Here’s an update on my EUR/USD position from last week!
Although I know that my trade idea is still very much valid, I decided to take my positions out ahead of the FOMC statement. I would have done a move-stop-to-BE action like Happy Pip is brilliantly doing with her AUD/USD and USD/CAD trades but I didn’t have the luxury of price being far from my entry (just 3 pips!) It also didn’t help that EUR/TRY’s price action was killing the euro during early London session trading.
In a few hours we’ll see Bernanke’s last FOMC statement and you can bet your neighbor’s cat that EUR/USD will be one of the bigger movers if the Fed decides to taper some more or to disappoint expectations. In any case, I’ll still be watching EUR/USD closely and look for possible entry areas around the SMAs and trend line.
How about you? Did you take off positions ahead of the announcement too?