Trade Closed: 2011-4-4 1:44
If you’re happy and you know it clap your hands! Clap, clap! Thanks to interest rate hike speculations and a very positive Nationwide house price index, GBP/USD broke of its range and rallied strongly. I was able to hit my profit target and walk away with a respectable 0.86% profit!
After that breakeven trade in EUR/USD, coming out with a win sure does feel great!
Now, now, I don’t want to get too excited. In retrospect, I believe I could’ve walked away with an even bigger win if I was more aggressive. I could’ve had a better reward-to-risk ratio if I had a tighter stop and added to my already-winning position! I’ll do better next time, I promise. If you want real-time trade updates, just follow me on Twitter!
Here’s a brief rundown of what happened:
Closed half at 1.6107: +61 pips
Closed other half at 1.6150: +104 pips
Total gain: +165 pips / +0.86%
Trade Idea: 2011-3-31 1:44
Thanks to positive reports from the U.K. and a little bit of risk appetite, my buy order on Cable was triggered. So yeah, I guess that means I’m gonna root for the pound now, even if Prince William didn’t change his mind and decide to marry me instead. -tear-
Anyway, back to my trade.
There are still a lot event risks on the forex economic calendar. Aside from the housing report from the U.K. that I mentioned in my blog post yesterday, I also feel a little bit scared that the Irish stress test results would spark risk aversion.
So, instead of holding on to my trade all the way to my profit target, I decided to play it safe and close half my position at 1.6107. To make my trade even safer, I moved the stop of my remaining position to my entry point. That way, I’ll be assured that no matter what happens, my trade won’t turn into a loser and I walk away with a profit!
Just to make things clearer, here’s a recap of what I did:
- Went long GBP/USD at 1.6046 with the pt at 1.6150 and the stop loss at 1.5950
- Closed half my position at 1.6107
- Moved stop to 1.6050 while still gunning for 1.6150
Okay, enough about trading! In other news, I am PSYCHED about the new HBO series scheduled to come out on April 17. It’s called The Game of Thrones and it’s one of, if not the best, books that I have ever read. The teaser gave me goosebumps! See how awesome it is for yourself!
Man, man, man… I just cannot hold my excitement. Someone calm me down! Quickly now!