Okay, there was one crossover this week but it wasn’t able to meet the rules of my system. There was indeed a bullish crossover and the stochastics were still climbing towards the overbought area, but the next candle did not rise up 30 pips above the high of the crossover candle.
So, I’ve still got no trades in three whole weeks. A bad system? Heck no. With EURUSD ranging, this is actually a good thing for me, as my 30-pip filter has kept me from being burned! Once the EURUSD busts out of its trading range and starts trending again, I think I’m going to get a couple of really good signals… hopefully.
It seems that risk appetite is slowly creeping back into the markets right now. I find this a little surprising but not. First of all, I can totally understand why the com-dolls are just killin’ it like 4-inch heels right now! After all, their respective central banks – the RBA, RBNZ and BOC – were some of the first to actually hike interest rates! Their economies are doing (relatively) better than everyone else, which makes them fundamentally stronger. And besides, with higher interest rates, who wouldn’t want to take advantage of the carry trade!
What surprised me this week was the performance of the pound and euro, especially the past two days. Those two were able to post some good gains versus the dollar, even after the release of interest rate and monetary policy statements yesterday. I just read through Pip Diddy’s roundup, and it seems that ECB Prez Jean Claude Van Damme… oops, I mean Trichet (I always make that mistake!), did a good job of calming the markets.
Hmmmm… I’m going to have to be a little more careful next week, especially when I short the EURUSD. I just missed out on my last trade, which kinda sucks, cause I haven’t had a triggered trade for awhile now. I know, I know, I shouldn’t be impatient, but I just can’t help but feel that I’m missing out on some great moves! To borrow a quote from a friend, it’s like taking candy from a baby!
Anyway, I’m off to relax this weekend, maybe just stay at home and chill out with some R&B tunes. I just got my hands on Usher’s new album and, on a one to ten, it’s a certified twenty! Alright, I gotta bounce. Just holler at me on MeetPips.com!