Half way through the week already and with the US on holiday for pretty much the rest of the week who knows what will happen with the charts. This time next month it will be Christmas day (scarey thought)
It has been a difficult week for me. I went to a funeral on Monday and Tuesday was exhausted from the travelling. I really should not have been trading on either day but did I listen to myself NO I DID NOT. The result being 0.5% down for those 2 days when I should have known better. What did I trade? Heaven only knows. But I have definitely learnt my lesson (although I seem to have had this lesson many times in the past and still I have to resit the exam!). My saving grace was that I only traded 0.25% risk per trade so it could have been a lot worse.
At least Wednesday has been a turnaround day for me
……UNLEASH THE SECRET WEAPON……..
Having refocussed last night, I was ready to start afresh today. No more thoughts of yesterday, I have learnt the lessons needed and I’m ready to trade the right way.
What a relief it was to see the James Bond cable trade setting up for the morning. Entry Long @ 1.6626 Stop Loss @ 1.6611 Target @ 1.6701. Reward:Risk = 5:1.
The trade triggered long @ 0615 and hit the target at 0800. That’s 75 pips in the bag and the last 2 previous days losses covered and a bit extra to replenish the account. That’s 3 for 3 for Mr Bond this month.
This was not a set play like James Bond above but I have found that when the price consolidates and moves sideways into the moving average it does give a nice move out the other side.
This morning USDCAD did just that:
Not only was there the consolidation into the moving averages, there was also confirmation from the MACD which during the consolidation was making lower lows. The entry was quite close to 1.0500 (the big number) but I have found that if price wants to go through big numbers then it will, it may stall here but not necessarily hold it up completely.
Entered short at 1.0519; stop @ 1.0533. Trade exited @ 1.0476 profit 43 pips. Reason for exit – after fast move short the inside bar was broken to the upside. On reflection I could have stayed in the trade until price closed inside the moving average, however break of the inside bar was a valid reason to exit (as well as a valid reason to add to the trade if it had continued to move in my favour).
To be the best at whatever you do you need to be in the best possible condition, mentally and physically. Don’t expect great results if you are feeling below form.
Set plays are wonderful strategies – they don’t show up all the time but when they do EXECUTE them.