Cowabunga System Daily Update: Tuesday, 10/04/11

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Main Trend

Current Trend

The trend was DOWN the entire day.

Today I only looked for short trades.

News events to watch for today :

Today’s Surf

3:15am 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 1.5436 with a stop at the most recent high at 1.5465. Since I was 36 pips away from the nearest 50 or 00 level I decided to put my initial target at 1.5400.

Entry: Short at 1.5436 Stop: 1.5465 Target: 1.5400

3:45am EST- My target was hit. Price didn’t make a clean break so I took my final profit. I exited at 1.5401. (+35 pips)

entry2

Trade Result: +35 pips R-Multiple: 1.20

News events to watch for Wednesday:

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

    Hey Dude!

    Love your system, quick question….noticed that the stochastic on the 4h chart was way oversold but you were still looking for short trades, do I just ignore in cases like this?

    Thanks.