complicated daily high auction

i did couple of mistakes while trying to catch daily high.. today´s session was in the name of small targets as the volatility decreased rapidly

low liquidity vs. high volatility

the first trading day after brexit is naturally quite different compared to "normal market state". when it comes to volume/volatility analysis, we can see the price jumping over several levels like a crazy frog. it is a sign of a strong nervousness at the side of the subjects that are in charge of quoting the limit price at the depth of market. liquidity is disturbed as they move the limits out when the market touches the quoting levels. as a result of that, the volatility increases. in such market conditions i always increase cautiousness and concentration alongside with decreasing my traded volume.

it was quite apparent to me that there were bigger seller market orders at the lower price today. i preferred short entries. the first two were with small position of 1 contract.

it is noteworthy that the market environment didn´t change since open - the volume stays the same..

brexit...

market volatility begets emotional volatility.. i skipped the trading sessions aroud brexit and will start on monday again

three out of four markets i observe were locked because of trading limits they reached in premarket

no matter how hard you try..

..sometimes you just cannot make it

today it was a loss. i started the day with a loss and i finished it with a loss. i traded only half an hour in the late hours and anything i did today was pretty crappy..

the first deal was here - loss 200 usd. but it was correctly managed. the market moved lower and strong auction took place at low of the bar - it tells me i should define the stoploss orders

of course it moved up after it filled my stoplosses. then i sold short the daily high but the price moved only for the first target and then continued upwards, the result of this trade = zero. the last trade was actually a reentry as i noticed the buyers were not strong enough after breaking the highest high. their power to move the price higher weakened. moreover, i observed other symptoms of a reversal that was about to happen. but the trade was not managend correctly. the targets were closed too early..

the result is -40 usd, which is quite ok at the end of the day.. but it could (and should) have ended in profit today

trend is your friend

do you believe in trend? i sometimes do..

there were too much sell market orders absorbed in the second trade, that is why i used the emergency management to free the risk..

fomc.. non volatile part of the session

today just one trade again. i don´t like these non volatile periods too much.. who does, right? that is why i was little bit more agressive today, not to lose too much time in front of the screen. i took short at mid level, from my standpoint, it is (sometimes) better to strike the market at a particular levels agressivelly, instead of hesitate. of course you need to see an entry signal - here i noticed the buyers losing their powers to move the price higher and at the same time i there was the thickened price action (acumulated volume) on the level of my first target, where i planned to throw away a part of the position to make the whole deal "stress free" very quickly..

the trade had a drawdown around 280 usd, which still is something i am willing to overcome quite easily, but at the same time, it is an indisputable sign of not a precise timing entry - but never mind.. there slow markets are complicated when i comes to timing entry - 3 out of 4 contract had to be thrown away at a very minor profit to make the trade stress free in the area i had planned. the fourth contract was closed when the sellers diminished near low of the day

late (reactive) buyers

this was a nice trade according to volume/orderflow - the buyers from low moved the price up, afterward, the LATE buyers came in to be accumulated by the sell limit side at the top of the swing. i am taking short against them. in this case i didn´t really care too much about the sellers, which were already in the market. it was because from times and sales i could see (and assumed) that it was the side of buyers that was much more reactive, since i could see their absorption by bigger sell limits (my pure speculation)

it was the only deal that i took today..