Monday, July 10, 2017

Gap Up Open In FDAX

FDAX opened with a gap up today. Friday was an inside day and as mentioned I was waiting for responsive seller or an opportunity to short the market with a expectation to test Friday's range. There were two particular levels which got me into short trades: a previous VAH level and the weekly VAH level. Unfortunately the first one got me a stop out but the second trade played out nicely.

Here the VAH level from the weekly volume profile:

Actually, I thought the first trade would work out. We can see the nice reaction and the turn. Seems the market came back for more liquidity to move to my actual target zone afterwards. In the end my decision to re-enter the trade was profitable this time.