBeEX/
GBP/CAD
Pound Cad is the third currency pair I’ll be eyeing up today – just realized I said Eyeing up on every single breakdown – sorry about that repetition. But I like it so keeping it here.
This area is of interest to me since this demand supply area lead to the break of the ascending trendline that started in early July.
The weekly stack isn’t gorgeous if we only take one weekly imbalance instead of two, however, even if we only take one, there’s no close above it, only a wick so I’d be willing to us it.
https://www.tradingview.com/x/Lyas632y/
Daily Book
I’ve picked up Josh Waitzkin “The art of learning” (that’s an affiliate link to Amazon) – I’m around 100 pages in. Really enjoying it so far.
It’s a great way to understand the importance of keeping a beginners mind, to avoid repeating the same mistakes over and over, ideally we’d do the mistake once and then never do it again. However that;s not the reality.
Secondly he also shows the importance off having a strong foundational knowledge that is built up, we need to see our knowledge as something that we are continuosly adding to, not something that we have and are already at max capacity.
Thirdly he also shows the importance of willing to loose. Otherwise you wouldn’t be able to face off with better players than you, and you’d never really progress. Being the king of your neighborhood doesn’t mean shit once you’re in the open world if you’ve never fought against emperors.
Okay that was a shitty example, let’s take chess since that’s where he does this first example – if you win chess against you parents but refuse to play against anyone else since you;re scared of losing and breaking that “I only win at chess” mentality you won’t improve past a certain point.
There’s so much more.
Really wish I had been forced to read this book when I was younger
I’d recommend it. Here’s the link once again: Josh Waitzkin “The art of learning”
Daily Tweet (thread)
Shane did an entire thread of this topic, I’d recommend to read it.
Cheers,
Have a fantastic one
Bullish on Coffee - a Forex Trader Blog 
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