1d:3m (Futures Trades)
-In each of these trades I was going for Trend continuation to the downside. We had a huge drop overnight that started once MSFT had shitty earning estimates. I expected that trend to continue so I took my first short at the 8ema and stopped out for about 2 point loss. The second trade I got back in once we confirmed a lower high and I used the 21 for my entry point with my stop out at new HOD. I rode that trade past the lows and made a really nice 9 point move. This shows the power of trend continuation trading. It is unparalled in terms of profitability. I think the most important aspect of 2023 for me is that I find out how to ride these trends continuously instead of looking for clear cut trend reversal patterns. Although these trades are nice, there is something else that happened today that was 10x the opportunity.
If we are in a micro uptrend then it is imperative that you always watch for the next higher low to form. Today was a great example of a micro uptrend pushing an intraday downtrend straight back up to a potential new higher high.
1d:3m
-Right here we have a PERFECT example of a trend reversal long continuation setup. So at the bottom there we break the downtrend on the day. Once we break that downtrend we are also breaking the 21 moving average which is the white line. Then we pull back to the trendline break area and the 21 and 8 cross. This is a PERFECT entry point for a reversal. Moments later the 21 and the 50 cross which indicates even more upside potential. There were multiple scalp opportunities during this move higher and they were very clean and had very nice risk. I need to make sure when i see the crossing of the moving averages I am ready to take more trades because this trend was hard to trust. There was only one other thing going on that couldve helped me trust this trend reversal long trade and that is the Micro timeframe.
30d:30m
-This is a micro uptrend pattern. We are making higher highs and higher lows. If we currently fail to make a new high and we get back below todays low then there is possibility for the micro timeframe to enter a range but that will be unknown until we test that trendline area or todays LOD.
