Oh no, not another loss! I guess I’m not as lucky in day trades as I had imagined. Well, not while I’m thinking of a long weekend vacation, anyway.
Last week I decided to sneak some pips in with a day trade right before the long weekend started. I thought that I could jump on the strong Aussie wave since Australia’s PPI report printed in the green.
Too bad I didn’t handle it as well as I thought I would! First, I failed to close the trade by the end of the day, which technically doesn’t make it a day trade. I’d like to blame my new fitness program that tired me out, but by the end of the day I think it’s still my fault.
Goodness, if I had known that I was going to forget closing my trade, I probably would’ve widened my stop loss! As it turned out, AUD/USD moved high enough to move my trailing stop to 1.0712 where I eventually got stopped out. If I only stuck with my original stop loss, I would’ve made my trade of the month!
*Sigh.* Anyway, here’s what happened to my trade:
Stop loss hit at 1.0712, down by 25 pips or 0.16% of my account.
I hope I have better luck (and stamina) in my next trades!
I’m back guys! And this time I have a day trade idea!
Someone’s really gunning for that “Rocketeer of the Year” award, and that’s AUD/USD! As though reaching a new record high yesterday still wasn’t enough, the pair burst through the 1.0700 handle and made another new high at 1.0719 just a few minutes into the Asian session. Talk about being up and about!
I really should be catching up on sleep, but I just couldn’t resist jumping in on this strong Aussie wave. With a pinch of courage and a shot of determination, I decided to brush my breakout fears aside and just enter at market when AUD/USD soars past the most recent high. Also, when I reviewed my post-trade entries and my weekly comdoll reviews, I noted down a bunch of “resolutions” that I should stick by:
1. I seem to do really well with day trades. I should keep looking for shorter-term setups.
2. AUD/USD has been bagging that “Best Setup for the Week” medal a lot lately. I will be watching this pair like a hawk so I catch those winning moves.
3. If there’s not enough reason for the trend to end, it’s best to just go with the flow.
Besides, how can I trade against the Aussie when all fundamental stars are lining up to support it? Strong anti-dollar sentiment has been motivating the Aussie bulls to push the pair past previous record highs, while Australia’s better-than-expected PPI released a couple of hours earlier is putting more pressure on the RBA to increase its interest rates.
I still have to be careful on this one though. The long weekend ahead might motivate traders to take profits on their Aussie trades, so I’m also closing my trade at the end of the day. That way, I won’t worry about anything when I join my friends in an island-hopping trip for the next few days. Whoo!
Anyway, here’s what I did:
Long AUD/USD at market (1.0731), stop loss at 1.0675, then I’ll close at the end of the day. Of course I’ve already trailed my position as soon as the stronger-than-expected PPI report was released.
Whew! It feels good to be back! Special thanks to all those who put up their comments on my blogs and are giving out there ideas on Twitter! Let’s cross our fingers that this day trade will finally give me some pips!
See ya this weekend when I post my Comdoll Weekly Replay!