Trade Closed 2010:02:08 21:31
One pip. Yep, one pip away from hitting my profit target. In retrospect, I should not have let my trade run like that, especially since price has already bounced from the previous week’s low. Could’ve, would’ve, should’ve. Ah, well, at least I walk away with some profit.
Even though the Greek tragedy – err, I meant Greek debt problems – has kept the euro weak recently, risk appetite put up a strong fight before the week came to a close. Relatively upbeat economic figures from the US boosted the higher-yielders, putting an end to their week-long losing streak. Although euro zone inflation figures came in below consensus, the euro was able to make headway against the greenback, probably because its drop was way overdone and I guess it was time for a pullback.
Closed 1st half at 1.3540: +120 pips
Closed 2nd half at 1.3660: +0 pips
Total: 0.60% gain
Trade Idea: 2010-02-22 21:23
Trading was a bit slow yesterday and, with barely any economic reports on deck, the EURUSD wasn’t able to climb all the way up to my desired entry point at 1.3700. However, the downtrend line still remains intact so I just decided to adjust my trade a bit. I moved my short order to 1.3660, right at the 61.8% Fibonacci retracement level.
Here’s my new plan:
Short at 1.3660, pt1 at 1.3540, pt2 at 1.3450, sl at 1.3760
Trade Idea: 2010-02-21 21:28
Ooohh. Do you see that downtrend in the EURUSD’s 4-hour chart? Shorting it might be a good idea… The pair, however, might have some juice left to go up further since the stochastics are not yet in the overbought territory. It’s okay. Patience is a virtue. I’ll just wait for it to climb a little bit before I go in. But hey, we’ve got a couple of major events starting Tuesday that could take price to my entry point.
First up on the economic calendar this week is the German Ifo business climate report. Although it is predicted to show a rise, I think we might could see it come out lower-than-expected with all this Greek debt talk. With all the uncertainty surrounding Greece and the entire euro zone, I suspect risk aversion will be in play soon enough. Needless to say, this would cause some major euro selling, which would bring the EURUSD down once again.
Looking further ahead, there are some major reports from the US, namely the CB consumer confidence survey, the new home sales, the durable goods orders, the weekly unemployment insurance claims and the very important preliminary GDP report. If these reports come in better-than-expected, we could see more dollar buying.
I’m placing a short order right at the downtrend line (1.3690) with my stop loss at 1.3800. My profit targets would be at 1.3550 and 1.3450.
Here’s my master plan:
Short at 1.3690, pt1 at 1.3550, pt2 at 1.3450, stop at 1.3800.