In an ideal world your best trades are not only in the right direction but they’re also timed right so that once triggered they fly from the off. This is a rare event.
Very often Trades are like the one here on AUDCAD which took a long time to grind out a few positive pips. I’m not complaining, just commenting that you need patience.
This trade triggered short @ 9835 the day before NFP and not surprisingly did absolutely nothing until the NFP news was released the next day. The news release drove AUDCAD south and the trade went about +50 pips before bouncing, rising back past my entry and going back in to negative territory.
And that’s where it bounced around for the next few days. Eventually it drove south again and after a while I was able to take the first portion of the trade off for+37 pips. I was concerned at the time that price may double bottom off the 9800 handle after the two low test bars. But my stop was trailed as per the rules.
Price did indeed crash down through the 9800 handle and actually went a good +100 pips positive on me which surprised me as much as anyone else I suspect. So my stop was trailed as per the rules. The stop was moved down to 9787 as per my trailing stop rules.
Price bottomed out around 9730 and I was tempted to reverse and go long (the best time to go long is when you cover your shorts) however I just followed my rules and moves the stop as and when it would be required. Unfortunately it was n’t required as priced bounced off the 9330 level came back north and literally stopped my out on 1pip of the spread before tumbling south again. That’s the way it rolls sometimes.
So my 2nd portion was stopped out for +50 pips. A total of +87 pips harvested in total but it was long, slow work! I had never traded AUDCAD before, it just met my set-up rules and the trade was taken. One piece of advice is to be aware of the roll-over costs of trading this pair. It’s an expensive cost of business to your trades and you should be made aware of it. It doesn’t help that it moves at a snail’s pace and takes 10 days to do what many currencies can do in an afternoon!
Anyway another successful trade for my Growth Account, onwards and upwards. Until next time, trade well.