Just to hammer this home, here’s another 169 not to fade …

< 1 min read

Not only is it not a good setup to fade but it’s a very strong setup to trade as a continuation and I don’t want to distract myself by taking crappy trades when there’s a cracker available.

Price heads stright into the 169 from a sequence of HH-HL. There’s also a TL at the same level and in classic Dax style the market forms a triangle below and the break of this gives the long entry up to the next RES level. This was a hard trade to enter but the market gives me a second chnace entry with the retest of the 169.

This PA proves yet again that the 169 is very useful for reading the PA and for creating pauses which allow for some nice entries – but it is not a level to trade by itself, so it functions and is interpreted in a very different way to my RES and SUP levels or a weekly, daily pivot.