Finding Entry Points

Where do you enter and why? Trading is not an impulse business. It requires quite a lot of thinking.


Before the DAX opened today, I looked at the overnight ES and then decided that I wanted to buy the DAX. I then had to find an area where I wanted to do business. When the market got there, my job would be to see whether orderflow supported the entry or not.


I split the MarketProfile, as you can see in the pic. I found the VAH of the distribution as a potential entry point. The 99EMA was support. When the price got there I decided that the trade was right to BUY. I managed the trade and exited at the 33EMA which has become resistance. Result: 16 DAX points per contract (400 Euros per contract). One contract, one chart. Maybe just one trade for the day?