Quick recap on a couple of trades I placed last night on BTCUSDT.P on the OKX exchange.
Pre-entry Analysis:
8:30am NY time price pushes above the previous days high and then rejects creating a bearish order block. Price continues down before hitting a level of support and creating equal lows. Equal lows are considered an area of interest as this is where a concentration of liquidity will be (i.e traders stops, break out traders, etc). Price then moves higher rejecting from the bearish order block.
Trade Analysis:
First entry is on the rejection of the mid point of the bearish order block with a stop loss placed above the 8:30am wick and a take profit set just above the equal lows created earlier.
The bodies of the candles hold nicely within the bearish order block and price rejects away creating a lower high. We break the previous short term low giving us a lower low and price continues down creating a bearish fair value gap.
Second entry comes on the retest of that fair value gap with a stop loss above our previous swing high with a take profit in the same place as our first trade. The bodies of the candles respect the gap nicely giving us a rejection with a push down to take out equal lows.
Quick recap on a couple of trades I placed last night on BTCUSDT.P on the OKX exchange.
Pre-entry Analysis:
8:30am NY time price pushes above the previous days high and then rejects creating a bearish order block. Price continues down before hitting a level of support and creating equal lows. Equal lows are considered an area of interest as this is where a concentration of liquidity will be (i.e traders stops, break out traders, etc). Price then moves higher rejecting from the bearish order block.
Trade Analysis:
First entry is on the rejection of the mid point of the bearish order block with a stop loss placed above the 8:30am wick and a take profit set just above the equal lows created earlier.
The bodies of the candles hold nicely within the bearish order block and price rejects away creating a lower high. We break the previous short term low giving us a lower low and price continues down creating a bearish fair value gap.
Second entry comes on the retest of that fair value gap with a stop loss above our previous swing high with a take profit in the same place as our first trade. The bodies of the candles respect the gap nicely giving us a rejection with a push down to take out equal lows.