Day 1: S&P500 longs
Bias: My bias for today is actually short, the price was trading below last Fridays value area low which can often see price continue to the downside. Not only this but the daily time frame has recently seen the price retest the highs this can also often lead to a reversal forming.
Now typing this up the price has come into the previous days value area low and is rejecting with bearish divergence on the RSI also at the VWAP of the day. We could watch for a setup short here.
For context this is what my chart looks like (I know it looks very messy but I often delete half of it once I know the levels to work with).
Despite my bias being short the price has been falling and had retested Fridays low, so I waited to see how the price reacted around this area as we were also at the -2SD on the VWAP band.
Trade: The setup is a double bottom pattern with bullish divergence on the RSI. The entry candle was the strong bullish rejection of the lows. Stops tight underneath (this helps with the R:R ratio)
Trade Add Ins: I use add in positions once the price breaks structure to build positions when I enter at the lows this is 0.5% of my risk, I never go over this at the bottom or top, I only add in when price confirms break in structure.
Result: Positive outcome, I closed the positions at the highs where we had seen rejections on the day. This area was also the VWAP of the day so far.