AI
Saturday, May 20, 2023 10:35:45 AM
Scalping off a Demand zone.
You want to see:
1. Strong demand candle followed by an upthrust
2. Pullback into that zone
3. Consolidation
4. Close above consolidation
5. Retest of the top of consolidation
6. Buy stop limit 2 ticks above the closing candle in #4
7. Stop below the low of the retest from #5
8. Target back at the upthrust level in #1
Technically you could have taken a trade off the Demand candle using the same rules as the consolidation strategy listed above.
Here is the Demand candle set up along with the first pullback into the demand zone.
The second pullback happened later in the day and had more volatility and the runners got stopped out before the intended target got hit.
You want to see:
1. Strong demand candle followed by an upthrust
2. Pullback into that zone
3. Consolidation
4. Close above consolidation
5. Retest of the top of consolidation
6. Buy stop limit 2 ticks above the closing candle in #4
7. Stop below the low of the retest from #5
8. Target back at the upthrust level in #1
Technically you could have taken a trade off the Demand candle using the same rules as the consolidation strategy listed above.
Here is the Demand candle set up along with the first pullback into the demand zone.
The second pullback happened later in the day and had more volatility and the runners got stopped out before the intended target got hit.
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