Cowabunga System Daily Update: Wednesday, 12/02/09

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Main Trend

Current Trend

The trend stayed up the entire day.

Today I only looked for long trades.

News events to watch for today :

  • 4:30am EST– UK Construction PMI
  • 8:15am EST- US ADP Non-Farm Employment Change
  • 2:00pm EST- US Beige Book

Today’s Surf

3:15am EST– 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 1.6603 with a stop at the most recent low at 1.6549. Since I was 47 pips away from the nearest 50 or 00 level, I decided to put my initial target at 1.6650.

Entry: Long at 1.6603 Stop: 1.6549 Target: 1.6650

4:15am EST- My target wasn’t hit by this time and I knew that news was coming out at 4:30am EST. I’m not supposed to be in the market during news reports so I went ahead and exited my trade at 1.6624.

10:30am EST– There was a moving average crossover for a long trade. RSI was greater than 50, stochastics were trending up and MACD was negative and gaining value. This was a valid entry.

The entry was at the close of the candle at 1.6674 with a stop at the most recent low at 1.6629. Since I was 26 pips away from the nearest 50 or 00 level, I decided to put my initial target at 1.6700.

Entry: Long at 1.6674 Stop: 1.6629 Target: 1.6700

11:00am EST- Unfortunately I was stopped out of my trade.

entry2

Trade Result: +21 -45= -24 Pips (NOT INCLUDING SPREAD) R-Multiple: 0.38; -1.00

News events to watch for tomorrow:

  • 4:30am EST– UK Services PMI
  • 8:30am EST- US Unemployment Claims
  • 10:00am EST- US ISM Non-Manufacturing PMI

For a complete list of news events check out our Forex Economic Calendar.
Questions? Read the Cowabunga FAQ.

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  • ja5on

    @mabidashraf: that means u just trade using this system only?

  • mabidashraf

    @ja5on, thats correct for intraday forex. I also swing trade from daily charts, not more than 5 trades a month.

    FYI, 5:45 GMT candle just trigerred the BUY signal. Lets see how it goes.

  • ja5on

    @mabidashraf: that means u just trade using this system only?

  • mabidashraf

    @ja5on, thats correct for intraday forex. I also swing trade from daily charts, not more than 5 trades a month.

    FYI, 5:45 GMT candle just trigerred the BUY signal. Lets see how it goes.

  • mabidashraf

    @pipsurfer, I lost 25 pips on the second trade and expected this to be a break-even day and not sure if “-45″ pips for second trade is typo error above.

  • PipSurfer

    mabida- where was your stop at on the 2nd trade?

  • mabidashraf

    Stop on second trade was at 16649 which was the swing low from 2GMT candle (or 9am EST) > red dotted line on the attached chart at the time of entry http://bit.ly/8A35yZ. I could be wrong.

  • mabidashraf

    @pipsurfer, I lost 25 pips on the second trade and expected this to be a break-even day and not sure if “-45″ pips for second trade is typo error above.

  • PipSurfer

    mabida- where was your stop at on the 2nd trade?

  • mabidashraf

    Stop on second trade was at 16649 which was the swing low from 2GMT candle (or 9am EST) > red dotted line on the attached chart at the time of entry http://bit.ly/8A35yZ. I could be wrong.