Trade Closed: 2010-9-20 23:30
And my trade is over! After hitting my first profit target, the bulls didn’t have enough mojo to push Cable higher. No matter! A win is a win and Huck is happy!
Here’s a quick summary of what happened with my trade:
A small gain, but a win nonetheless. For this week, I am looking for more opportunities to short the dollar once again. Hopefully, I can spot some nice setups!
Trade Update: 2010-9-16 22:30
WOOOOOOOOHOOOOOOOOOOOO! Huck has finally hit gold… well, okay, not gold probably silver or bronze or something. In any case, my first profit got hit on GBPUSD, as the pair found major support at the 50% Fibonacci retracement level I initially pointed out! This closed out half my position.
I still haven’t figured out what the profit target on my second position will be, but I have moved my stop to break-even in the event price goes against me. If the pair breaks out of its consolidation then it will be mucho pips for Huck!
Stay tuned for more updates! Happy, happy, joy, joy! (That’s from Ren and Stimpy by the way for those sorta oldies!)
Trade Idea: 2010-9-16 4:35
Now I’m not saying that the UK is tippy-top shape right now, but I believe that the dollar bears are just around the corner, waiting for a chance to pounce. In fact, word on the forex streets is that the US could start another round of quantitative easing as early as next week! Eeep!
Do also note that there are a lot of reports coming out from the US tonight, which could be beneficial or detrimental to my trade. In any case, I do believe the bias is towards buying, especially after Tuesday’s strong dollar sell-off.
On the 1-hour chart, we can see that GBPUSD is on a clear uptrend as it has made convincing “higher lows” and “higher highs”. I believe this slow move down is just a nervous retracement, and price will eventually pop back up once it dips enough. Therefore, I’m looking to buy at the 50% level – not too aggressive, but not too conservative either. Besides, stochastics is already showing that conditions are oversold.
To give my trade enough room to breathe, I will place my stop below yesterday’s lows. Because this is a trend play, I’m going to have two targets. The first one is at former highs, while the second one is yet to be determined! I will most probably trail it though to let my profits run!
Long GBPUSD 1.5550, pt1 at 1.5640, pt2 yet to be determined, sl at 1.5430.
And now I pray… I pray that the trade goes my way. I really, really, really don’t want to lose again… at least I get a couple of wins under my belt again.
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