Alifari's Trading Journal

In addition to my above post, please note that for supply & demand zone to zone trading I only trade 5 pairs and all are USD base mainly because the supply & demand on USD based pairs are actual and not influenced by two different pairs such as EURJPY price movement is caused by EURUSD & USDJPY together. Before I used to trade majors and crosses and lately I have realized that my most profitable trades are on USD based pairs. Plus the spread on these pairs are low and that also suit my trading style.

1) AUDUSD
2) EURUSD
3) GBPUSD
4) USDJPY
5) USDCAD

Thank you for your answer. May I ask you one more thing please. As per attached picture why A or B would not be considered by Mark as a Demand levels that might cause the price to reverse? To me E what is considered by Mark as a Demand that has to be broken looks the same as A and B. Mark goes for C however it was already consumed by B. Cant find the logic. I would go for D the only new fresh Demand I could see but looks like my thinking is wrong according to Marks idea.

Thanks!

The take profit target was based on H1 demand (see the H1 chart and comments by Mark on same post) and not M5. The core idea of trading this style is looking at higher time frames S&D imbalance or decision points and entering with tight stop loss based on lower time frame price action but take profit target of higher time frame to maximize risk to reward ratio.

Thanks but still D is far away from 1H Demand and also to my mind if C is taken into acc as a possible reversal point so should be A and B. This are my concerns. At the top of that C should be weaken as it had already been tested so any logical TP is should be D.

Thanks.

As Mark mentioned in H1 chart "any target is new demand ahead of the lows given the strong rejection strength on the retrace + the area had higher time frame history to the left". Sometimes when the rejection from demand is strong price doesn't always go deep and retest lows or come close to it. So the take profit may have been decided considering that plus if we look at M5 chart there were two zones where price found demand on the way up. The instant retest is not always considered that the zone has weaken as it tested it, in fact it acts as confirmation that more buying occurred and as price headed up after retest gives more weight to the zone that the next time price visit that zone some buying interest or reaction is expected.

One other thing I notice about Mark's trading he doesn't go for home runs rather he plays it logically and take profit at a zone or level where he thinks some reaction is expected. If we see M1 chart there was reaction almost after his take profit was hit, so the decision was spot on.

One more important thing, the right approach for take profit for this style is to pick your level or zone on a higher time frame chart first and then go down time frames until you find a S&D imbalance or decision points to fine tune your take profit within higher time frame area, but not the other way viz. start looking at lower time frames first, otherwise you would always micro manage your trades, as lower time frames will always have many S&D or SR level in between. So in long run the RR would suffer eventually because of this habit.

Although I prefer USD based pairs for S&D zone to zone trading, but this EURJPY zone was a good one with SR history, so decided to take it.

Trade Result +1.80R

USDJPY SR FTB M15

Trade Result +1.00R

Trades missed entry level by a pip or so, all would have hit projected take profit, so good for example purpose.

1) GBPUSD H1 SUPPLY ZONE

2) AUDUSD M5 BREAKOUT OF SUPPORT AND RETEST OF SUPPLY ZONE

3) EURCAD M15 SD FTB DEMAND ZONE

4) AUDUSD M15 SD FTB SUPPLY ZONE

5) USDCAD M5 DEMAND ZONE

NZDUSD M5 ANTICIPATING BREAKOUT OF SUPPORT

Trade Result +2.0R

EURJPY M30 SUPPLY ZONE

Trade Result +1.00R

EURJPY M30 SUPPLY ZONE AND INSTANT RETEST

Trade Result: Breakeven

EURUSD M15 SUPPLY ZONE

Trade Result: -1.00R

AUDJPY M30 DEMAND ZONE

Trade Result: Breakeven (Closed due to no instant reaction from the zone)

AUDUSD M30 BREAKOUT AND RETEST OF DEMAND

Trade Result +1.00R

NZDUSD M30 SUPPLY ZONE

Trade Result: -0.70R (TP not taken early, as was aiming for higher R)

Chart example on how to trade higher time frame rejection at SR level or SD zones with lower time frame price action

1) AUDUSD M30 rejection at resistance level

2) EURUSD M15 rejection at supply zone

EURUSD M30 SUPPLY ZONE

Trade Result -1.00R

Why this entry? I cannot find a confirmation. Is this purely due to left side supply?

See attached chart and comments.

I see. Thanks.
I think this is an unconfirmed setup. But okay to take.