DOW JONES/SPX500 - EU woke up with a strong downwards move

Hello traders

I. Wisdom of the day

I heard a lot of trading saying that trading INDICES (CFD) is only interesting when the USA wakes up.
Nothing could be further from the truth...
It's not common knowledge that the DOW JONES/SPX500 often give an interesting move when the Europeans wake up.
This interesting trade often happens between 6:30 and 8:30 am (UTC+2)

II. Why a 1-minute chart?

This is not a scalping trading method, it's intraday and based on smoothed indicators for entering in a strong trend only.
The Algorithm Builder method won't give more than 3/5 trades per day even.

Those are the most secure trades possible because:
- the system waits for a strong confirmation and will avoid the fakeouts
- the 1 minute allows to enter very early. This point is crucial.
I made it so that to enter early but with a minimum of security.

III. Signals of the day


3.1 Morning trade

No trade is easy. Especially when I just woke up, signal given in front of supports but... you know the drill... What's a decent way to reduce one's risk?
Answer: Wait for a pullback.
I usually wait for a pullback near the EMA(20) - symbolized by the red circles on my screenshot.
Pullbacks and invalidations are keys to reduce one's risk - which put more weight on the opportunity side of the opportunity/risk scale

3.2 Afternoon trades

The first signal was in front of resistances and against a leading trend. A leading trend in a bigger timeframe also increases the trade security => less risk

IV. Last words

Do you think that looking first to decrease the risk and then capturing the opportunity is the way to go?

All the best,
Dave