Although I’m pretty happy with my 1.63% gain on my EUR/USD trade, I’m a bit sad that my HLHB system failed to generate a valid trade for yet another week. Boo! I guess, I just can’t win ’em all, huh?
It felt like déjà vu. Like what happened last week, the EMAs crossed over but the succeeding candle didn’t go 30 pips below the low of the crossover candle and Stochastic was already flirting with the oversold boundary.
If my filters were met, a short order at 1.4386 would’ve gotten triggered and the first profit target would’ve been hit at 1.4236. Oh well…
In any case, this week was a good one, as it felt that ALMOST everything went right. I analyzed both fundamentals and technicals properly, saw the sell opportunity on EUR/USD, and took it without hesitation.
What I’m really proud about though is that I wasn’t scared to press my advantage. The trade was going strongly my way and I added to my position on the break of significant support levels.
This “add to a winning position” strategy, which I learned from the Scaling In lesson in the School of Pipsology (I highly recommend this lesson, it is very good!) and other bloggers like Pipcrawler, Cyclopip, and Happy Pip, is something that I must continue to do in my trades to get the big bucks.
Basically, what I do is add to my position on pre-determined points in the event that the trade goes my way. In my EUR/USD trade, the idea was to add every time price goes 70 pips (similar to my stop) my way.
Once I add, I will move the stop on my first position to breakeven. It’s pretty cool as it enables you to increase the reward-to-risk potential many, many times!