Cowabunga System Daily Update: Thursday, 02/05/09


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Main Trend

Current Trend= The trend remained up the entire day.

Today I only looked for long trades

News events to watch for today :

  • 7:00am EDT- UK Official Bank Rate
  • 8:30am EDT- US Unemployment Claims

Today’s Surf

4:00am EDT- 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 1.4445 with a stop at the most recent low at 1.4365. Since I was only 5 pips away from the nearest 50 or 00 level (1.4450), I decided to go for the same amount of pips I was risking on the trade, which in this case was 80. This put my initial target at 1.4525.

Entry: Long at 1.4445

Stop: 1.4365

Target: 1.4525

1:30pm EDT- My target was hit. Price did not make a clean break so I took my final profit. I exited at 1.4520.

entry2

Trade Result: +75 pips (NOT INCLUDING SPREAD) R-Multiple: 0.93

News events to watch for tomorrow :

  • 4:30am EDT- UK Manufacturing Production m/m; PPI Input m/m
  • 8:30am EDT- US Non-Farm Employment Change; Unemployment Rate; Average Hourly Earnings m/m

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.

  • therbcoe

    Hi Pip Surfer,

    I received all of the same signals you did and my entry/sl levels were the same.
    In previous posts where your entry was 5Pips (or Less) away from the target I’ve seen you go to the next 00/50 level. Other times you go for the same amount of Pips as your stop loss Pip amount.

    My question is, when your entry is super close to a 00/50 and you decide where to take profit do you just play this by ear or do you like to consistently choose one option over the other.

  • xmzhang

    Good evening Pip Surfer,
    I’ve a questions about the 4 hour chart. Suppose there’s a candle on the 4 hour chart which moves in a broad range so the difference between the high and low is large due to it’s large shadows for instance. In that case it’s possible that the trend-indication is continuously switching between the values up and down, because the moving averages are moving depending on the value of this candle, if the candle is near it’s upper shadow they could cross upwards and if the candle is near it’s lower shadow the could cross each other downwards. One 4 hour candle contains 12 15-min. candles, so what if there’s a trigger on the 15-min chart during this large candle, do you enter the trade although the trend is uncertain or not ?

  • MarkFx

    Hi Pip Surfer,

    I didn’t take this trade today because ForexFactory’s calendar showed the Halifax HPI m/m report as a High Impact event at 4:00, which is where your cross occurred. I’m wondering why this report wasn’t listed on the Babypips calendar and which one was right. Kinda sucks to miss out on a nice gain but if indeed the other calendar was correct and I was right to stay out.. at least I’d feel better about it. Could you clear this up for us?

  • therbcoe

    Hi Pip Surfer,

    I received all of the same signals you did and my entry/sl levels were the same.

    In previous posts where your entry was 5Pips (or Less) away from the target I’ve seen you go to the next 00/50 level. Other times you go for the same amount of Pips as your stop loss Pip amount.

    My question is, when your entry is super close to a 00/50 and you decide where to take profit do you just play this by ear or do you like to consistently choose one option over the other.

  • xmzhang

    Good evening Pip Surfer,
    I’ve a questions about the 4 hour chart. Suppose there’s a candle on the 4 hour chart which moves in a broad range so the difference between the high and low is large due to it’s large shadows for instance. In that case it’s possible that the trend-indication is continuously switching between the values up and down, because the moving averages are moving depending on the value of this candle, if the candle is near it’s upper shadow they could cross upwards and if the candle is near it’s lower shadow the could cross each other downwards. One 4 hour candle contains 12 15-min. candles, so what if there’s a trigger on the 15-min chart during this large candle, do you enter the trade although the trend is uncertain or not ?

  • MarkFx

    Hi Pip Surfer,

    I didn’t take this trade today because ForexFactory’s calendar showed the Halifax HPI m/m report as a High Impact event at 4:00, which is where your cross occurred. I’m wondering why this report wasn’t listed on the Babypips calendar and which one was right. Kinda sucks to miss out on a nice gain but if indeed the other calendar was correct and I was right to stay out.. at least I’d feel better about it. Could you clear this up for us?

  • xmzhang

    Good evening Pipsurfer,
    I’am sorry one 4-hour candle contains 16 15-min candles, stupid of me !

  • xmzhang

    Good evening Pipsurfer,
    I’am sorry one 4-hour candle contains 16 15-min candles, stupid of me !