Daily Journal - Day 3

 Price Action Daily (V2H3) (11:30) 

1. The price fell in the early session to create the daily low. 

2. After pulling back from 66,800 (Daily low) it completed its pull back to create the daily high at ~67,750. 

3. The price again retested the daily high in the late session at around 4:20 in the morning. 

4. It closed just above the median. 

What does the price tell me? 

1. Sideways market after steep fall on Monday. 

2. It created a range of ~1000 points. 

3. It kept finding support on 66,800 for 2 time directly and 2 time indirectly. 

There can be two outcomes today: 

1. It still stays in this range to again consolidate. 

2. If it breaks out 67.6K, 68,400 can be seen but if it breaks down 66,600 then a new low at 65,500-65,800 can be formed. 

ATW (11:42) 

1. The price is trading below the median line and looks like it might test the median again. 

2. If the breakout is successful 67,600 can be seen which is daily high line. 

3. If it faces rejection on median line retest of the lowest line will have high probability. 

4. Bullish structure has formed from today's current low. 

EUR/USD 

1. After finding support on the lowest line and not touching the median the price again came down to redyes lowest lone. 

2. Waiting for a good 15m bullish candle close. 

Trade 1: EUR/USD --- Stop Loss (5pips) 

What went wrong: 

1. I did not wait for 15m candle close rather went on with 5m green candle close. 

2. I did not take risk on BTC short trade, and it went down, And I went ahead and risked it in EUR/USD in FOMO which was wrong.  

Trade 2: FOMO trade on XAU/USD --- Stop Loss 

Post trade thoughts: 

1. I am done for the day, wont over trade as I am already in revenge mindset. 

2. I will leave the swing trade open and no trade otherwise. 

3. Even after reading the markets right, I failed to execute the right trade just like Monday. 

4. This week is going bad, will rethink my overall Psychology. 

5. Though the markets are not performing my expectations of bull run which is why I am failing. 

6. It all happened because I did not risk at BTC median line short. 

End of the day thoughts: (23:00) 

Monday, Tuesday, Wednesday all three days I read the markets right but could not execute. 

There are a few reasons:

1. I don't trade short term bear markets in long term bull markets well. 

2. My single lane thinking of BTC bull run is avoiding me to act on short-term profit bookings, mean reversions, retracements even after reading them well. 

Lessons: 

1. Should not over complicate by hopping on different timeframes and change trade decisions on every other hopping of timeframe. 

2. Should read price action with moving averages only on 30m (for short term), H4(for mid-term) 

3. Should not undermine trend reversals on smaller timeframes unless good bullish price action on 30m, H1 and Bullish or Bearish candles on H4 and 1D over supports or resistance respectively. 

4. Should understand the philosophy behind each type of trade namely the scalp, intraday, swing & long term. 

5. Knowing what type of trade you are in (In the trend (IT) or Out of the trend (OT)) is very important.