Dude! So you've read just about everything you could possibly get your hands on about the Forex. Now you want to get your feet wet but aren't sure where to start. Well then this blog is for you! Follow along as I take a simple system and apply it to an unsimple market. If you're new to the blog you should Cowabunga System Daily Update: 10/17/07
If this is your first time visiting this blog, read this first!
Main Trend
Current Trend= The trend remained up until 12pm ET. From 8am - 12pm ET, a new trend change candle formed and changed the trend from down to UP. After 12pm ET, the trend remained up.
Today I looked for short trades until 12pm ET. Since I wasn't in a trade by 12pm ET, I called it quits for the day.
Today's Surf
1:00am ET- 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 entry. The entry was at the close of the candle at 2.0304 with a stop at the most recent swing high at 2.0325. Since I was only 4 pips away from the nearest 50 or 00 level (2.0300), I decided to go for the same amount of pips I was risking on the trade, which in this case was 21. This put my target at 2.0283.
Entry: Short at 2.0304
Stop: 2.0325
Initial Target: 2.0283
2:00pm ET- My target was hit. Price did not make a clean break of my target so I closed out my trade. I managed to exit at 2.0286.
6:15am ET- 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 entry. The entry was at the close of the candle at 2.0326 with a stop at the most recent swing high at 2.0369. Since I was 26 pips away from the nearest 50 or 00 level, I decided to put my target at 2.0300.
Entry: Short at 2.0326
Stop: 2.0369
Initial Target: 2.0300
8:15am ET- Unfortunately I was stopped out of my trade.
Trade Result: +18 -43= -25 pips; R-Multiple: 0.86, -1.00
Tomorrow's news events to watch out for:
- 4:30am ET- GBP Retail Sales
For the rest of tomorrow's news lineup, check out our Forex Calendar
