The trend was DOWN until 8am EST. From 4am – 8am EST, a new trend change candle formed and changed the trend from down to UP. After 8am EST, the trend remained up the rest of the day.
Today I only looked for short trades until 8am EST. After 8am EST, I only looked for long trades.
News events to watch for today :
- 4:30am EST- UK Industrial Production; Manufacturing Production
- 10:00am EST- UK NIESER GDP; US IBD Consumer Optimism
1:45am 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 1.5483 with a stop at the most recent swing high at 1.5500. Since I was 33 pips away from the nearest 50 or 00 level, I decided to put my initial target at 1.5450.
Entry: Short at 1.5483 Stop: 1.5500 Target: 1.5450
3:15am EST- Unfortunately I was stopped outo of my trade. (-17 pips)
4:15am EST- There was a potential signal here but because it was right before the 4:30am EST news I did not enter.
8:00am EST- The trend now changed from down to UP. Now I was only looking for long trades.
10:45am 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 1.5545 with a stop at the most recent swing low at 1.5511. Since I was only 5 pips away from the nearest 50 or 00 level (1.5550), I decided to go for the same amount of pips I was risking on the trade, which in this case was 34. This put my initial target at 1.5479.
Entry: Long at 1.5545 Stop: 1.5511 Target: 1.5479
11:45am EST- My target wasn’t hit by this time. Since it was approaching 12 noon EST, I decided to go ahead and exit my trade. I exited at 1.5565. (+20 pips)
Trade Result: -17 +20= +3 pips R-Multiple: -1.00; 0.58