Cowabunga System Daily Update: Wednesday, 02/16/11

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Main Trend

Current Trend

The trend was up until 11am EST. From 7am – 11am EST, a new trend change candle formed and changed the trend from up to DOWN. After 11am EST, the trend remained down the rest of the day.

Today I only looked for long trades until 11am EST. After 11am EST, I only looked for short trades.

News events to watch for today :

Today’s Surf

1:00am 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 valid entry.

The entry was at the close of the candle at 1.6157 with a stop at the most recent swing low at 1.6139. Since I was 43 pips away from the nearest 50 or 00 level, I decided to put my initial target at 1.6200.

Entry: Long at 1.6157 Stop: 1.6139 Target: 1.6200

4:15am EST– My target wasn’t hit by this time. Since news was coming out at 4:30am EST, I decided to manually exit my trade. I closed out at 1.6163. (+6 pips)

10:45am EST– There was a moving average crossover for a short trade. RSI was less than 50, stochastics were trending down but MACD was already positive from the previous candle. This cancelled out the signal and I did not enter.

entry2

Trade Result: +6 pips R-Multiple: 0.33

News events to watch for Thursday:

For a complete list of news events check out our Forex Economic Calendar.
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