Dow Jones Non Farm Payroll Day Trading Gameplan
I will try to formulate a gameplan for Friday's NY session for a possible day trade
Starting with the daily chart
Price was in a spike and channel pattern that just got broken out of with its 850 point drop from its high of day.
This is a sell signal for people that trade the daily chart.
Thursday surged off of the daily 21ema and the 21ema is now curling down. This indicates downside momentum.
Next up is the 30 minute chart
Price was basing near the lows of the channel. Price bumped its head up against the 30 minute 200sma and sold off to create the daily breakout candle.
Using range expansions, Thursday's price hit the 1 full expansion as noted by the teal line. This also so happens to be the price that Friday opened up at to the dot.
I will be looking for any green bars under the declining 30 minute 21ema to be eliminated by red for an entry short for the continuation down to either 1.5 or 2X range expansion. I don't know which one and so will pick the 1.5X to be conservative.
The setups will look like this
Using the 30 minute chart as my guide, I will short the lows of any green body's candle that pulls back into the declining 21ema
Starting with the daily chart
Price was in a spike and channel pattern that just got broken out of with its 850 point drop from its high of day.
This is a sell signal for people that trade the daily chart.
Thursday surged off of the daily 21ema and the 21ema is now curling down. This indicates downside momentum.
Next up is the 30 minute chart
Price was basing near the lows of the channel. Price bumped its head up against the 30 minute 200sma and sold off to create the daily breakout candle.
Using range expansions, Thursday's price hit the 1 full expansion as noted by the teal line. This also so happens to be the price that Friday opened up at to the dot.
I will be looking for any green bars under the declining 30 minute 21ema to be eliminated by red for an entry short for the continuation down to either 1.5 or 2X range expansion. I don't know which one and so will pick the 1.5X to be conservative.
The setups will look like this
Using the 30 minute chart as my guide, I will short the lows of any green body's candle that pulls back into the declining 21ema
