Remember that long GBP/USD setup that I was so excited about last week? Well, it didn’t end up in my favor after all.
I hope your stop losses were a bit wider than mine! Last Monday GBP/USD got burned during the London session as it fell sharply despite the lack of tier 1 catalysts from the UK and the US. In fact, price had only dipped about 3 pips below my stop loss level before it went back above 1.6400. I guess a lot of traders (and brokers) were simply looking at the same levels, huh?
I personally think that the trend is still intact although I’ll have to get more creative in placing my entry and stop losses if I re-enter this trend again. For now I’m looking at a 0.50% and 100-pip setback from my account. Nothing big, but I really have to place wider stop losses next time.
How about you? Any luck trading Cable this week?