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: 01/18/08
If this is your first time visiting this blog, read this first!
Main Trend
Current Trend= The trend remained up until 7am EDT. From 3am - 7am EDT a new trend change candle formed and changed the trend from up to DOWN. After 7am EDT, the trend remained down the rest of the day.
Today I only looked for long trades until 7am EDT. After 7am EDT, I only looked for short trades.
Today's Surf
1:30am EDT- 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 out the signal and I did not enter.
4:00am EDT- There was a valid signal for a long trade. However, I knew that UK Retail Sales was coming up at 4:30am EDT so I decided not to take this one.
7:00am EDT- New trend change candle had formed and the trend was now DOWN.
9:00am EDT- There was a moving average crossover for a short trade. RSI was less than 50, stochastics were trending down, and MACD was positive and losing value. This was a valid entry. The entry was at the close of the candle at 1.9583 with a stop at the most recent swing high at 1.9618. Since I was 33 pips away from the nearest 50 or 00 level, I decided to set my initial target at 1.9550.
Entry: Short at 1.9583
Stop: 1.9618
Initial Target: 1.9550
9:30am EDT- Unfortunately I was stopped out of my trade.
10:15am EDT- There was a moving average crossover for a short trade. RSI was less than 50, stochastics were trending down, and MACD was positive and losing value. This was a valid entry. The entry was at the close of the candle at 1.9591 with a stop at the most recent swing high at 1.9620. Since I was 41 pips away from the nearest 50 or 00 level, I decided to set my initial target at 1.9550.
Entry: Short at 1.9591
Stop: 1.9620
Initial Target: 1.9550
10:45am EDT- My target was hit. Price made a clean break of my target so I trailed my stop to 1.9550 and set my next target for 1.9500.
11:00am EDT- Unfortunately I was stopped out at 1.9550.
Trade Result: -35 +41= +6 pips; R-Multiple: -1.00, 1.41
*Note- I will be traveling the globe starting Monday and will be gone for 3 weeks. During this time I will have limited access to the internet which will make posting quite difficult. However, I encourage you to continue practice trading and if you have any questions, visit the Cowabunga Thread on our forums and discuss it with other Cowabunga traders. I will resume posting as soon as I can and I hope you all like totally catch some righteous waves dudes, fer sure!
