The trend was DOWN until 4am EST. From 12 midnight to 4am EST, a new trend change candle formed and changed the trend from down to UP. After 4am EST, the trend remained up the rest of the day.
Today I only looked for short trades until 4am EST. After 4am EST, I only looked for long trades.
News events to watch for today :
12:15am EST– There was a moving average crossover for a short trade. RSI was less than 50, stochastics were trending down, but MACD was already negative from the previous candle. This cancelled out the signal and I did not enter.
3:00am EST– There was a moving average crossover for a short trade. RSI was less than 50, stochastics were trending down and MACD went from positive to negative. This was a valid signal.
The entry was at the close of the candle at 1.6980 with a stop at the most recent swing high at 1.6995. Since I was 30 pips away from the nearest 50 or 00 level, I decided to put my initial target at 1.6950.
Entry: Short at 1.6980 Stop: 1.6995 Target: 1.6950
3:45am EST– Unfortunately I was stopped out of my trade. (-15 pips)
Trade Result: -15 pips R-Multiple: -1.00