Current Trend= From 3pm ET – 7pm ET a new trend change candle was formed. From then on the trend remained down
Today I only looked for short trades.
8:15 pm ET– There was a moving average crossover for a short trade but MACD was already negative. No trade.
1:45 am ET– There was a moving average crossover for a short trade. RSI<50, Stochastics were trending down, and MACD was positive and losing value. This was a valid entry. Entry was at the close of the candle which was at 9521 and my stop was at the most recent swing high which was at 9534. Since the signal was after midnight and because I was 21 pips away from the nearest 00 level, I decided to set my initial target for 9500.
2:15 am ET– Unfortunately the market spikes up for a brief moment and stops me out of my trade. Within the next hour the market then decides to drop and falls nicely to our supposed target….Darn!
Trade Result: -13 pips