BRITISH POUND

Today's MARKET STATE BRITISH POUND **NEUTRAL DIGESTION**


- The MKT has a firm tone and as long as the integrity of the previous session low remains intact, look for excuses to get long. On the SELL side UP FADE strategies are valid but profit targets and risk management should be tight.  REVERSAL strategies should be applied only at the UP and +c after an exhaustive signal. Use DP BREAKOUT strategies as a signal to FADE a positive reaction against the DIR. Only until the MKT breaks the positive structure are sell signals an opportunity.
- On the BUY side BREAKOUT, FADE and REVERSAL are recommended as the MKT is bid and all buy signals are valid opportunity. If stopped out at or near the low tic of a reaction and the MKT is not following through to the downside, look to re-enter using the recent squeeze low as a stop. If the MKT breaks structure, de-leverage and be more selective as the likelihood of a sideways trade is high.

Today's PRICE MAP Performance for BP

Wrap Up

STATE, STRUCTURE, STRATEGY and TACTICS all aligned at our OPTIMAL ENTRY point today in the BP, making JS Traders look like all-stars as the BUY DP FADE opportunity as given to us just after 7:30 am CT at our KEY INFLECTION PIVOT.  The DP is the lower extreme of our Critical Range and always represents our expect major are of support; however, when the R Level (Sentiment Bias) is placed at this level, it identifies that point as the OPTIMAL ENTRY point for the session.  With an MC Value of +4, the BRITISH POUND was in a BULL TREND market state.  Expectations in this market environment is for the market to produce further gains, with any corrective pullback expected to exhaust at the DP R.  Well, at around 7:45 am CT, the market gave JS Traders a "touch and go" BUY DP FADE opportunity with confluence in our technical indicators.  The market broke structure taking out yesterdays lows and signaled traders to use the OPTIMAL HEDGE TACTICS to confirm the BUY opportunity from the DP.  Sure enough, the Stochastic and RSI both showed an OVERSOLD reading below 20 and 30 respectively.  This gave our traders confidence to accept the BUY strategy and it paid off BIG TIME!  By identifying the KEY INFLECTION PIVOT in the BP, JS Traders were able to get long the market AT the LOW of the session, and take profits at the expected target, the UP, which just so happened to be the HIGH for the session.  Today's performance in the BRITISH POUND futures market shows the importance of MARKET TACTICS in identifying high-probability trading set-ups.