Cowabunga System Daily Update: Friday, 11/02/07

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Main Trend

Current Trend= The trend remained up the entire day

I only looked for long trades.

Today’s Surf

1:00am ET– There was a moving average crossover for a long trade. RSI was greater than 50, stochastics were trending up, but MACD was already positive. This cancelled the signal and I did not enter.

2:45am ET– There was a moving average crossover for a long trade. RSI was greater than 50, stochastics were trending up, and MACD went from negative to positive. This was a valid entry. The entry was at the close of the candle at 2.0813 with a stop at the most recent swing low at 2.0769. Since I was 37 pips away from the nearest 00 or 50 level, I decided to put my target at 2.0850.

Entry: Long at 2.0813
Stop: 2.0769
Initial Target: 2.0850

4:45am ET– My target was hit. Price did not make a clean break of my target so I took my final profit.

7:30am ET– There was a moving average crossover for a long trade. RSI was greater than 50, stochastics were trending up, and MACD was negative and gaining value. This was a valid entry. The entry was at the close of the candle at 2.0843 with a stop at the most recent swing low at 2.0814. Since I was only 7 pips away from the nearest 50 or 00 level (2.0850) I decided to go for the same amount of pips that I was risking on the trade, which in this case was 29. This put my target at 2.0872.

Entry: Long at 2.0843
Stop: 2.0814
Initial Target: 2.0872

8:15am ET– My target wasn’t hit by this time and I knew that the US Employment report was coming out at 8:30. According to my rules, I don’t hold trades over important news events, so I manually exited at 2.0835.

11:30am ET– There was a moving average crossover for a long trade. RSI was greater than 50, stochastics were trending up, and MACD was negative and gaining value. This was a valid entry. The entry was at the close of the candle at 2.0833 with a stop at the most recent swing low at 2.0798. Since I was 17 pips away from the nearest 00 or 50 level, I decided to put my target at 2.0850.

Entry: Long at 2.0833
Stop: 2.0798
Initial Target: 2.0850

12:00pm ET– My target was hit. Price did not make a clean break of my target so I took my final profit.

Trade Result: +37 -8 +17= +46 pips; R-Multiple: 0.84, -0.27, 0.48

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