Cowabunga System Daily Update: Wednesday, 10/08/08

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Main Trend

Current Trend= The trend remained down the entire day.

Today I only looked for short trades

News events to watch for today :

  • 10:00am EST- US Pending Home Sales

Today’s Surf

1:15am 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 entry. The entry was at the close of the candle at 1.7489 with a stop at the most recent swing high at 1.7595. Since I was 39 pips away from the nearest 50 or 00 level, I decided to put my initial target at 1.7450.

Entry: Short at 1.7489

Stop: 1.7595

Initial Target: 1.7450

1:30am EST- My target was hit. Price did not make a clean break of my target so I took my final profit. I exited at 1.7450.

4:30am 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 entry. The entry was at the close of the candle at 1.7509 with a stop at the most recent swing high at 1.7564. Since I was only 9 pips away from the nearest 50 or 00 level (1.7500), I decided to go for the same amount of pips I was risking on the trade, which in this case was 55. This put my initial target at 1.7454.

Entry: Short at 1.7509

Stop: 1.7564

Initial Target: 1.7454

8:45am EST- 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 1.7457 with a stop at the most recent swing high at 1.7587. Since I was only 7 pips away from the nearest 50 or 00 level (1.7450), I decided to go for the same amount of pips I was risking on the trade, which in this case was 130. This put my initial target at 1.7327.

Entry: Short at 1.7457

Stop: 1.7587

Initial Target: 1.7327

9:45am EST- My target was not hit by this time. Since news was coming out at 10:00am EST, I decided to manually exit my trade. I exited at 1.7379.

entry2

Trade Result: +39 +53 +78= +170 pips (NOT INCLUDING SPREAD) R-Multiple: 0.36; 0.96; 0.60

News events to watch for tomorrow :

  • 4:30am EST- UK Trade Balance
  • 7:00am EST- UK Bank Rate
  • 8:30am EST- US Unemployment Claims
  • All Day- G7 Meeting

For a complete list of news events check out our News Section

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