Current Trend= The trend remained down until 8am ET. From 4am to 8am ET a new trend change candle formed and changed the trend from down to UP. After 8am ET, the trend remained up the remainder of the day.
Today I looked for short trades until 8am ET. After 8am ET, I only looked for long trades.
2:00 am ET– 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 which was at 2.0098 with a stop at the most recent swing high which was at 2.0114. Since I was 48 pips away from the nearest 50 level I decided to put my target at 2.0050.
3:00 am ET– Unfortunately I was stopped out.
9:30 am ET– 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 which was at 2.0148 with a stop at the most recent swing low which was at 2.0136. Since I was only 2 pips away from the nearest 50 level I decided to go for the same amount of pips that I was risking which in this case was 12. This put my target at 2.0160.
9:45 am ET– My target was hit!
Trade Result: -16 +12= -4 pips; R-Multiple: -1.00; 1:00