Cowabunga System Daily Update: Thursday, 10/09/08

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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 :

  • 4:00am EST- UK Halifax HPI
  • 4:30am EST- UK Trade Balance
  • 8:30am EST- US Unemployment Claims

Today’s Surf

12:45am 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 1.7261 with a stop at the most recent swing high at 1.7310. Since I was only 11 pips away from the nearest 50 or 00 level (1.7250), I decided to go for the same amount of pips in the trade, which in this case was about 50 pips. This put my initial target at 1.7211.

Entry: Short at 1.7261

Stop: 1.7310

Initial Target: 1.7211

1:00am EST- My target was hit. Price did not make a clean break of my target so I took my final profit. I exited at 1.7222.

6:45am 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 1.7298 with a stop at the most recent swing high at 1.7377. Since I was 48 pips away from the nearest 50 or 00 level, I put my initial target at 1.7250.

Entry: Short at 1.7298

Stop: 1.7377

Initial Target: 1.7250

8:15am EST- My target wasn’t hit by this time. I knew that news was coming out 8:30am EST so I manually closed my trade. I got out at 1.7340.

10:15am 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 1.7277 with a stop at the most recent swing high at 1.7395. Since I was 27 pips away from the nearest 50 or 00 level, I set my initial target at 1.7250.

Entry: Short at 1.7277

Stop: 1.7395

Initial Target: 1.7250

10:30am EST- My target was hit. Price made a clean break so I moved my stop to 1.7250 and set my next target for 1.7200.

11:15am EST- My 2nd target at 1.7200 was hit. This time, price did not make a clean break so I took my final profit. I exited at 1.7203.

entry2

Trade Result: +39 -42 +74= +167 pips (NOT INCLUDING SPREAD) R-Multiple: 0.79; -0.53; 0.62

News events to watch for tomorrow :

  • 8:30am EST- US Trade Balance
  • All Day- G7 Meeting

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

Questions? Read the Cowabunga FAQ.

Want to discuss the Cowabunga System? Visit our Forums.

  • kiddypharoah

    hi there Mr pip surfer,
    i appreciate your efforts and i have a question about money managment in cawabunga system,i have read in the school that it is better to make a high risk reward ratio (for example 1 : 3) but i found that you are using 1:1 ratio in most trades,please give me your opinion,thanks

  • kiddypharoah

    hi there Mr pip surfer,
    i appreciate your efforts and i have a question about money managment in cawabunga system,i have read in the school that it is better to make a high risk reward ratio (for example 1 : 3) but i found that you are using 1:1 ratio in most trades,please give me your opinion,thanks

  • hairymango

    Hi Pipsurfer,
    Lovin the site and your advice. thanks for the effort.
    how did you come up with the figure +167 from +39 -42 +74. did I miss something or is that a typo?
    cheers
    Adam

  • hairymango

    Hi Pipsurfer,
    Lovin the site and your advice. thanks for the effort.
    how did you come up with the figure +167 from +39 -42 +74. did I miss something or is that a typo?
    cheers
    Adam

  • andyhawes

    Annoyingly I’ve missed all the big moves as my mobile phone provider (O2 PAYG in the UK) doesn’t allow email sent to my phone as SMS from MT4. But I’ve just discovered http://www.intellisms.co.uk which does this for me, and works a treat – hopefully there are some more big moves next week that I can catch now. Keep it up Pipsurfer – loving your work!

  • andyhawes

    Annoyingly I’ve missed all the big moves as my mobile phone provider (O2 PAYG in the UK) doesn’t allow email sent to my phone as SMS from MT4. But I’ve just discovered http://www.intellisms.co.uk which does this for me, and works a treat – hopefully there are some more big moves next week that I can catch now. Keep it up Pipsurfer – loving your work!

  • Pips-ahoy

    Hi Pip Surfer. I have read that due to the volatility of the markets as of late that many traders are staying on the sidelines because price action is behaving so erraticlly. I see however the cowabunga system is behaving quite profitably during these unsettled financial times. Will you widen your stops and take profits to take advantage of these price swings or is this too risky?

  • Pips-ahoy

    Hi Pip Surfer. I have read that due to the volatility of the markets as of late that many traders are staying on the sidelines because price action is behaving so erraticlly. I see however the cowabunga system is behaving quite profitably during these unsettled financial times. Will you widen your stops and take profits to take advantage of these price swings or is this too risky?