Plan before Market Open
Preparation is important before you start your day.
When you open up your chart this morning, MSCI Taiwan has found support at PAPLine-S1 and traded back to Purple Zone for hourly chart during T+1 session. [Purple zone is now a resistance zone since last Thursday]. Watch out for any reversal signal at this area on opening at 8:45am Singapore time.
Market open at Purple zone on opening, no sell signal for traders to act.
When there's nothing, DO NOTHING! Wait for market to show you the direction before you act.
Second hour into trading (9am to 10am), price traded to a high of 321.8 but retrace back into Purple zone and closed at 320.4. It did not managed to turn into bullish mode yet.
Third hour into trading (10am to 11am), price closed above purple zone, but pink zone is still below purple zone. Few scenarios can happen:
1) Price continue to trade higher and pull the pink zone above purple.
2）Pink go into purple and market go sideway.
3) Price retrace back to sell zone.
Still no sign of buy/sell signal yet for hourly chart.
Fourth hour into trading (11am to 12pm), price closed above purple zone, but pink zone is still below purple zone.
Few scenarios can happen:
1) Price continue to trade higher and pull the pink zone above purple.
2）Pink go into purple and market go sideway.
3) Price retrace back to sell zone.
Still no sign of buy/sell signal yet for hourly chart.
Since price is closing above purple, on smaller time-frame chart, start to find opportunities to enter "long" base on trend direction. (11am to 1pm)
Fifth candle(12pm to 1pm), price closed above purple zone and has triggered the high of 321.8, making a new high of 322.0, but pink zone is still below purple zone.
Few scenarios can happen:
1) Price continue to trade higher and pull the pink zone above purple.
2）Pink go into purple and market go sideway.
3) Price retrace back to sell zone.
Still no sign of buy/sell signal yet for hourly chart.
Going into the last trading hour (1pm to 1:50pm), March contract closed at 321.7 and we have complete the month of March and move into April contract.
Base on hourly chart, no trade for today.
