daily recap 18-03-2025

We began the trading session with a clear downtrend. After this downtrend played out, the market transitioned into a confirmed range, developing a slight bullish bias on both ES and NQ futures. During range conditions, accurately identifying support and resistance levels is crucial for precise entries.

While there was an excellent early trade setup shortly after the open, today's recap focuses specifically on range-bound trades.

The first trade within the range was a high-probability long setup, featuring a significant divergence between ES and NQ. After patiently waiting, we received a perfect signal bar, easily achieving a 1:2 risk-reward ratio (RR). The second setup, a short trade, was equally clear, initiating directly from the established resistance level, again yielding an effortless 1:2 RR.

The third trade (short) presented an entry in the middle of the ES range but aligned perfectly with resistance on the NQ chart. According to our price action rules, this divergence validated the trade as another solid, high-probability opportunity.