The trend stayed up until 4am EST. From 12am – 4am EST, a new trend change candle formed and changed the trend from up to DOWN. After 4am EST, the trend remained down the rest of the day.
Today I only looked for long trades until 4am EST. After 4am EST, I only looked for short trades.
News events to watch for today :
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 1.6532 with a stop at the most recent high at 1.6572. Since I was 32 pips away from the nearest 50 or 00 level, I decided to put my target at 1.6500.
Entry: Short at 1.6532 Stop: 1.6572 Target: 1.6500
9:15am EST– Unfortunately I was stopped out of my trade.
Trade Result: -40 pips (NOT INCLUDING SPREAD) R-Multiple: -1.00
News events to watch for tomorrow:
- 4:30am EST– UK CPI y/y
- 8:30am EST– US Core Retail Sales m/m; PPI m/m
- 10:00am EST– US Fed Chairman Bernanke Speaks; Business Inventories m/m