We are going to start this emini dow day trading training and market replay video, by looking at the renko 4 brick1 chart.
Before I get started, let me mention something really cool about the NinjaTrader market replay tool. When you do a replay of your data download, your tick chart, brick1 chart, and brick2 chart will all move together – this is a very real time feature.
(1) Brick1
- Do you see a 4 brick setup – this is a real time look before the brick completes and the green brick low becomes the previous brick high
- 180 tick
- You can see how the breakout low to the swing low is setting up to fail on a break2 with mex flow
- It looks like you could go long on the break at 16406 – but there are 2 things that bothered me
- Taking this first buy after a 65 point sell
- The 16413-16412 triple break-break2 that just rejected – I look at that price action as more relevant than that single 16405 channel break
(2) Brick1 – this became the buy setup at 16410
- I liked getting to see the continued mex flow build and have the triple break-failure break entry
(3) 180t – 16433 shift line double top and momentum extreme = 16433 partial1
- Brick1 – show what partial looks like
- 16454 high next target
- 16412 area from buy breakout is best price hold
- But would look for price envelope reverse – don’t want to throw away trailers
(4) 180t – 16441 and 16437 partial2 fill
- Why here – this is a function of the extended pmd high and mex still looking to cross
- Hold has been raised to 16421 area from the pmd counter point – and still looking for renko reverse
(5) 180t – still trailing
- Brick1
- If 2 contract trader – would be flat after mex cross and lower high green brick-midline break
- If 3+ contract trader – this would be another partial but still trailing
- Why since price envelope reverse?
- If I didn’t go flat at the previous red brick low, then I want to see if that brick and what I am seeing on the 180t will hold and resume upswing
- NOTE: there are all components for renko sell setup – watching to reverse out of the long and go short if get the green reject brick-red reversal brick combination
(6) Brick1 – no sell and move back to swing high but it held
- Price envelope reverse again and now don’t have a reason to be long
- Exit 16429 – looking for sell setup that will be able to use the support triple break
- Brick2
- But there was a brick2 sell setup and reversed 16427 fill
- Syncs with the brick1 price envelope reverse and the 180t has also reversed into sell
(7) Brick2 partial1 16414 – why here
- Remember the price action price at 16412 and where the previous buy breakout was – because this becomes a shift line I decided to take partial1
- Hold goes to 16421 area from the triple break
(8) Brick2 addon
- There was an addon setup that I really liked and should have taken
- Midline reject and 16421 price shift-reject – clear mex flow on the 180t and brick1
- And I was more focused on the brick2 mex rollback – and missed the trade
- Partial2 16400 swing low and 16403 fill
And this is where I am going to end this video – I will continue with trading from this point forward in another replay video.
Continuing to hold this trade to the 16421 area is the logical price, but a lot more giveback than I want. I might have done this I did the addon and had the extra trade profits, and didn’t get a buy reverse setup – but not with only 1 unit left.
So, at this point I want continuation to a next target price of 16389, which was the low price when we started – and I will be looking to hold this trade to the 16412 price area we have been discussing.
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